ABM Resources NL (“ABM” or “The Company”) presents an update on...

ABM Resources NL (“ABM” or “The Company”) presents an update on the Trial Mining and Processing at the Old Pirate High-Grade Gold Project in the Northern Territory of Australia.
Pilot Processing Facility
? Gravity gold Pilot Processing Facility up and running.
? Processing of high-grade material, from Western Limb underway.
? Gold as fine as 50 microns (0.05mm) being recovered along with the coarse gold.
Trial Mining
? Trial Mining continues with >5,000 tonnes of high-grade material stockpiled. ? Second bench at the Golden Hind complete:
• Plentiful visible coarse gold including samples > 1 centimetre in quartz veins.
• Gold also observed frequently throughout foliated black shale / shear zone.
Managing Director of ABM Resources, Mr Darren Holden said, “It is exciting for all involved seeing our gold coming across the concentrate upgrade tables. This milestone is a testament to more than 3 years of hard work in exploring and understanding this coarse gold system. Furthermore, the mineral system at Old Pirate continues to surprise us with plentiful gold observed, for the first time outside of the quartz veins, in a black shale / shear zone at the Golden Hind.”
Trial Mining and Processing Update
ABM is committed to a staged approach to the development of the Old Pirate High-Grade Gold Project. Stage One involves the extraction and processing of up to 10,000 tonnes of gold-bearing material to test the system for grade reconciliation, recovery and dilution management. ABM anticipates that Trial Mining and Processing, using a modular pilot processing plant, will increase geological understanding of the mineralisation controls as well as expose new mineralised zones not previously identified as part of exploration work to date. The Trial Mining is ABM’s equivalent of a feasibility study but has the advantage of providing more robust data, as well as producing saleable gold.
The Pilot Processing Facility
The testing of the Pilot Processing Facility has been completed and optimised with several test parcels of material. The high-grade material from the Western Limb is now being processed. Gold is being recovered from both the coarse and fine gold recovery sections of the processing circuit. Initial processing rates of test parcels were around 8 to 10 tonnes per hour which will be increased to 15 to 20 tonnes per hour as the circuit is optimised. The plant includes a three-stage crushing circuit (jaw crusher, impact crusher and cone crusher) that
reduces the material to less than 6mm. The crushed material is then passed through a jig for coarse gold recovery before passing through a ball mill (grinding to 100 microns) and a Knelson concentrator for recovery of the remaining coarse and fine gold. The gold concentrates are upgraded using a butchart and gemini table in preparation for smelting and onsite gold dore production.
Processed material has revealed gold grains in concentrate from >2mm to as fine as 50 microns (0.05mm) supporting previous laboratory test work of a high gravity gold recovery (see ASX release dated 05/09/2012). Further information on head grade, production and recovery will be released after off-site assaying results are received.
The Pilot Processing Plant is scoped to throughput the equivalent of 120,000 to 150,000 tonnes of material per annum, and with minor upgrades can be used for Stage Two mining following the completion of Stage One Trial Mining & Processing.