Last checked at 1 Sep 2014 07:00
01 September 2014 |
Bushveld Minerals Ltd
("Bushveld" or the "Company")
Operations Update - Bushveld Vanadium Project Resource Upgrade
Bushveld Minerals Limited (AIM: BMN), a mineral development company focused on iron, vanadium and tin projects in southern Africa, is pleased to provide an operations update for its Main Magnetite Layer ("MML") vanadium project in Limpopo Province, South Africa.
The Company provides the results of a recent Mineral Resource Estimate on mineralisation identified in the hanging wall of the MML ("MML HW").
Highlights:
· Additional 68.7 Mt of Inferred Mineral Resources at a cut-off of 25% Fe (iron), with an average grade of 28.8% Fe and 0.75% V2O5 (vanadium pentoxide)
· Total Mineral Resources of 120.5 Mt at a cut off of 25% Fe for the combined Inferred and Indicated Mineral Resource, representing an increase of 130% in the reported tonnage on the Vanadium Project (at an average grade of 35.7% Fe and 1.06% V2O5)
· Pending metallurgical testwork, potential remains to define additional Mineral Resources (on layers UG-A, UMG1, UMGPARTING, MAG1HWGAB, MAG2HWGAB and MMLHW)
Fortune Mojapelo, CEO of Bushveld Minerals, said: "The initial 52 Mt Indicated Mineral Resource announced for the Bushveld Vanadium Project - on which we have recently completed a scoping study - is already a world class deposit with exceptional in-situ grades of 1.48% V2O5 and in-magnetite grades of 2.01% V2O5. This update increases the Mineral Resource tonnage by 130% through the addition of MML hanging wall layers at ~0.75% V2O5 in situ grade.
This update comprises the layers within the hanging wall package of the MML, which was assumed in the recent vanadium project scoping study to be mined as waste and stockpiled to access the MML itself. Based on Fe and V2O5 grades, certain layers in the hanging wall can be included in the Bushveld Vanadium Project's total Mineral Resource inventory and will improve the overall tonnage of the project.
The MML Hanging Wall Mineral Resource has been estimated to a vertical depth of 120 m and is open at depth, which presents further scope for tonnage increases in the future, in line with our belief in the scalability of the project. Furthermore, this Mineral Resource update excludes several layers with average grades of ~0.3% V2O5 within the hanging wall package. If metallurgical test work demonstrates economic recoveries, these layers could also significantly increase the overall tonnage."
Mineral Resource Estimate - MML HW
Following the identification of a number of magnetite-bearing layers in the hanging wall of the MML, the Company has commissioned The MSA Group to undertake a mineral resource estimate on the hanging wall layers. A total of 14 individual layers were modelled, as shown in table 1 below:
MML HW Grade and Tonnage Estimate, | |||||||||||
| Layer | Tonnes | Width | Density | Fe | Fe2O3 | V2O5 | TiO2 | P2O5 | SiO2 | Al2O3 | S |
Name | Million | m | g/cm3 | % | % | % | % | % | % | % | % |
UG-C | 31.8 | 4.04 | 3.48 | 25.7 | 36.7 | 0.64 | 5.89 | 0.01 | 30.2 | 15.4 | 0.12 |
UG-B | 56.3 | 7.80 | 3.08 | 11.7 | 16.7 | 0.19 | 1.82 | 0.02 | 47.1 | 16.2 | 0.01 |
UG-A | 12.7 | 1.64 | 3.31 | 23.2 | 33.1 | 0.59 | 5.33 | 0.01 | 32.5 | 17.5 | 0.01 |
UMG HW | 46.8 | 6.40 | 3.09 | 12.9 | 18.4 | 0.23 | 2.20 | 0.01 | 45.2 | 17.1 | 0.06 |
UMG1 | 25.5 | 3.24 | 3.30 | 22.9 | 32.7 | 0.59 | 5.36 | 0.01 | 32.6 | 17.6 | 0.01 |
UMG PARTING | 30.9 | 4.43 | 3.05 | 12.7 | 18.1 | 0.25 | 2.38 | 0.01 | 44.5 | 19.7 | 0.01 |
UMG2 | 15.7 | 2.03 | 3.40 | 25.9 | 37.0 | 0.69 | 6.23 | 0.01 | 29.4 | 16.7 | 0.01 |
MAG1 HW ANO | 51.1 | 8.18 | 2.81 | 2.9 | 4.2 | 0.03 | 0.37 | 0.03 | 52.7 | 25.0 | 0.02 |
MAG1 HW GAB | 130.7 | 18.41 | 3.01 | 12.9 | 18.4 | 0.30 | 2.79 | 0.01 | 42.1 | 22.1 | 0.12 |
MAG1 | 12.0 | 1.31 | 3.96 | 40.0 | 57.1 | 1.07 | 9.67 | 0.01 | 15.6 | 10.8 | 0.06 |
MAG2 HW ANO | 12.5 | 1.86 | 2.86 | 6.7 | 9.6 | 0.12 | 1.26 | 0.03 | 48.7 | 24.2 | 0.09 |
MAG2 HW GAB | 39.4 | 5.54 | 3.01 | 12.1 | 17.4 | 0.28 | 2.57 | 0.02 | 43.2 | 22.3 | 0.09 |
MAG2 | 9.2 | 1.10 | 3.57 | 30.2 | 43.1 | 0.83 | 7.19 | 0.01 | 25.1 | 15.1 | 0.06 |
MML HW | 42.3 | 5.89 | 3.01 | 13.4 | 19.2 | 0.32 | 2.46 | 0.02 | 42.2 | 21.6 | 0.11 |
TOTAL | 517.0 | ||||||||||
Of these 14 layers, four layers have grades in excess of 25% Fe, which is the threshold defined as the cut-off grade for Ti-magnetite mineralisation in the Upper Zone. However, many of the layers with 2O5. The Company believes that these layers could potentially be incorporated into the Mineral Resource estimate at a later stage, pending metallurgical tests which show that suitable magnetite concentrates can be extracted from these layers. The Company has already begun this testwork.
