TIDMSML
RNS Number : 7505C
Strategic Minerals PLC
03 October 2018
Market Abuse Regulation (MAR) Disclosure
Certain information contained in this announcement would have
been deemed inside information for the purposes of Article 7 of
Regulation (EU) No 596/2014 until the release of this
announcement.
3 October 2018
Strategic Minerals plc
("Strategic Minerals", "SML" or the "Company")
Joint Venture Partners Commit to Redmoor Phase 2 Drilling
Programme
Following Further High Grade Exploration Results
Strategic Minerals plc (AIM: SML; USOTC: SMCDY), a producing
mineral company actively developing projects prospective for
battery materials, is pleased to announce that, following the
latest successful drilling results from the 2018 Phase 1 drilling
programme at its Redmoor Tin-Tungsten Project, the joint venture
partners have committed a further GBP121,250 each to undertake
additional Phase 2 drilling.
HIGHLIGHTS
-- Continued successful interceptions have encouraged Cornwall
Resources Limited's ("CRL's") shareholders, SML and New Age
Exploration Limited ("NAE"), to commit to a minimum four-hole Phase
2 drilling programme which will begin directly after completion of
the Phase 1 drilling programme.
-- Assay results from two further holes from the Phase 1
drilling programme continue to show interception of high-grade
zones within the Sheeted Vein System ("SVS") highlights of which
are:
o CRD023: 22.49 m @ 1.00% SnEq from 667.10 m, including 2.00 m @
4.25% SnEq
o CRD024: 6.21 m @ 1.46% SnEq from 499.42 m, including 1.00 m @
4.11% SnEq
o CRD024: 5.62 m @ 1.83% SnEq from 567.94 m, including 1.00 m @
7.74% SnEq
o CRD024: 6.00 m @ 2.61% SnEq from 583.95 m, including 3.00 m@
4.45% SnEq
-- These holes include the highest-grade, length-averaged
results yet and highlight the potential to both increase the
resource tonnage and grade at Redmoor.
-- Phase 1 drilling has been completed with full assay results
expected to be released during the December quarter.
-- The Phase 2 drilling programme is aimed at further extending
the Redmoor high-grade Inferred resource in preparation for the
Pre-Feasibility Study next year.
-- Results from the Phase 2 programme are likely to be available in the first quarter of 2019.
-- SML will fully fund its share of the costs of Phase 2
drilling (GBP121,500) from internal sources.
Commenting, John Peters, Managing Director of Strategic
Minerals, said:
"The latest drilling results from Redmoor continue to deliver
notably exciting high-grade tin equivalent values. This has
encouraged both SML and NAE to commit and fund additional drilling
to further document and support higher grade tonnage for the
proposed PFS in 2019.
The quality of the technical work completed by CRL has delivered
exceptional results highlighted by the high-grade intersections
which will be converted into a resource estimate in early in
2019."
2018 Drilling Programme
In June 2018, CRL began its Phase 1 drilling programme, aimed at
further increasing the tonnage and grade of the high-grade
tin-tungsten-copper resource within the Sheeted Vein System at its
Redmoor Project, which presently stands at an Inferred resource of
4.5 Mt @ 1.0% SnEq(1) . The seven-hole Phase 1 programme was funded
by SML and NAE having contributed GBP332,000 each.
Assay results for the first two holes, CRD021 and CRD022 were
reported on 19 September 2018. Results for the next two holes;
CRD023 and CRD024, are reported herein.
Hole CRD025 of the Phase 1 drilling programme has been completed
and has intersected multiple zones of tungsten and copper
mineralisation (identified visually) and is in the process of being
sampled and analysed.
Drilling has just been completed on the remaining Phase 1 holes
(CRD026, CRD027) which again show multiple zones of tungsten and
copper mineralisation (identified visually) and we now await
sampling and analysis.
Final assay results from the Phase 1 drilling programme are
expected to be released in the December quarter.
Based on the continued strong Phase 1 results to date, CRL's
shareholders, SML and NAE, will commence a Phase 2 drilling
programme immediately following completion of the Phase 1 drilling
programme. The Phase 2 drilling programme consists of a minimum of
four holes aimed at further extending the Redmoor high-grade
Inferred resource.
