A geotech holds a REE-bearing rock at a project unrelated to OD6. Source: File
The Market Online - At The Bell

Join our daily newsletter At The Bell to receive exclusive market insights

Metallurgical testing conducted by OD6 Metals (ASX: OD6) at its West Australian Splinter Rock project has shown a grade jump of 224% in total rare earth oxides (TREO), while also indicating the potential for low-cost processing through the reduced use of hydrochloric acid.

The testing comprised both the removal of coarse materials – yielding the 224 percent rise in TREOs – while also showing that the consumption of hydrochloric acid could be decreased by up to a 79 percent, to around 10 kilograms of the acid per tonne of screened ore.

The twin results of better recoveries and lower acid consumption signal a good economic framework for the project, since more than 5 million tonnes per annum of REE-bearing clay can be treated through the use of a single chlor-alkali electrolyser.

The testing work was based on 13 samples taken from various clays, locations and depths across the project – located 150 kilometres from Espereance – with D6 seeking more information on how material at the four prospects of Prop, Centre, Scrum and Flanker responded in terms of acid consumption and recovery.

Managing director Brett Hazelden said the testing work had pulled up the results desired by OD6 in terms of its future plans for Splinter Rock.

“These latest results demonstrate that a significant increase in TREO grades can be achieved by removing coarse material greater than 75um,” he said.

“Leaching of the finer faction material has the corresponding benefit of consuming an average of 35% less acid as a total of product processed.

“This provides a potential benefit to the overall cost profile of any future operation by reducing the amount of material that needs to be leached with acid by approximately
40 percent. Additional screening size optimisation will occur in future phases of work providing the potential for further improvements. “

OD6 Metals has been trading at 7.2c.

OD6 by the numbers
More From The Market Online
The Market Online Video

Market Close: ASX200 takes a slide into the weekend

The ASX200 shed 0.85% today – with every sector – except materials, losing ground. IT stocks…
The Market Online Video

Market Update: ASX dips with only materials afloat

The ASX is down nearly half a per cent - on par with future's predictions -…
The Market Online Video

Market Update: ASX accelerates ahead of future forecasts

The ASX200 delivered a sweet surprise this morning, surging 1.7 per cent to deliver growth far in excess of future’s predictions.

Encounter pulls a rabbit out of the hat chasing copper at Sandover

Encounter Resources Ltd has found high grade copper through drilling at its Sandover project in the…