Update
VANCOUVER, BC / ACCESSWIRE / April 8, 2015 / Canarc Resource Corp. (TSX:CCM, OTCQB:CRCUF, Frankfurt:CAN; "Canarc") announces it has produced fresh high-grade gold concentrate from New Polaris Gold ("New Polaris") drill cores for metallurgical testing of the Albion Process, a technology for recovering gold from refractory sulfide ores owned by Glencore Plc and used commercially under license by PanTerra Gold Limited ("Panterra").
Canarc produced the concentrate for shipping to Glencore's test lab in Australia pursuant to Phase 1 of the C$10 million Option and Joint Venture Agreement signed with PanTerra on February 25, 2015. PanTerra can earn up to a 51% interest in Canarc's New Polaris gold mine project by completing a bankable feasibility study over a 30 month period.
Update On Phase I Activities:
- Canarc received from Panterra the initial funding of C$250,000 on February 26, 2015
- 50 kilograms of concentrate grading 101 grams per tonne (g/t) gold were produced and shipped to Glencore's laboratory in Brisbane, Australia for Albion Process test-work
- Metallurgical testing of the Albion Process on the concentrate will begin later this month
- An updated technical and economic review of the proposed New Polaris mine development is being conducted by an independent engineering company for completion this quarter
- The collection of environmental baseline data required for mine permitting is now underway
- A second C$250,000 funding tranche is due from PanTerra by late May 2015
Over 500 kilograms of prior drill core samples representative of the New Polaris Gold deposit were composited into a bulk sample to produce the New Polaris flotation concentrate. The average grade of the bulk sample was 14.3 g/t Au. Recent bench scale flotation test results confirmed prior flotation results with a gold recovery rate into concentrate of approximately 90% from New Polaris concentrate.
If the Glencore metallurgical test-work confirms that the New Polaris concentrate is economically amenable to oxidation and gold extraction using the Albion Process and the updated technical and economical review is satisfactory, by late July, PanTerra will then have 60 days to elect to fund the C$3.5 million Phase 2 work program, including infill drilling, mine planning, environmental sampling and mine permitting.
Catalin Chiloflischi, CEO of Canarc, remarked: "This new metallurgical test-work of the Albion Process, if it confirms we can recover gold commercially from New Polaris concentrate, could be a major step forward for us in advancing the New Polaris Gold mine to feasibility and production."