CONTINUED STRONG RESULTS AND HIGH GRADES
CRD023
A summary of the significant intercepts in CRD023 is provided
below with details shown in Table 1(2) :
-- CRD023: 1.05 m @ 5.76% SnEq from 650.89 m
-- CRD023: 22.49 m @ 1.00% SnEq from 667.10 m, including 2.00 m @ 4.25% SnEq
Hole CRD023 was designed to test a deep extension of the SVS
well below, and towards the western edge of the deep parts of the
existing Inferred Resource. The hole was successful in intersecting
mineralisation more than 210 m below that seen in nearest holes
up-dip. As with both CRD019 (the deepest hole of the 2017 drilling
programme) and CRD021 and CRD022 (reported 19 September 2018) this
hole provides strong evidence for the presence of down-dip
extensions of the mineralisation, and indicates grade increasing
with depth.
CRD024
A summary of the significant intercepts in CRD024 is provided
below, with details shown in Table 1(2) :
-- CRD024: 6.21 m @ 1.46% SnEq from 499.42 m, including 1.00 m @ 4.11% SnEq
-- CRD024: 5.62 m @ 1.83% SnEq from 567.94 m, including 1.00 m @ 7.74% SnEq
-- CRD024: 6.00 m @ 2.61% SnEq from 583.95 m, including 3.00 m@ 4.45% SnEq
Hole CRD024 was designed to test a deep extension of the SVS
well below, and towards the eastern edge of, the deep parts of the
existing Inferred Resource. The hole was successful in intersecting
mineralisation more than 160 m from that seen in nearby previous
holes, which are located up dip and along strike in both
directions. As with all holes from CRD019 to CRD023 this hole
provides strong evidence for the presence of down-dip extensions of
the mineralisation, and shows grade increasing with depth.
Table 1 Significant Intersections
Drillhole From To Intersection Est. True Cu Sn W03 SnEq
Thickness Thickness
(m) (m) (m) (m) (%) (%) (%) (%)
---------- ------ ------ ------------ ---------- ----- ----- ----- -----
CRD023 650.89 651.94 1.05 0.35 0.34 0.01 3.93 5.76
---------- ------ ------ ------------ ---------- ----- ----- ----- -----
CRD023 667.1 689.59 22.49 14.83 0.18 0.01 0.64 1.00
---------- ------ ------ ------------ ---------- ----- ----- ----- -----
including 667.10 669.10 2.00 1.32 0.41 0.01 2.86 4.25
---------- ------ ------ ------------ ---------- ----- ----- ----- -----
including 674.56 680.79 6.23 4.11 0.18 0.01 0.90 1.36
---------- ------ ------ ------------ ---------- ----- ----- ----- -----
including 686.59 689.59 3.00 1.98 0.17 0.01 0.77 1.18
---------- ------ ------ ------------ ---------- ----- ----- ----- -----
CRD024 499.42 505.63 6.21 4.77 0.41 0.02 0.89 1.46
---------- ------ ------ ------------ ---------- ----- ----- ----- -----
including 501.42 502.42 1.00 0.77 0.52 0.02 2.71 4.11
---------- ------ ------ ------------ ---------- ----- ----- ----- -----
including 503.92 505.63 1.71 1.31 0.04 0.01 1.21 1.75
---------- ------ ------ ------------ ---------- ----- ----- ----- -----
CRD024 567.94 573.56 5.62 3.3 0.08 0.01 1.25 1.83
---------- ------ ------ ------------ ---------- ----- ----- ----- -----
including 567.94 568.94 1.00 0.59 0.14 0.01 5.37 7.74
---------- ------ ------ ------------ ---------- ----- ----- ----- -----
CRD024 583.95 589.95 6.00 4.00 0.51 0.01 1.68 2.61
---------- ------ ------ ------------ ---------- ----- ----- ----- -----
including 586.95 589.95 3.00 2.00 0.83 0.02 2.86 4.45
---------- ------ ------ ------------ ---------- ----- ----- ----- -----
PHASE 2 DRILLING
Based on the strong Phase 1 results to date, CRL's shareholders,
SML and NAE, have approved a Phase 2 drilling programme which will
continue directly after the Phase 1 drilling programme. The Phase 2
drilling programme consists of a minimum of four holes aimed at
further extending the Redmoor high-grade Inferred resource. The
drilling is equally funded by the CRL JV partners.
