Europa Metals Share News (EUZ)

(Sharecast News) - Lead, zinc and silver developer Europa Metals announced the successful completion and results of an independent hydrogeological study on its wholly-owned Toral project in Spain on Monday.
The AIM-traded firm said the progression of the requisite hydrogeological assessments and monitoring programmes formed a key part of de-risking the project for the potential future development of an underground lead, zinc and silver mining operation.

It said an independent hydrogeological study commissioned from CRS Ingenieria was now complete, following a five-month programme.

The objective was to assess water conditions and drainage relating to the potential future development of the Toral Project.

Europa said the bore hole and piezometer programme involved a series of pumping tests and live monitoring, using indicator dyes to assess sub-surface water flows and rates.

The company said the results were in line with the hydrogeological conditions assumed within its existing planned development model for a potential underground lead, zinc and silver mine at Toral.

Piezometers were continuing to monitor water levels, in line with the company's ongoing compliance with hydrogeological regulations within the region and Spain.

Europa Metals said the study's findings would allow it to establish an initial understanding of the approximate underground connectivity, flow and permeability within the head area and central area of the system.

"Following an extensive hydrogeological campaign, I am delighted to report the findings of CRS Ingenieria's independent study, which fall within the parameters of those previously modelled and established for Toral," said chief executive officer Laurence Read.

"This represents a step forward for the project with a responsible and appropriate water strategy, accredited by third parties and adhering to best practice regional regulations and federal Spanish law.

"Our work relating to hydrogeology and the local environment is ongoing, but this study supports our decision to press ahead with the planned 2022 drilling campaign."

Read said the campaign would start in the New Year, and involve both resource drilling and a series of shallow geotechnical drilling.

"The geotechnical component will be designed to assess the suitability of ground conditions for plant site infrastructure as well as the suitability of local disused quarry sites, which in turn could form part of a reclamation strategy following consultation with local community groups, by way of filling in areas with inert waste material from crushing during future production activities and then landscaping the areas concerned."

At 0815 GMT, shares in Europa Metals were up 5.95% at 4.9p.