Bekisopa Intermediate Grade Iron Ore Upgraded to 60% Fe with 88% Recovery

Bekisopa Project Advances with Intermediate Grade Upgrade

Akora Resources Limited (ASX: AKO) has announced encouraging metallurgical test results from its flagship Bekisopa Iron Ore Project in Madagascar, confirming that intermediate grade material can be upgraded to produce saleable iron ore products. This development is a significant step forward as the company prepares to release its Pre-Feasibility Study (PFS) by the end of March 2025.

The Bekisopa deposit hosts Direct Shipping Ore (DSO) mineralisation with grades ranging from 40% to 58% iron (Fe), complementing the previously identified high-grade DSO resource. Test work demonstrated that intermediate grade material averaging 52.8% Fe can be upgraded to a Lump product grading 59.2% Fe with an 80.8% recovery rate using basic dry low intensity magnetic separation (LIMS). Similarly, material averaging 50.3% Fe was upgraded to a Fines product grading 60.8% Fe at an 88% recovery.

Implications for Resource and Mine Life

These results open the door for the inclusion of additional intermediate grade tonnes in the updated Mineral Resource Estimate (MRE), potentially extending the mine life and improving the overall economics of the Bekisopa project. The intermediate material typically lies adjacent to and beneath the existing DSO zones, often within weathered, rippable ore that does not require drilling and blasting, suggesting low mining costs.

Akora is targeting a Stage 1 DSO operation producing up to 2 million tonnes per annum of a high-grade +60% Fe average grade lump and fines product. The ability to upgrade intermediate grade material to saleable Lump and Fines products enhances flexibility and could increase the volume of market-preferred Lump ore, which commands a premium price in blast furnace steelmaking.

Technical and Operational Considerations

The metallurgical testing involved crushing and screening intermediate grade samples from across the Bekisopa resource area, followed by dry magnetic separation. The high distribution of iron into the Lump fraction (58.5% to 82% of total weight) is particularly beneficial. The simple, single-pass magnetic upgrading process offers operational flexibility and may enable the exploitation of new resource areas within the project.

Further work will focus on refining the MRE to quantify the intermediate material and integrating these findings into the PFS to assess mining, processing, and economic impacts. The project’s mineralogy, including the presence of magnetite, hematite, and goethite, will be considered in future mine planning to optimize recovery and product quality.

Strategic Outlook

Managing Director Paul Bibby highlighted the strategic importance of these results, noting that increasing the proportion of Lump product and higher grades could significantly enhance the project's financial returns. The ongoing PFS work builds on positive outcomes from the November 2023 Scoping Study and previous metallurgical tests, reinforcing the project's potential as a competitive supplier of iron ore to blast furnace steelmakers.

Akora’s focus remains on advancing the Bekisopa project towards production, leveraging its substantial 194.7 million tonne inferred resource and low impurity profile to meet market demand for high-quality iron ore. The company’s approach aligns with global trends favoring efficient, lower-emission steelmaking inputs.