The results of this proposed drilling are expected to be
available in the first quarter of 2019.
([1]) SML Announcement, 20 March 2018 - Redmoor 2018 Resource
Update.
([2]) The thicknesses quoted below, and all other thicknesses in
this report are, unless otherwise stated, apparent thicknesses.
Estimated true thicknesses are shown in Table 1. For convenience,
significant intercepts are also expressed in terms of a calculated
tin equivalent value (SnEq). Equivalent metal calculation notes;
Sn(Eq)% = Sn%*1 + WO3%*1.43 + Cu%*0.40. Commodity price
assumptions: WO3 US$ 33,000/t, Sn US$ 22,000/t, Cu US$ 7,000/t.
Recovery assumptions: WO3 recovery 72%, Sn recovery 68% & Cu
recovery 85% and payability assumptions of 81%, 90% and 90%
respectively.
COMPETENT PERSON'S STATEMENT
The information in this announcement that relates to Exploration
Results is based on information compiled and/or reviewed by Paul
Gribble C.Eng., a Fellow of the Institute of Materials, Minerals
and Mining (FIMMM), and who is Principal Geologist of Geologica UK
(Geologica). Paul Gribble has sufficient experience which is
relevant to the style of mineralisation and type of deposit under
consideration and to the activity which he is undertaking to
qualify as a Competent Person as defined in the 2012 Edition of the
'Australasian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves'. Paul Gribble is also a Competent
Person as defined in the "Note for Mining and Oil & Gas
Companies" which form part of the AIM Rules for Companies. Paul
Gribble has reviewed and consented to the inclusion in the
announcement of the matters based on his information in the form
and context in which it appears.
GLOSSARY - DEFINITIONS OF EXPLORATION RESULTS, RESOURCES &
RESERVES
Extracted from the Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves ("JORC
Code") (December 2012) (www.jorc.org)
A 'Mineral Resource' is a concentration or occurrence of
material of intrinsic economic interest in or on the Earth's crust
in such form, quality and quantity that there are reasonable
prospects for eventual economic extraction. The location, quantity,
grade, geological characteristics and continuity of a Mineral
Resource are known, estimated or interpreted from specific
geological evidence and knowledge. Mineral Resources are
sub-divided, in order of increasing geological confidence, into
Inferred, Indicated and Measured categories.
An 'Inferred Mineral Resource' is that part of a Mineral
Resource for which tonnage, grade and mineral content can be
estimated with a low level of confidence. It is inferred from
geological evidence and assumed but not verified geological and/or
grade continuity. It is based on information gathered through
appropriate techniques from locations such as outcrops, trenches,
pits, workings and drill holes which may be limited or of uncertain
quality and reliability.
An 'Indicated Mineral Resource' is that part of a Mineral
Resource for which tonnage, densities, shape, physical
characteristics, grade and mineral content can be estimated with a
reasonable level of confidence. It is based on exploration,
sampling and testing information gathered through appropriate
techniques from locations such as outcrops, trenches, pits,
workings and drill holes. The locations are too widely or
inappropriately spaced to confirm geological and/or grade
continuity but are spaced closely enough for continuity to be
assumed.
A 'Measured Mineral Resource' is that part of a Mineral Resource
for which tonnage, densities, shape, physical characteristics,
grade and mineral content can be estimated with a high level of
confidence. It is based on detailed and reliable exploration,
sampling and testing information gathered through appropriate
techniques from locations such as outcrops, trenches, pits,
workings and drill holes. The locations are spaced closely enough
to confirm geological and/or grade continuity.
An 'Ore Reserve' is the economically mineable part of a Measured
and/or Indicated Mineral Resource. It includes diluting materials
and allowances for losses which may occur when the material is
mined. Appropriate assessments and studies have been carried out,
and include consideration of and modification by realistically
assumed mining, metallurgical, economic, marketing, legal,
environmental, social and governmental factors. These assessments
demonstrate at the time of reporting that extraction could
reasonably be justified. Ore Reserves are sub-divided in order of
increasing confidence into Probable Ore Reserves and Proved Ore
Reserves.
