GBM Resources (ASX: GBZ) is a Perth based exploration company committed to targeting large gold and copper-gold system assets in Australia.
Since listing on the ASX in October 2008, the Company has developed several projects based in north west Queensland. It’s “flagship” project is the Milo Project in the Mt Isa region of NW Queensland where the company has uncovered a large IOCG and Rare Earth Element system. GBM Resources’ Victorian projects include the Malmsbury gold project and Willaura copper-gold project.
GBM Resources (ASX: GBZ) recent exploration success at the Milo IOCG and Rare Earth Elements and Yttrium Project in North west Queensland has delivered the company its maiden Inferred Resource.
The resource includes 103 million tonnes at 760ppm TREEYO for 82,500 tonnes of TREEYO, based on a 400ppm cut-off grade.
The resource contains over a fifth of neodymium, yttrium, dysprosium and europium. The estimate was based on 22 drill holes for around 3700 metres.
Where the story gets really interesting for GBM Resources is that the mineralised zone is up to 200 metres wide and continuous over a strike length of more than 800 metres, while being open in all directions.
Keeping the momentum rolling at the project, GBM Resources has commenced a Scoping Study, with consultants already appointed. The study has a forecast completion date of June 2012.
The study will include the; delineation of a maiden copper equivalent resource; complete metallurgical testing for both the copper equivalent metals and rare earth elements; a preliminary geotechnical review; preliminary mine and processing plant design; and financial modelling.
Metallurgical test work underway
Highlighting how GBM Resources continues to move the project forward, metallurgical test work and petrography has commenced to determine the host minerals for TREEYO mineralisation and to investigate potential means of beneficiation and concentration.
Early testwork indicates that a mineralisation is hosted by apatite and also a range of carbonate minerals. Initial flotation test work has indicated around 70% of the yttrium and 25% of other rare earth elements could be captured in an apatite concentrate.