Gold Basin’s Heap-Leach Potential Faces Test: Can Helix Deliver Low-Cost Gold Extraction?

Metallurgical Breakthrough at Gold Basin

Helix Resources Ltd (ASX, HLX) has unveiled promising metallurgical testwork results from its Gold Basin oxide-gold project in northern Arizona. The recent bottle roll and column leach tests, conducted by independent experts Kappes Cassiday & Associates, demonstrate excellent gold recoveries; up to 86% in bottle roll tests and 80% in column leach tests; highlighting the deposit's amenability to heap-leach processing.

The Gold Basin project, situated within the prolific Walker Lane Gold Trend, currently holds an inferred mineral resource of approximately 8.35 million tonnes containing nearly 300,000 ounces of gold at an average grade of 1.12 grams per tonne. These metallurgical findings reinforce Helix’s confidence in developing a low capital expenditure and low operating cost heap-leach operation, leveraging the clean, oxide gold mineralisation that extends from surface.

Technical Insights and Operational Implications

The testwork program included bottle roll leach tests on reverse circulation drill samples and column leach tests on diamond core composites. Results showed rapid and efficient gold extraction with low cyanide consumption and minimal preg-robbing; an important factor that can otherwise reduce gold recovery. Agglomeration and compaction tests indicated that the ore material maintains permeability at heap heights up to 100 metres, exceeding industry standard recommendations, which bodes well for heap-leach design flexibility.

Notably, the mineralisation exhibits extremely low levels of deleterious elements and contaminants, which simplifies processing and reduces reagent costs. The consistency of gold recoveries across various depths and grades further supports the robustness of the deposit and its suitability for heap-leach extraction.

Resource Expansion and Future Prospects

Helix is actively updating the Gold Basin resource estimate, incorporating data from 335 new drillholes completed since the last estimate in 2019. The deposit remains open along strike and at depth, with recent drilling confirming broad, continuous oxide gold mineralisation. This exploration upside, combined with the metallurgical results, positions Gold Basin as a key growth asset in Helix’s portfolio.

Executive Chairman Mike Povey emphasised the significance of these findings, noting that the project’s clean oxide gold and excellent recoveries align with many successful heap-leach operations in the southwestern United States. He highlighted the company’s commitment to advancing the project and delivering long-term shareholder value.

With ongoing resource updates and planned drilling programs, Helix is poised to refine the project’s economics and potentially accelerate development plans. The combination of strong metallurgical performance and substantial exploration potential makes Gold Basin a compelling asset in the current gold market environment.