June 8, 2021
Mawson Gold Ltd. (TSX:MAW, BUY, C$0.90 target, David A. Talbot) announced metallurgical testwork results from the BATCircle joint research project geometallurgical orientation study on its 100%-owned Rajapalot Au-Co project located in Finland. Results indicated excellent Au recoveries by conventional cyanidation across multiple resource areas between 97.3% and 98%, while gravity concentration yielded recoveries of 44% for Au and 20% for Co. Flotation could be the most effective separation process to recover both the metals, with results yielding recovery rates of 90% for Au, between 23% and 63% for Co and 78%-93% for cobaltite; and concentrate grades of 100 g/t for Au and 1% for Co. We view these results positively as it shows that gold recovers well, and even though cobalt recoveries are a little more challenging, they have been confirmed and are in line with previous studies conducted by the company. Mawson plans to continue its cycle testwork to further optimize Au and Co recoveries and define a process flowsheet. Moreover, exploration drilling continues at the project with management targeting a 50% increase to its existing resource base in an updated resource estimate in Jul/21. Cobalt has become a very positive influence on the Rajapalot project as governments around Europe are advocating for local sources of Co. Finland produces ~10% of global refined Co (although 90% of its source feed comes from the DRC) making the Rajapalot project an important cornerstone project for Mawson. Read more
