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Halcyon Group Ltd (ASX:HCY) announce results of metallurgical testing of its Canegrass Nickel Cobalt Project

Level 2, 45 Richardson Street, West Perth WA 6005 PO Box 568 West Perth WA 6872 t: 61 8 9481 2433 f: 61 8 9322 5907
www.halcyongroup.com.au
ASX Announcement & Media Release
9 October 2007

METALLURGICAL UPGRADE POTENTIAL CONFIRMED

Highlights

• Metallurgical testing results of Canegrass Nickel Cobalt Project
• Confirms expected upgrade potential and nickel recovery from wet screening
• Similar beneficiation characteristics to Norilsk Nickel’s Cawse deposit

Halcyon Group Ltd (ASX:HCY) is pleased to announce results of metallurgical testing of its Canegrass Nickel Cobalt Project,
(tenements M24/290 and M24/39) covering an area of 15.4 km2 of the highly prospective Walter Williams Formation, located 70
kilometres north west of Kalgoorlie.
Metallurgical bulk samples of “upgradeable ore” were extracted using a Caldwell rig in the Patch-Gulch area in June 2007. The
samples were tested for beneficiation potential (wet & dry screening), grindability, abrasion index, and sizings by AMTEC.
Comparing dry and wet screening, samples from Patch-Gulch area provide expected upgrades to Ni % and Ni metal recovery. The
results confirm that wet screening is more effective than dry screening, with the grade doubling and a 50% recovery of Ni metal.
For example, a head grade sample as low as 0.45% Ni was beneficiating up to 0.9% Ni with a 50% recovery.
Managing Director, Iggy Tan said that the positive results confirm exactly what the Company expects of the Canegrass ore body.
The project is roughly 25 km along strike to the Cawse Nickel Operations owned by Norilsk Nickel.
“As we expected the beneficiation potential of our ore is very similar to the Cawse deposit. The Cawse operation utilises a
crushing and wet screening beneficiation plant at the front end of their process and obtain very similar upgrade performances”, said

Mr Tan.
Iggy Tan
Managing Director
About Halcyon
Halcyon Group Ltd is a Perth-based Nickel exploration company listed on Australian Securities Exchange, exchange code HCY. The Company’s primary focus
is on exploring, realising and expanding the economic potential of the Canegrass, Mount Pleasant, Lake Marmion, Goongarrie East and Bardoc projects in
Western Australia’s Eastern Goldfields. Halcyon acquired Mineral Rights to access and sell 140,000 tonnes of nickel metal in laterite nickel products from the
Canegrass nickel cobalt project. Members of the Halcyon Board and management team have proven records in mineral exploration, project development and
project financing.
For further information please contact
Iggy Tan – Managing Director +61 8 9481 2433 John Nayton – External Affairs +61 (0) 422 414 983
email: iggy@halcyongroup.com.au email: naytoncom@bigpond.com

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 This morning, it touched to 0.038(20%)  just after 10 minutes opening. It is testing the resister of up.

back to 0.033 at lunch time.

14:00, big buyer comes to buy up again, 0.034 gone just a 80K$ deal.

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Posted By:poly2006 : looks like HCY is in play today excellent volume on the back of a nice piece of news about the METALLURGICAL UPGRADE of their nickel project, basically with benefication they can double the nickel recovery

crazyjimsmith: This is a good long termer but I think there are lots of desperate sellers who paid 4c or more and are dumping into the strength

Kenneth: I am lucky because I hold it mostly.