Coronet Provides Update on Liberty Operations
Vancouver, British Columbia--(Newsfile Corp. - April 9, 2014) - Coronet Metals Inc. (TSXV: CRF) (FWB: 2CM) (OTCQX: CORMF) ("Coronet" or the "Company") today reported that, since commencement of commissioning of the plant and the first gold pour at its Liberty gold processing facility in Nevada ("Liberty") it has toll-processed approximately 60 tons of concentrate from its third-party supplier in Colorado ("Colorado Feed Material").
Developing an understanding of the metallurgical issues while commissioning the plant has been challenging. Commissioning required methodically addressing grind of the feed material, water quality, agitation of material, leach time and the reliability of an older AA assay unit, among other issues. Mechanical problems with the circuit were successfully addressed and the plant is now mechanically complete and operational. However, the Colorado Feed Material has proved to be metallurgically more complex than anticipated and Liberty has not yet achieved commercially sustainable operations. Management has now determined that this particular material cannot be economically recovered within the current circuit.
Coronet has reviewed alternative processes to extract gold from the Colorado Feed Material and other complex feed material available to it. The Company is currently evaluating the commercial applicability of a proprietary process that has been very successful at the pilot plant level. The owners of the process are funding and have commenced fabrication of a 25tpd concentrating and reactor circuit. The concentrating circuit unit will be installed within the next two weeks at Liberty. Coronet plans to use the unit to re-concentrate and re-process all of the Colorado Feed Material and do a large scale test on the viability of additional material from Nevada. Coronet has successfully tested the Colorado Feed Material and the additional potential feed from the Nevada source with this alternative process on a smaller scale.
Discussions with potential suppliers of material continue to support Coronet's belief that there is demand for a gold concentrate toll processing facility that can handle complex feed material. The Company recognizes that it underestimated the commissioning challenges at Liberty but believes that the fundamental business model is sound and that the challenges with the initial circuit created an opportunity whereby Liberty is now able to offer additional low-cost treatment options for a variety of precious metals concentrates.
The Company is optimistic that the current commercial-scale test work using the alternative gold extraction processes will be successful and will enable it to build out its business model.
Coronet is also announcing that Mr. Stephen Stine stepped down as the Company's CEO effective April 1, 2014. Mr. Stine will continue his role as COO. In the interim, Mr. Theo van der Linde, President, will assume the duties of CEO until such time that the Company fills the role on a permanent basis.
About Coronet Metals Inc.
Coronet Metals Inc.'s objective is to become a gold development and production company. The management team has experience in all aspects of the development and financing of resource projects in North and South America. Coronet owns the Yanamina Gold Project in Peru, the White Caps Gold Mining, Company Inc. Gold Project in Nevada and the Liberty Precious Metals Testing and Processing Facility in Nevada.
This news release contains certain forward-looking statements about operations, future plans and expansion of operations and revenue, and such statements involve risks and uncertainties. The results or events predicted may differ materially from actual results or events. Any forward-looking statement speaks only as of the date of this news release. Except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results, or any other occurrence.
Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
FOR FURTHER INFORMATION AND ENQUIRIES:
Theo van der Linde
President and CFO
Tel: +1 902 403 7258
Email: tvanderlinde@coronetmetals.com
Web: www.coronetmetals.com