Bellevue Gold share price hits record high on metallurgical testing

The Bellevue Gold share price has hit a record high today following successful metallurgical testing at its site in Western Australia.

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The Bellevue Gold Ltd (ASX: BGL) share price hit record highs today. The $1.22 share price comes after an update on its Western Australia metallurgical tests. 

The test results

The company revealed what it called "exceptionally strong results" from metallurgical tests. These included overall gravity and leach recoveries from all lodes averaging 97.8%. The gravity-only component from all lodes saw results ranging from 73.6% to 91.7%. 

The announcement read:

The testwork confirmed that the Bellevue lodes are exceptional in respect to extracting gold using conventional gravity and CIL processing flowsheets. The testwork is also in line with original production at the Bellevue Lode between 1988-1996, which reportedly averaged ~96% recovery from the gravity and CIL circuits.

Bellvue also completed geotechnical, visual inspections and test work programs to prepare for underground re-entry of the WA site. According to the company, testwork revealed favourable conditions for standard ground support requirements. Tender reviews assisted in preparation for underground rehabilitation and development requirements.

The company announced that it had appointed industry-recognised mining consultant, Entech as study manager to advance the project.

According to the company; "Bellevue is also pleased to advise that it has made significant progress on several fronts as part of its preparation for development."

Strong results across the board at Bellevue

A 10,000-metre regional discovery drilling also commenced along the highly-prospective 20km Bellevue mineralised corridor.

Bellevue Managing Director Steve Parsons said, "We have established a 2.2Moz resource at 11.3gpt, we have just hit high-grade gold 7km away from the resource and we are now finalising a maiden indicated resource,

These exceptional recovery rates, combined with the economic studies and other preparations underway, will position us to develop a project in a Tier One location with very high grades and a host of other extremely attractive features.

"All work that has been conducted on the underground infrastructure, points to a very low level of capital intensity for mechanised re-entry which is an amazing result given underground entry has not occurred in over 23 years. The 3D LIDAR survey highlights the competency of the surrounding ground conditions.

The company reported the dewatering program would allow it to drill underground in Q4 of 2020.

The Bellevue Gold share price

The Bellevue Gold share price is up 13% on Wednesday to $1.22 at the time of writing. It has recovered 325% from its 52-week low of 28 cents with its WA project news likely coming into play. The share price is up 118.5% year to date. 

Motley Fool contributor Chris Chitty has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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