Classic Minerals (ASX: CLZ) has hit substantial quantities of processing water in its first exploration drill hole at the Kat Gap gold project in Western Australia.
The discovery is a vital ingredient for the project’s Gekko processing plant as copious amounts of water are needed to process the ore to recover gold.
The water bore hole targeted a significant fault zone identified from detailed aeromagnetic data.
This zone is a regional structure and expected to hold large quantities of ground water.
The hole is strategically located adjacent to the main haul road, approximately 1,100m from the plant.
Bore to provide critical water supply
The bore is expected to hold enough water for the company’s needs.
Classic said its location would make the pumping of water to the plant relatively simple with limited infrastructure required.
Further drilling along the structure will be carried out to locate additional water supplies once formal approvals have been received.
Water bore approval
Classic received state government approval to drill the water bore in April.
Development of the bore field was done in stages with one bore completed, tested and water pumped before the company would consider a second if required.
This approach allows Classic to manage and draw only the approved amount of water authorised by WA’s Department of Water and Environmental Regulation.
The Gekko modular processing plant arrived at Kat Gap in May last year after being assembled and commissioned at Classic’s testing site in Perth.
Testing involved the generation of a process flow diagram, design, electric load study and mass/water balance for the plant to achieve maximum gold recoveries.
The plant has a capacity of 30 tonnes per hour and is scalable to a Gekko Python size facility which can process up to 250tph.
With strong grades and near-surface mineralisation, as well as evidence of new zones outside the original drilling perimeters, the Kat Gap project is open to being fast-tracked to early production.
Classic said it would aim to commence production as soon as mining approvals and a clearing permit have been granted.