FORWARD LOOKING STATEMENTS
This report contains "forward-looking information" that is based
on the Company's expectations, estimates and forecasts as of the
date on which the statements were made. This forward-looking
information includes, among other things, statements with respect
to the Company's business strategy, plans, objectives, performance,
outlook, growth, cash flow, earnings per share and shareholder
value, projections, targets and expectations, mineral reserves and
resources, results of exploration and related expenses, property
acquisitions, mine development, mine operations, drilling activity,
sampling and other data, grade and recovery levels, future
production, capital costs, expenditures for environmental matters,
life of mine, completion dates, commodity prices and demand, and
currency exchange rates. Generally, this forward-looking
information can be identified by the use of forward-looking
terminology such as "outlook", "anticipate", "project", "target",
"likely", "believe", "estimate", "expect", "intend", "may",
"would", "could", "should", "scheduled", "will", "plan", "forecast"
and similar expressions. The forward-looking information is not
factual but rather represents only expectations, estimates and/or
forecasts about the future and therefore need to be read bearing in
mind the risks and uncertainties concerning future events
generally.
For further information, please contact:
+61 (0) 414 727
Strategic Minerals plc 965
John Peters
Managing Director
www.strategicminerals.net
Follow Strategic Minerals on:
Vox Markets: https://www.voxmarkets.co.uk/company/SML/
Twitter: @SML_Minerals
LinkedIn: https://www.linkedin.com/company/strategic-minerals-plc
Facebook: https://www.facebook.com/search/top/?q=strategic%20minerals%20plc
+44 (0)20 3470
SP Angel Corporate Finance LLP 0470
Nominated Adviser and Broker
Ewan Leggat
Laura Harrison
Notes to Editors
Strategic Minerals Plc is an AIM-quoted, operating minerals
company actively developing projects prospective for battery
materials. It has an operation in the United States of America and
development projects in the UK and Australia. The Company is
focused on utilising its operating cash flows, along with capital
raisings, to develop high quality projects aimed at supplying the
metals and minerals being sought in the burgeoning electric
vehicle/battery market.
In September 2011, Strategic Minerals acquired the Cobre
magnetite tailings dam project in New Mexico, USA, a
cash-generating asset, which it brought into production in 2012 and
which continues to provide a revenue stream for the Company. This
operating revenue stream is utilised to cover company overheads and
invest in development projects orientated to supplying the
burgeoning electric vehicle/battery market.
In January 2016, the portfolio was expanded with the acquisition
of shares in Central Australian Rare Earths Pty Ltd, which holds
tenements in Western Australia and the Northern Territory that are
prospective for cobalt, gold, nickel sulphides and rare earth
elements. The Company has since acquired all shares in Central
Australian Rare Earths Pty Ltd. In September 2018, the Company
entered contracts for the sale of certain CARE tenements that have
been identified as gold targets.
In May 2016, the Company entered into an agreement with New Age
Exploration Limited ("NAE") and, in February 2017, acquired 50% of
Cornwall Resources Limited ("CRL"), the joint venture vehicle which
owns the Redmoor Tin/Tungsten project in Cornwall, UK. In June
2018, CRL began its 2018 Phase 1 drilling programme aimed at
further increasing the tonnage and grade of the high-grade
tin-tungsten-copper resource, which presently stands at an Inferred
resource of 4.5Mt @ 1.0% SnEq (as reported in the announcement
"Redmoor 2018 Resource Update" dated 20 March 2018). Based on the
encouraging Phase 1 results to date, SML and NAE, are reviewing
plans to undertake additional drilling to further expand the size
of the resource and upgrade a portion of it to an indicated, as
opposed to inferred, status. These are prerequisites to commencing
an investment quality pre-feasibility study in 2019.
In March 2018, the Company completed the acquisition of the
Leigh Creek Copper Mine situated in the copper rich belt of South
Australia and is currently working to bring this into operation in
2019.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
DRLFKBDNPBDDBKK
(END) Dow Jones Newswires
October 03, 2018 02:00 ET (06:00 GMT)
Strategic Minerals (LSE:SML)
Historical Stock Chart
From Apr 2024 to May 2024
Strategic Minerals (LSE:SML)
Historical Stock Chart
From May 2023 to May 2024