Accelerate Resources Ltd (ASX:AX8) is trading higher on achieving 99.9% high purity manganese sulphate monohydrate (HPMSM) crystals produced in initial leach and purification tests at its Woodie Woodie North Manganese Project in Western Australia.
The test results support the company’s critical minerals strategy which seeks higher-value products that deliver superior returns.
Notably, HPMSM demand is forecast to increase dramatically in the coming years due to increased global demand from the electric vehicles sector.
What’s more, AX8’s strategy will complement and run parallel to its development of direct shipping ore (DSO) products for the steel industry.
The markets have welcomed the news with shares trading as high as $0.026, up 13.04% on the previous close.
Delivering value
AX8 managing director Yaxi Zhan said: “With the exponential growth in demand for electric vehicles, the need for high purity manganese sulphate monohydrate (HPMSM) is anticipated to soar.
“Our recent test-work results are promising and they set the stage for a comprehensive, value-adding and vertically integrated business approach that generates multiple revenue streams.
“As we move forward, AX8 remains committed to leveraging our expertise in critical minerals to meet the demands of an ever-evolving industry and deliver significant value to our shareholders.”
Test-work program
A total of three sighter leaches were completed using a standard SO2 reductive leach, where manganese recovery varied between 67%-80%.
The XRD results indicate that manganese is present as cryptomelane suggesting that high manganese extraction should be achievable if the mineral is liberated and test conditions, including grind size, reagent addition and temperature, are further optimised.
Pregnant leach liquor from the three tests was combined for purification, which included neutralisation, multi-stage precipitation and solvent extraction.
Following purification, the liquor was subject to crystallisation to produce an HPMSM sample.
Subsequently, the HPMSM sample was assayed for impurities and achieved a high purity of 99.9%.
The assay data was compared to standard HPMSM specifications, with only calcium, cobalt and zinc above typical battery-grade specifications.
Forward plan
AX8 intends to aggressively target resources and generate discoveries at Woodie Woodie North through its upcoming 2023 drilling campaign.
Parallel to this, the company will continue metallurgical test-work on the manganese mineralisation from Woodie Woodie North to assess the potential for high-value product beneficiation.
The recent collaboration with RedoxBlox represents another step forward in its Critical Mineral and Value-add strategy.
Furthermore, AX8 will continue to explore opportunities within the HPMSM space and develop partnerships with various cross-sector groups.