The resource now includes an estimation of cobalt, nickel and copper as well as a distinct massive magnetite high-grade zone known as HG10.
The revised resource estimate provides an improved basis for the pre-feasibility study (PFS) being undertaken.
AVL’s managing director Vincent Algar said: “This important revision to the Gabanintha resource further de-risks the foundations on which we can build an outstanding Australian project.
“We have developed a unique understanding of the deposit, and our very strong vanadium team will enable us to utilise this knowledge as we advance the project.
“Our timing in respect to supplying the rising vanadium market looks to be ideal.
“We will develop the metallurgical and economic aspects of the project in our PFS, looking to include the needs of potential steel industry offtake and that of the rapidly emerging Vanadium Redox Flow Battery Industry.”
Pre-feasibility studying ongoing
AVL aims to produce a high-quality PFS with a well-defined process flow sheet and is focused on de-risking the project to allow future investment.
The PFS will include a robust options study to assure that the most viable, lowest cost mining and processing operation is pursued.
Initial metallurgical test work and process circuit design work are well advanced.
Work is ongoing on the geo-metallurgical understanding of the mineralised domains to support processing circuit design, performance prediction and mine scheduling.
A detailed mining study including pit optimisation and a preliminary assessment of an initial mine schedule is well advanced.
Opportunity to produce base-metal rich sulphide concentrate
Metallurgical test work has identified the opportunity to produce a cobalt, nickel, copper-rich sulphide concentrate by flotation from the non-magnetic tailings stream.
Further work will be conducted to refine the resource opportunity, concentrate quality and economic benefit.
Revised resource estimate
The revised resource estimate includes a geologically distinct massive vanadium-bearing magnetite high-grade zone, HG10, that is the focus of economic studies.
The combined Measured, Indicated and Inferred resource estimate for the high-grade zone is 93.6 million tonnes at 1.00% vanadium pentoxide.
AVL sees high potential to convert Inferred Resources located along the 11 kilometres of strike length at Gabanintha to the Measured and Indicated categories with additional targeted drilling.