Canada Nickel (TSXV:CNC; OTCQX:CNIKF) has announced significant progress in optimizing its Crawford project in the Timmins nickel district and launching a pilot plant operation. Recent test work on samples from the Crawford East zone yielded a 60% nickel sulphide concentrate, believed to be the world’s highest grade, with a total nickel recovery of 47%.
The locked cycle test, using a composite from the feasibility study’s East zone starter pit, had a head grade of 0.29% nickel, 0.04% sulphur, and 5.1% iron, featuring heazlewoodite-awaruite mineralization. It delivered a 47% total nickel recovery, surpassing the model’s target by 9%. The test produced a high-grade 60% nickel sulphide concentrate. The magnetic recovery circuit performed well with iron recovery close to the model and chromium recovery exceeding it by three percentage points.
Canada Nickel’s CEO Mark Selby highlighted the optimization potential at Crawford, emphasizing the high-grade concentrate produced from the East zone sample and the improved recovery rates from the existing starter pit area. The company’s front-end engineering design work, which began in April, continues to identify further optimization opportunities.
“The pilot plant at SGS Lakefield is more than four times the size of our prior plant that was used in 2022 and is focused on using East zone material to generate substantial quantities of nickel and nickel-chrome magnetite concentrate to be utilized by our NetZero Metals downstream business. The plant began commissioning during the past week and is expected to operate until September,” said Selby.
The metallurgical variability program, initiated in early 2024, aims to increase confidence in recovery and concentrate quality estimates while exploring optimization opportunities for the East zone.
Additionally, 10 open circuit variability tests on East zone samples showed eight samples exceeding the modeled total nickel recovery. On average, these tests achieved a 28% higher recovery than modeled. Nickel and nickel-chrome concentrate grades met expectations, aligning with feasibility study models.
Canada Nickel is conducting a 130-tonne mineral processing pilot plant program at SGS Lakefield, generating concentrate samples for NetZero Metals and supporting project engineering.
The company expects to bring the Crawford project into production by the end of 2027. The project will have two open pits and an on-site mill. Total capital cost is estimated at $3.5 billion. Over a 41-year project life, total metal production is calculated at 3.54 billion lb. of nickel, 52.9 million lb. of cobalt, 490,000 oz. of palladium and platinum, 58 million tonnes of iron and 6.2 million lb. of chromium.
For more information, visit www.CanadaNickel.com.
