What Risks Remain After Verity’s Strong Metallurgical Results at Monument Gold?

Exceptional Metallurgical Results at Korong

Verity Resources Limited (ASX, VRL) has announced metallurgical testwork results from its Korong deposit within the Monument Gold Project in Western Australia, revealing an impressive average gold recovery of 92.75%. These tests, which simulate likely open-pit mining conditions by diluting mineralisation with adjacent waste, demonstrate the deposit’s amenability to a straightforward processing route combining gravity separation and cyanide leaching.

The standout figures include recoveries reaching as high as 98.1% in fresh, high-grade material, while even the lowest-grade saprolite samples returned encouraging recoveries of 89%. Such consistent performance across different regolith domains bodes well for the project’s economic potential and operational simplicity.

Implications for Processing and Mine Planning

Low reagent consumption was another highlight, with cyanide usage ranging between 0.2 and 0.6 kilograms per tonne and lime consumption similarly low. This efficiency supports a conventional carbon-in-leach (CIL) processing plant design, which is both cost-effective and well understood in the gold mining industry.

Verity’s Director, Patrick Volpe, emphasised that these results represent a major de-risking milestone for Korong, providing strong validation of the Monument Gold Project’s quality. The metallurgical outcomes underpin confidence in mine planning assumptions and technical studies, crucial steps as the company advances towards upgrading the current inferred resource of 154,000 ounces of gold.

Project Context and Next Steps

The Monument Gold Project, located near Laverton in Western Australia’s prolific gold district, currently hosts an inferred resource of 3.257 million tonnes at 1.4 grams per tonne gold. The Korong deposit accounts for the majority of this resource, with ongoing drilling aimed at upgrading resource confidence and expanding the deposit.

Further metallurgical testing is planned for the nearby Waihi deposit, alongside more advanced studies including comminution testing to refine processing parameters. These efforts will feed into detailed mining studies, helping to define the project’s economic viability and development pathway.

Verity’s broader portfolio includes critical metals projects in Brazil and Botswana, but the Monument Gold Project remains a key focus as it moves closer to production.