Waratah Minerals (ASX:WTM) said initial geometallurgical test work at the Spur zone at the Spur project in New South Wales demonstrated that diagnostic leaching and gravity recovery tests on large samples of quarter core indicate that all samples returned over 90% gold recovery by combined gravity and cyanide leaching, according to a Tuesday Australian bourse filing.

Using solely gravity resulted in recovery of between 15% to 45%, with an average of 34%, while recovery by cyanidation resulted in a further 51% to 74%, the filing said. Coarse gold of over 100 micrometers was observed in all four samples.

Waratah Minerals' shares soared 11% in recent trading on Tuesday.