First Results of the Vat Leaching Pilot Tests
NEWS RELEASE TSX-V: KMT.V For Immediate Release Outstanding stocks: 43,272,510
FIRST RESULTS OF THE VAT LEACHING PILOT TESTS
Québec, May 25th, 2015 – Komet Resources Inc. (“Komet” or the “Company”) announces the first results from the VAT Leaching pilot tests.
Started back in January, pilot testing was undertaken as part of a complete and meticulous assessment of onsite ore processing equipment. The leaching process was completely upgraded and modified to use a percolation (Up Flow) system instead of a flooding (down flow) system. These pilot tests will carry on through the next couple of months and will seek to optimize this new process by systematically varying parameters such as debit, granulometry, gold grade of treated material and elution performance.
Testing was conducted using the waste material available on site (see January 29th, 2015 press release). So far, treated material graded an average of 1.75 g/t AU and recovery rates obtained from leaching averaged 66% with a cash cost of 340 CAD/oz (see table below). Three gold elution were made resulting in 1,9 kg of gold (weighted average of 20.07 carats or 84%) and generating a revenue of 75 809 CAD. President and CEO André Gagné declares: “With those surprising and encouraging results and the the gravimetry circuit pilot tests beginning next July, our slogan Produce to discover... takes on its full meaning.” All the results are based on the analysis from the laboratory of SGS at Ouagadougou using fire assay followed by atomic absorption spectrometry.
VAT Leaching operating costs – pilot tests
Cost per VAT
| Quantity | Unit price (XOF) | Unit price (CAD) | Total (XOF) | Total (CAD) | |
|---|---|---|---|---|---|
| Chemical reactives | |||||
| Cyanide (kg) | 15.625 | 4 550 | 9.52 $ | 71 094 | 148.73 $ |
| Caustic Soda (kg) | 9.375 | 490 | 1.03 $ | 4 594 | 9.61 $ |
| Carbon (kg) | 3.611 | 1 500 | 3.14 $ | 5 417 | 11.33 $ |
| Assay | |||||
| Ore | 2 | 7 500 | 15.69 $ | 15 000 | 31.38 $ |
| Carbon (kg) | 0.75 | 15 000 | 31.38 $ | 11 250 | 23.54 $ |
| Diesel | |||||
| 322 excavator | 0.5 | 11 700 | 24.48 $ | 5 850 | 12.24 $ |
| L$ oader ($/day) | 0.5 | 8 450 | 17.68 $ | 4 225 | 8.84 $ |
| 322 emptying | 1 | 11 700 | 24.48 $ | 11 700 | 24.48 $ |
| D$ u/ mp truck ($/day) | 1 | 2 600 | 5.44 $ | 2 600 | 5.44 $ |
| Labor (hour) |
| Tons per VAT | 39 | CAD |
| Waste processed grade (g/t) | 1.75 | |
| Gold per VAT (g) | 68.25 | |
| Recovery grade | 66% | |
| Recovered gold per VAT | 45.045 | |
| Gold price (XOF/g) | 22 814 | 47.73 $ |
| 1 VAT value (XOF) | 1 027 659 | 2 149.91 |
| Operating cost (XOF) | 231 014 | 483.29 $ |
|---|---|---|
| Gold price (XOF/g) | 22 814 | 47.73 $ |
| Gold (g) equivalent | 10.13 | |
| Recovery grade | 66% | |
| Gold needed | 15.34 |
| Security | 3.50 | 563 | 1.18 $ | 1 969 | 4.12 $ |
| Excavator operator | 3 | 563 | 1.18 $ | 1 688 | 3.53 $ |
| Loader operator | 1 | 563 | 1.18 $ | 563 | 1.18 $ |
| Truck operator | 2 | 563 | 1.18 $ | 1 125 | 2.35 $ |
| Laborer loading | 14 | 563 | 1.18 $ | 7 875 | 16.47 $ |
| Laborer emptying | 14 | 563 | 1.18 $ | 7 875 | 16.47 $ |
| Water and | |||||
| Water ($/liters) | 46.375 | 30 | 0.06 $ | 1 391 | 2.91 $ |
| Electricity ($/Kwh) | 960 | 80 | 0.17 $ | 76 800 | 160.67 $ |
| Total cash cost/VAT | 231 014 | 483.29 $ |
| Tons for 1 VAT | 39 |
| Minimum grade (g/t) | 0.39 |
| Cost/oz (CFA) | 159 515 |
| Cost/oz (CAD) | 340.12 $ |
| Gold price (CAD/Oz)* | 1 513.00 |
|---|---|
| Grams for 1 oz | 31.1035 |
| Exchange CAD to XOF* | 469 |
| Gold price (XOF/Oz) | 709 597 |
- Exchange rate is the average for quarter 1, 2015 according to Oanda and gold price is the average price for quarter 1. 2015 according to london metal exchange
Jacques Marchand, P.Eng. Geo., is the Qualified Person who has reviewed this news release and is responsible for the geological information presented there.
More information about the corporation is available at: http://kometgold.com
Investor relations and information: André Gagné, President and CEO 581-300-1666 / [email protected] / Skype: andregagne11
Forward-Looking Statements
Neither TSX Venture Exchange nor the regulatory service provider (as the term is defined in TSX Venture Exchange’s policies) accepts any liability of any kind as to the authenticity or accuracy of this release. - This press release contains statements that may constitute “forward-looking information” or “forward-looking statements” as set out within the context of security law. This forward-looking information is subject to many risks and uncertainties, some of which are beyond Komet Inc.’s (“Komet”) control. The actual results or conclusions may differ considerably from those that have been set out, or intimated, in this forward-looking information. There are many factors which may cause such disparity, especially the instability of metal market prices, the results of fluctuations in foreign currency exchange rates or in interest rates, poorly estimated reserves, environmental risks (stricter regulations), unforeseen geological situations, unfavorable extraction conditions, political risks brought on by mining in developing countries, regulatory and governmental policy changes (laws and policies), failure to obtain the requisite permits and approvals from government bodies, or any other risk relating to mining and development. There is no guarantee that the circumstances anticipated in this forward-looking information will occur, or if they do occur, how they will benefit Komet. The forward-looking information is based on the estimates and opinions of Komet’s management at the time of the publication of the information and Komet does not assume any obligation to make public updates or modifications to any of the forward-looking statements, whether as a result of new information, future events, or any other cause, except if it is required by securities laws.