Cora Gold shares down despite positive test work data

West-Africa focussed exploration company Cora Gold was upbeat on the release of interim results from the preliminary metallurgical test work programme for oxide samples, taken from the zone A and Selin prospects at the Sanankoro Gold Discovery in the Yanfolila Gold Belt, Southern Mali on Monday.

The AIM-traded firm said the objective of the programme was to establish a preliminary indication of the response of the oxide mineralisation to gold extraction by cyanide leach, to test both heap leach and carbon-in-leach methodology and provide guidance on potential future development scenarios.

It reported “excellent” gold recovery characteristics, with similar test work response observed across both oxide ore samples.

Preliminary results reportedly demonstrated coarse ore gold recoveries of up to 97%, depending on crush size, would be achievable through cyanide leach extraction.

The results were indicative of the potential for industry standard process methodology for the extraction of gold, the board said.

It explained that the results would be to inform the next stage of the metallurgical test work programme which would be focused on providing further information on both the heap leach potential and gravity-carbon-in-leach process routes.

“These results indicate the clear potential to be able to use heap leach or carbon-in-leach as a process methodology in the future and, as such, are highly encouraging,” said Cora Gold chief executive officer Dr Jonathan Forster.

“The results have demonstrated that, with minimal crushing of the oxide sample, we can achieve excellent gold recoveries of potentially up to 97% and that an industry standard and cost-effective processing route can be utilised on the oxide mineralisation.”

Dr Forster said looking ahead, those results would inform the next step in the programme which would further assess the potential for gold recovery from the alternatives of either heap leach or gravity-carbon-in-leach process routes.

“Upon completion of the full programme, we will have a good indication of the appropriate process methodology and can then begin planning for a more detailed metallurgical programme that will support and progress the Sanankoro project towards potential development scenarios.”

As at 1124 GMT, shares in Cora Gold were down 10% at 4.5p.