ASX-listed Mustang Resources has taken another significant step in its strategy to ramp up processing at the Montepuez ruby project, in Mozambique, with the start of bulk sampling on license 8245L, in which Mustang recently acquired a 65% interest from Regius Resources.
The miner considered the license, which Mustang acquired through the issuing of 30-million ordinary shares and $100 000 cash to Regius, as highly strategic because it borders Mustang’s existing Montepuez license, as well as a lucrative ruby project owned by London-listed Gemfields.
Importantly, it lies along the south-east, north-west ruby mineralization trend, which also transects the adjacent Gemfields licenses.
Mustang has now made a strong start to the bulk sampling at 8245L, with 10 000 t of gravel already delivered to the Montepuez processing plant from pit NT01 – which holds shallow mineralization with a very low strip ratio.
Initial manual test pitting by Mustang across a broader area of 8245L has generated strong results, with 11.75 ct of ruby recovered from 2 726 kg of gravel processed through Bushman jigs, highlighting the high-grade potential of the area.
Mustang revealed last week that the commissioning of the upgraded processing plant at Montepuez has been highly successful and processing rates are now ramping up.
Given this progress, Mustang is confident that it will achieve its targeted processing rate of 1 500 t/d within weeks.
The increasing throughput means Mustang is also on track to achieve its target of building a ruby inventory of 200 000 ct ahead of its planned initial auction in October. This will provide an opportunity to increase the volume of rubies available for sale in the October auction.(Source: Mining Weekly)