Akora Resources Ltd (ASX:AKO) has affirmed the direct shipping ore (DSO) potential of its Bekisopa Iron Ore Project in Madagascar with “outstanding” grades of iron ore.
Assays from bulk samples collected from six locations along the 6-kilometre Bekisopa strike returned 67.75% iron with 0.78% silicon dioxide (SiO2) and 1.5% aluminium oxide (Al2O3) from lumps and 64.65% iron with 3.49% SiO2 and 2.3% Al2O3 from fines.
Both the high-grade lump and fines products are preferred feed material for conventional iron and steel making.
Around 50 kilograms of both lump and fines were collected from each location in the north, south and central zones of the prospect in October last year while the company was completing an infill drilling campaign.
The aim was to compare against the near-surface weathered zone assay results and for input into an upcoming scoping study update.
Screening to produce lump and fines samples.
Gaining confidence
Akora managing director and chief executive officer Paul Bibby said: “Following on from the recently announced at-surface weathered DSO drill results, the iron grades seen in these lump and fines bulk samples reiterate our confidence in the Bekisopa product.
“The DSO lump bulk sample grade of 67.75% iron is outstanding and could deliver (about) US$42/t premium above the current iron ore benchmark price, a significant advantage from selectively mining near surface DSO.
“The fines bulk sample grade of 64.65% iron is an excellent result from just screening surface iron mineralisation.
“Akora continues to report high iron grades at Bekisopa from rock chips, drilling and now the bulk samples; all very encouraging insights for DSO production at Bekisopa.”
Bulk samples collected from the six locations.
Up ahead
Akora will conduct value-in-use testing of the iron ore products to further evaluate their suitability for iron and steel making operations.
Consultancy Wardell Armstrong International, which is preparing to update the Southern Zone DSO mineral resource estimate, completed a site visit and examination of the drill core this week.
The updated MRE is due out later this month, and will be fed into the scoping study update proposed to be released around the end of July.
The company holds some 308 square kilometres of prospective iron ore exploration tenements in Madagascar.