Last checked at 6 Jul 2023 07:00
Zinnwald Lithium plc / EPIC: ZNWD.L / Market: AIM / Sector: Mining
6 July 2023
Zinnwald Lithium plc ("Zinnwald Lithium" or the "Company")
Grant Of Additional Exploration Licence
Zinnwald Lithium plc, the European focused lithium company developing the advanced Zinnwald Lithium Project (the 'Project') in Germany, is pleased to announce that its 100%-owned subsidiary, Deutsche Lithium GmbH ('Deutsche Lithium'), has been granted an additional exploration licence (the 'Bärenstein Licence') covering approximately 4,933.9 hectares ('ha') in the Erzgebirge region of Saxony, Germany. The Bärenstein Licence has the potential to provide additional resource upside to the Company's Project and results in continuous licence coverage from the Zinnwald Mining Licence to the Falkenhain Exploration licence, thus complementing the Company's strategy to potentially develop future operations in this area.
HIGHLIGHTS
· Closes the gap between Falkenhain and Altenberg Exploration licences and adds a substantial land area to the mineral exploration titles of the Company in the region that now stands at combined 9,959.6 ha.
· Potential to further expand the Company's lithium resources which could ultimately contribute to the mining production of the Project.
· The greenfield Bärenstein Licence holds significant mineral potential and was historically mined for tin and silver between the 15th and 19th centuries.
· The Bärenstein Licence area includes land that is being evaluated for the future mining and processing operations of the Project.
· The Company continues to prioritise the work towards the Project's Bankable Feasibility Study ("BFS"). The immediate goal is to conclude the on-going drill-campaign in Zinnwald in the coming months, which should result in an updated Mineral Resource Estimate ("MRE") being published in Q4 2023.
Zinnwald Lithium CEO, Anton du Plessis, commented: "The Bärenstein Licence is an excellent addition to the Company which complements our existing licence holdings by linking the promising Falkenhain licence area with our core Zinnwald Licence. Following further work we will undertake in due course, the Bärenstein Licence has the potential to increase the resource base and lifetime of the planned mine and mineral processing facilities related to our Project.
DETAILS
Deutsche Lithium has been granted the Bärenstein Licence, which covers circa 4,933.9 ha in the Erzgebirge or Ore Mountains region of Saxony, Germany and is valid until 30 June 2028. The 5-year exploration licence was issued to Deutsche Lithium by the Saxony State Mining Authority (Sächsisches Oberbergamt) in accordance with §7 of the German Mining Act (Bundesberggesetz). As is standard practise in Germany, the granting of the licence is subject to there being confirmation of no valid objection to its granting and the Company anticipates this confirmation being received by end-July 2023.
The Bärenstein Licence lies adjacent to, and directly to the north-east of, the Altenberg-DL licence and almost completely encloses the Falkenhain licence, both of which the company already holds (please see overview map above). By being granted this exploration licence, the Company has closed the gap between Falkenhain and Altenberg-DL licences, which also contains valuable geological targets and areas for planned future development of the Zinnwald mining operation.
The lithium and tin endowment of the area is tied to the presence of granitic intrusions of certain geological ages, as well as structural corridors that have carried mineralising fluids. Utilising geological knowledge Zinnwald Lithium has gained from working in the immediate area, the Company is planning to undertake further greenfield exploration on the Bärenstein Licence and expand its resource base locally. The "Sachsenhöhe" area has been identified as an especially promising exploration target, as it is known for historic mining activities for tin and silver since the 15th century.
Furthermore, the Company continues to investigate the broader Bärenstein area as a location for future mining and processing operations. To also hold the mineral rights for these areas has therefore been a priority to maintain planning flexibility as well as legal certainty.
The Company's key focus remains the development of its principal asset, the 100% owned advanced Zinnwald Lithium Project in Germany, where it is progressing the work for a new Bankable Feasibility Study. By consolidating mineral rights in the Zinnwald area, the Company maintains the aim to become an important supplier to Europe's fast-growing lithium sector. One of the Company's primary immediate goals is the completion of its on-going infill drilling campaign on the Zinnwald Licence to support the delivery of an updated MRE in Q4 2023. As at today's date, the Company has completed 61 drill holes totalling more than 20,000m of drill core.
Deutsche Lithium plans to investigate the Bärenstein Licence over the next five years and to assess its potential to enhance the Project.
*ENDS*
For further information visit www.zinnwaldlithium.com or contact:
Anton du Plessis Cherif Rifaat | Zinnwald Lithium plc | info@zinnwaldlithium.com |
David Hart Dan Dearden-Williams | Allenby Capital (Nominated Adviser) | +44 (0) 20 3328 5656 |
Michael Seabrook Adam Pollock | Oberon Capital Ltd (Joint Broker) | +44 (0) 20 3179 5300 |
Richard Greenfield Charles Bendon | Tamesis Partner LLP (Joint Broker) | +44 (0) 20 3882 2868 |
Isabel de Salis Paul Dulieu | St Brides Partners (Financial PR) | zinnwald@stbridespartners.co.uk
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Notes
AIM quoted Zinnwald Lithium plc (EPIC: ZNWD.L) is focused on becoming an important supplier of lithium hydroxide to Europe's fast-growing battery sector. The Company owns 100% of the Zinnwald Lithium Project in Germany, which has an approved mining licence, is located in the heart of Europe's chemical and automotive industries and has the potential to be one of Europe's more advanced battery grade lithium projects.