ExtrEL REPRESENTS ECONOMIC SOLUTION FOR NICKEL RECOVERY FROM MINE
TAILINGS
GUELPH, ON, May 25 /CNW/ - ENPAR is pleased to report that additional
testing of its ExtrEL Leaching Technology conducted on nickel mine tailings
during the past 4 months, has confirmed its earlier findings. The testing
resulted in nickel recovery ranging from 58% to 77%. The company is extremely
excited that it can now duplicate the results on demand.
ENPAR initially reported in December that leaching of up to 77% of the
nickel contained in samples of nickel mine tailings grading up to 1.2% Ni was
obtained while employing its ExtrEL Technology.
Optimization of the ExtrEL leaching process is scheduled to begin in
June 2006, with completion expected 3 months later. These results will form
the basis for design of a pilot unit for relatively large-scale testing.
Based on testing results to date, the predominant operating cost is
power, which at $0.38 per kilogram of nickel metal recovered is considered to
be quite low.
The Company plans to proceed through pilot testing to a commercial plant
within the next 18 months. Preliminary cost modeling suggests that the capital
cost of the equipment would be recovered within 1 to 1.5 years. However, the
company cautions that additional testing is required before firm conclusions
can be made about the potential commercialization of this process.
The ability to recover nickel from what is currently perceived as a waste
material represents an enormous financial opportunity for ENPAR, its
shareholders and the mining industry.
In addition, the ExtrEL Leaching Technology may become a primary
hydrometallurgical treatment method for the traditional concentrate from the
mill floatation circuit.
Once proven on a commercial scale, the ExtrEL Leaching Technology could
potentially be used as an alternative to conventional smelting facilities
which require considerable capital and represent major environmental concerns.
This would enable both large and small mining companies to process the
ore concentrate on-site and ship metal for refining, instead of shipping ore
for primary processing.
Opportunities for ENPAR
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According to published information, the Company estimates that there are
hundreds of millions of tonnes of mill sulphide tailings containing
potentially economic grades of nickel in Australia, Canada, Russia, and
several African nations.
For example, at the Leinster, Kambalda and Mt. Keith mines in Western
Australia, there is reportedly a resource totaling 162.7 million tonnes of
tailings, containing approximately 500,000 tonnes of nickel metal. These
sulphide tailings are apparently similar in mineralogy to those tested by
ENPAR, making them ideal for treatment using the ExtrEL Leaching Technology.
Given today's nickel price of $20.81 USD per kilogram, the in-situ value
of the nickel sulphide tailings at these sites is estimated at greater than
$11 Billion USD. Furthermore, it is estimated that an additional 522,000
tonnes of nickel will be discarded as nickel sulphide tailings throughout the
remaining life at the referenced sites.
Utilizing ENPAR's ExtrEL Leaching Technology, the recoverable nickel from
the tailings at the afore mentioned sites could potentially reach
401,400 tonnes of nickel metal with a market value of approximately
$8.4 Billions USD.
ENPAR is a "Technology Company" applying its patented and proprietary
"Electrochemical Technologies" to the recovery of base metals and to the
treatment of waste water and drinking water contaminated by metals or
nutrients i.e., nitrate/ammonia associated with the mining, metal processing,
chemical, agricultural, municipal and waste management sectors. The common
shares trade on Tier ll of the TSX Venture Exchange under the symbol "ENP".
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
This news release contains forward-looking statements within the meaning
of the "safe harbour" provisions of the Private Securities Litigation Reform
Act of 1995. These forward-looking statements are subject to risks and
uncertainties and other factors that may cause ENPAR Technologies Inc. results
to differ materially from expectations. These include risks relating to market
fluctuations, property performance and other risks. These forward-looking
statements speak only as of the date hereof.
