LONDON (Alliance News) - Bushveld Minerals Ltd shares rose on Wednesday after it said it has secured a maiden mineral resource estimate for the AB-Zone at the Mokopane vanadium project in South Africa and said the pre-feasibility study and mining right application are both making "good progress".
Bushveld shares were up 7.9% to 3.75 pence per share on Wednesday afternoon.
The mineral resource estimate for the AB-Zone stands at 12.5 million tonnes of ore at a grade of 0.7% vanadium pentoxide. The concentrate grades at the zone vary between 2.01% and 2.65%, averaging 2.21%, and said the concentrate grades are "significantly higher" in the main magnetite layer than previously thought.
The resource estimate has also shown about 97.8% of the vanadium can be recovered.
"The maiden mineral resource estimate and updated metallurgical results confirm our expectations that the AB Zone represents significant upside for the project. The exceptional concentrate grades, in excess of 2% vanadium pentoxide, are approximately 20% higher than the main magnetite layer concentrate grades on which the scoping study and the pre-feasibility study have been based," it said.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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Bushveld Minerals (BMN)