The table below summarises the recently added hanging wall layers, in addition to the MML. The total Mineral Resource for the vanadium project is now estimated at 120.5 Mt, an increase in tonnage of 130%. All Mineral Resources are reported according to the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves 2012 edition (the JORC Code). Note that the rounding of figures may cause computational discrepancies.
MML HW Inferred and MML Indicated Mineral Resource, | ||||||||||||||
Layer | Tonnes | Width | Density | Fe | Fe2O3 | V2O5 | TiO2 | P2O5 | SiO2 | Al2O3 | S | Fe Tonnes | V2O5 Tonnes | |
Name | million | m | g/cm3 | % | % | % | % | % | % | % | % | Mt | Kt | |
UG-C | 31.8 | 4.04 | 3.48 | 25.7 | 36.7 | 0.64 | 5.89 | 0.01 | 30.2 | 15.4 | 0.12 | 8.2 | 202.8 | |
UMG2 | 15.7 | 2.03 | 3.40 | 25.9 | 37.0 | 0.69 | 6.23 | 0.01 | 29.4 | 16.7 | 0.01 | 4.1 | 107.7 | |
MAG1 | 12.0 | 1.31 | 3.96 | 40.0 | 57.1 | 1.07 | 9.67 | 0.01 | 15.6 | 10.8 | 0.06 | 4.8 | 128.7 | |
MAG2 | 9.2 | 1.10 | 3.57 | 30.2 | 43.1 | 0.83 | 7.19 | 0.01 | 25.1 | 15.1 | 0.06 | 2.8 | 76.3 | |
Total Inferred | 68.7 | 8.48 | 3.55 | 28.8 | 41.2 | 0.8 | 6.80 | 0.01 | 26.8 | 14.9 | 0.08 | 19.8 | 515.5 | |
MML | MAG3 | 27.5 | 4.09 | 4.08 | 45.5 | 65.1 | 1.50 | 10.00 | 0.01 | 10.6 | 7.8 | 0.12 | 12.5 | 412.5 |
MAG4 | 24.3 | 3.59 | 4.00 | 43.9 | 62.7 | 1.46 | 9.30 | 0.01 | 11.8 | 8.9 | 0.24 | 10.7 | 354.9 | |
Total Indicated | 51.8 | 7.68 | 4.04 | 44.7 | 64 | 1.48 | 9.7 | 0.01 | 11.2 | 8.3 | 0.18 | 23.17 | 767.4 | |
Total | 120.5 | 16.16 | 3.74 | 35.7 | 51.0 | 1.06 | 8.04 | 0.01 | 20.1 | 12.0 | 0.12 | 43.0 | 1,282.9 | |
Mt = Million tonnes; Kt = Thousand tonnes
Competent Persons
The scientific and technical information relating to mineral resource estimation contained within this announcement has been reviewed and approved by Mr. Jeremy Witley, a professional geologist with more than 20 years' experience in base and precious metals exploration and mining as well as Mineral Resource evaluation and reporting. He is Principal Resource Consultant for the MSA Group and has the appropriate relevant qualifications, experience, competence and independence to be considered a "Competent Person" under the definitions provided in the JORC Code 2012 Edition.
For further information please visit http://www.bushveldminerals.com or contact:
Enquiries: info@bushveldminerals.com
Bushveld Minerals Fortune Mojapelo | +27 (0) 11 268 6555 |
Strand Hanson Limited Andrew Emmott / James Harris Warren Pearce / Scott McGregor |
+44 (0) 20 7409 3494 +27 (0) 87 828 0407 |
Fox Davies Jonathan Evans | +44 (0) 20 3463 5000 |
RFC Ambrian Jonathan Williams | +44 (0) 20 3440 6800 |
Tavistock Communications Jos Simson/ Nuala Gallagher | +44 (0) 20 7920 3150 |
Tielle Communications Stéphanie Leclercq | +27 (0) 83 307 7587 |
Notes to the editor
Bushveld Minerals Limited is a mineral development company with a portfolio of vanadium-and titanium bearing iron ore and tin assets in Southern Africa. The Company owns the Bushveld Iron Ore Project and Mokopane Tin Project, both located on the northern limb of the Bushveld Complex, South Africa. In addition, Bushveld has a controlling 57.21% interest in Lemur Resources (ASX: LMR), which owns the Imaloto coal project in Madagascar.
The Company was admitted to the Alternative Investment Market of the LSE in March 2012.