Blackstone Minerals buoyed by strong palladium, platinum and rhodium recoveries in downstream processing tests

Blackstone Minerals Ltd’s (ASX:BSX) (OTCMKTS:BLSTF) (FRA:B9S) preliminary hydrometallurgical test-work on pre-feasibility study (PFS) pressure oxidation (POX) residues from Ta Khoa Project in Vietnam has demonstrated excellent recoveries of Platinum Group Elements (PGEs) including palladium, platinum and rhodium. 

Concentrate residue samples have been tested and determined to be amenable to chlorination leaching, which adds further value to Blackstone’s Downstream Business Unit (DBU). 

Shares have been up as much as 10.5% intra-day to A$0.37 while the market cap is around A$111.2 million following the news. 

Significant by-product credits

Blackstone Minerals managing director Scott Williamson said: “The recovery of PGEs will add another value component to our downstream refinery business.

“Palladium, platinum and rhodium could offer significant by-product credits, thereby reducing the overall cost of producing NCM precursor products.

Growing demand for platinum

“Blackstone offers a unique opportunity for investors to gain exposure to PGEs on the Australian Stock Exchange.

“Palladium, platinum and rhodium will play an important part in addressing global climate change, with their strong current demand being driven by their use in reducing emissions from vehicles.

“In addition, we expect growing demand for platinum given its use as a catalyst in hydrogen fuel cell technology.”

DBU hydrometallurgical process

The PGE grades recovered through test-work completed by Simulus Engineers are difficult to recover in a conventional pyrometallurgical process.

However, the Blackstone DBU hydrometallurgical process enables economic PGE recovery from concentrates with PGE concentrations below typical payability limits, due to low losses in the POX process.

Test work to further optimise results

The positive results indicate the potential for the economic recovery of PGEs.

Test-work is ongoing to further optimise these results.

In parallel, studies are continuing to incorporate the PGE recovery circuit into the DBU PFS.

Major shareholder ups stake

Separately, the company’s major shareholder Delphi Unternehmensberatung AG and related entities including Deutsche Balaton AG, Sparta AG and VV Beteiligungen AG have acquired 4.25 million shares in the company.

The German-based investor and entities now hold a total of 55,725,907 shares in the company, upping its voting power to 16.79% from 15.75% previously.

These acquisitions took place through a series of on-market purchases from April 8, 2021, to May 25, 2021.

Story by ProactiveInvestors