St. Eugene Mining (CVE:SEM) saw its shares rally on Monday after announcing gold and silver recovery results of more than 90% from its Amisk gold project in northeastern Saskatchewan.
Metallurgical test work demonstrated that gold recovery of 90% and silver recovery of up to 93% can be obtained from the property, using cyanidation with carbon-in-pulp technology.
"These positive metallurgical results speak to the quality of the resource at the Amisk Gold Project, but more importantly, they demonstrate that gold and silver recoveries can be successfully achieved with simple conventional leaching processes," said president and CEO, Jennifer Boyle.
The Amisk project is a joint venture between Claude Resources and St. Eugene, with St. Eugene holding 35%, and Claude, as operator, holding the remainder.
Three composite samples from high grade, average grade and low grade ore, weighing a total of 217 kilograms were selected from diamond drill core collected during the 2011, 2010 and historic drill programs.
The results returned an average of 89.4% recovery for gold, ranging from 85.2% to 91.7% and an average of 80.8% recovery for silver, ranging from 66.4% to 92.8%. Finer grinds resulted in higher recoveries for all metals, with peak recoveries for the medium grade composite of 91% for gold and 92.8% for silver, the company said.
Shares of St. Eugene closed higher by more than 15.7% at $0.11 on Monday.