Metallurgical Testwork on Harmony Project Ore

"Misty Mountain Gold Limited (MGL - TSE VSE, MGLCF - NASDAQ) of Vancouver, owns the Harmony Gold Project located in the Queen Charlotte Islands of British Columbia. The deposit contains a mineable reserve of 2.3 million ounces of gold, at a 1.2 g/t cut-off and an average grade of 2.1 1 g/t Au.Discovered in 1970 and frequently investigated by previous owners, full-scale production has not yet occurred because of the complex metallurgy of the deposit. Recent process studies that were completed in six months at Process Research Associates Ltd. (PRA) of Vancouver resulted in significant improvements to the project viability. The work involved detailed mineral processing studies aimed at achieving a marketable concentrate. An option for bio-oxidation and cyanidation to allow on-site dor6 production was also investigated.The main findings at PRA followed the front-end recovery of finely divided free gold (Au) by gravity concentration. Approximately 20% of Au reported to less than 0.2% of the mass, resulting in a grade exceeding 500g/t Au. The resulting gravity tailing provided a uniform feed for flotation evaluation. The optimization of this step allowed for a reasonable primary grind size of 80% passing (&) 50pm. Efficient slime’s rejection was made possible by flotation at a reduced pulp density, and pre-oxidized sulphides were reactivated with Na,S. The regrinding of the bulk flotation concentrate followed by up to five stages of cleaning resulted in a combined gravity + flotation product of 50g/t Au with 82% recovery in less than 4% of the feed mass.Further studies indicated that the flotation concentrate was amenable also to tank bio-oxidation. At 65% sulphide oxidation the gold recovery improved from less than 70% to 90% by cyanide extraction using CIL (carbon in leach). This compares to less than 45% gold recovery from whole-ore cyanidation in several previous studies. Heap leaching may also be considered for lower grade material. PRA’s methodical approach and consistent results dispelled the uncertainty about predicting the material behavior for the Harmony Property."