RCM - testwork delivers over 1,000g/t silver from NSW project
Our silver Investment Rapid Critical Metals (ASX: RCM) just received a strong set of ore sorting results from stockpiles at one of its silver projects in NSW.
RCM has three high grade silver projects in northern NSW - Webbs, Webbs Consol and Conrads - which together host ~67M ounces of silver equivalent at ~400g/t.
Today’s results came from the Webbs asset (where RCM is currently drilling):
(source)
Today's results follow on from last week's update which showed high recovery rates from testwork at the project.
This round of testwork was about removing low grade ore before it gets processed and was run by ore sorting specialist TOMRA.
(source)
Ore sorting uses an X-ray to identify low grade or barren rock and reject it before the material goes through any more processing.
In theory it should mean the feedstock going into the processing plant starts at a higher grade meaning lower costs…
RCM’s tests were run on two bulk samples taken from stockpiles left over from when the project was last mined.
The two key results for us where:
- The previously mined but unprocessed ore which was upgraded from 565g/t silver to 994g/t silver, AND
- The previously processed waste ore - where grades were upgraded from ~164.6g/t silver to 1,120g/t silver - a huge upgrade…
(source)
These results matter because with simple ore sorting RCM could in theory have a smaller and cheaper plant that can deliver the same (or perhaps even more) silver output.
These positive results will feed into the scoping study currently underway on the project.
What else is RCM up to?
RCM is currently drilling at Webbs, following up the potential parallel silver lode it hit late last year which could mean a second silver system sitting right next to the existing 14.2M ounce Webbs resource.
Drilling got underway drilling has been going for a while now, so assays could be due in the coming weeks (if not days).
(source - We covered the silver drilling commencement here)
RCM has also quietly been progressing its Prophet River gallium-germanium project in Canada and recently the drill permits were received, with drilling due to start in the coming weeks:
(source - see our note on the gallium/germanium asset here)
What’s next for RCM?
(source)
🔄 Gallium/Germanium drilling in Canada
We want to see RCM lock in a rig and start drilling the project.
The drilling window in that part of the world usually starts about now and runs through to October/November, before the winter months kick in.
So ideally we see that project drilled inside this current drilling window.
RCM expects drilling to start in “late July” with assays due next quarter.
🔄 Silver drilling in NSW (Webbs project)
With the first of two rigs now turning at Webbs, we want to see RCM extend the existing resource at Webbs to the south.
And drill out the parallel structure theory.
The ideal scenario would be a confirmed NEW discovery to the west and extensions to the existing resource to the south.
🔄 Target generation on newly acquired asset
On the asset RCM acquired recently we want to see the company complete LiDAR surveys, surface sampling and geophysics.
Ultimately, we want to see the historic results validated and then a bunch of drill targets ranked from most interesting to least ahead of a drill program on the project.
🔄 Scoping study across projects in NSW
We also want to see RCM complete a scoping study for its projects in NSW - this will be the first time we get a sense of the potential economics of the projects 67M ounce silver equivalent resource base.
