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Tectonic Resources

Friday, November 23rd, 2007

Tectonic Resources is pleased to announce that metallurgical evaluation of the Trilogy resource at the companies Phillips River project has produced commercial grade concentrates of lead and zinc. This is a significant milestone for the company progressing its test work on Trilogy.
In particular the test work has included:
– Flotation testing on clean sulphide material from Trilogy yielding a +50% Zn grade zinc concentrate with 75% zinc recovery and 40% Pb grade lead concentrate with 60% lead recovery.
– Preliminary process route for Trilogy indicates compatibility in treating Kundip copper sulphides providing capital cost synergies for the project.
Encouraging progress on unlocking the value inherent in the Trilogy deposit has been made with metallurgical tests on deeper clean sulphide material high in zinc and lead producing a +50% Zn concentrate grade at approximately 75% recovery using conventional flotation metallurgical techniques. A concentrate approaching 40% lead at 60% recovery was produced in the same sequence of tests, with the low copper content in the feed reporting to the lead concentrate.
The Trilogy Resource includes 120,000t of lead, 67,000t of zinc, 57,000t of copper, 7.94 m oz of silver and 135,000 oz of gold within a rock mass of 4,200,000t. “These early results are very encouraging for Tectonic as we look to unlock the $ AUD 1.24 billion insitu value of the deposit” Tectonics’ Managing Director Steve Norregaard said.
Test work to date, carried out at the Burnie Research Laboratory under the direction of Mineralurgy Pty Ltd, has clearly identified that the key drivers affecting flotation performance are the amount of non sulphide lead minerals within the ore body and the amount of total organic carbon present.
The company has committed funds for further drilling at Trilogy to provide metallurgical sample whilst also enhancing the level of understanding of the distribution of non sulphide lead and total organic carbon. Ongoing work is aimed at fully understanding the distribution of the key metallurgical drivers which will in turn assist in the establishment of recovery parameters over all parts of the deposit.
Results to date suggest the processing rationale for the Trilogy deposit will be compatible with that required for the Kundip copper gold mineralisation representing a capital cost advantage for both the Kundip and Trilogy deposits.
For further information visit: www.tectonicres.com.au

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