Centaurus Metals (ASX:CTM) on Monday reported "highly encouraging" results from its recent pilot plant test work program on ore from its Jambreiro iron ore project in south-east Brazil, confirming the potential to produce a high-quality direct reduction pellet feed (DRPF) product across its entire projected mine life, according to a Monday Australian bourse filing.

The company said that over half a tonne of high-grade DRPF concentrate was produced with an average product specification of 67.8% iron, 1.45% silica, and 0.48% alumina for a combined silica and alumina level of 1.93%, representing a high-quality direct reduction product.

Product was delivered with a mass recovery of 40.3% and a metallurgical recovery of 89.3%, the filing added.

The company said it will use the test results to further support talks with potential off-take partners.