Armadale Capital Plc Exploration Update at Mahenge Liandu Graphite Project, Tanzania
19 July 2017 - 4:00PM
UK Regulatory
TIDMACP
Armadale Capital Plc / Index: AIM / Epic: ACP / Sector:
Investment Company
Armadale Capital Plc ('Armadale' or 'the Company')
Exploration Update at Mahenge Liandu Graphite Project,
Tanzania
Armadale, the AIM quoted investment company focused on natural
resource projects in Africa, is pleased to provide an update on
exploration activities at its Mahenge Liandu Graphite Project in
Tanzania ('the Project' or 'Mahenge Liandu').
Highlights:
-- Two-phase development plan defined at Mahenge Liandu - Stage One to
focus on processing higher grade mineralisation before a
later
expansion to take advantage of the large size of the deposit for
Stage
Two
-- 2,500m Reverse Circulation ('RC') drill programme underway - focussed
on increasing the current JORC Resource of 40.9Mt at 9.41%
Total
Graphitic Content ('TGC') and defining zones of +10% TGC near
surface
mineralisation
-- Drilling follows completion of road access and construction of 25
drill pads
-- Road access has exposed wide zones up to 110m of graphite
mineralisation near surface
-- Identified and met with a number of potential offtake partners in
China - product samples from recent bulk sampling programme to
be
provided for test work
Nick Johansen, Director of Armadale said,"With one of the
highest-grade graphite resources in Tanzania, capable of producing
a range of high quality graphite products in demand by a number of
rapidly growing markets, we are well on the way to establishing the
commercial viability of Mahenge Liandu.Work is now focussed on
building upon these results in order to convert this potential into
tangible value and deliver the optimal route to production.Through
recent field work we have identified wide zones of mineralisation
and despite delays due to an extended rainy season, drilling is now
well underway to increase both the quantum and confidence of the
current resource.This drill programme will also help us to isolate
areas of particularly high grade mineralisation, which will then
provide a priority focus for us going forward to advance the
Project into production.
"Current field work follows the successful completion of a
recent bulk sampling programme, the results of which will be sent
to a number of potential offtake partners identified in China.There
is strong and growing interest for high quality graphite products
in China, in particular for larger flake size graphite suitable for
the expandable graphite market, which includes battery
manufacturers. We believe our product is ideally suited for this
market and are delighted to be sending graphite samples to a range
of graphite industry participants including graphite consumers,
engineering, procurement and construction providers and funding
institutions for testing."
Further Information
The key focus of the RC drilling programme is to target near
surface zones of +10% TGC mineralisation identified in the 2016
drilling programme. The objective of the drilling is to define
3-5Mt of higher grade mineralisation allowing the Company to
develop the Project in two stages with an initial focus on
processing higher grade mineralisation before a later expansion to
take advantage of the large size of the deposit. Results of the
drilling will be released to the market in due course.
An initial visit to China by company representatives to a range
of graphite industry participants, including graphite consumers,
engineering, procurement, and construction providers and funding
institutions was successful, with requests received for samples to
be provided for test work. Further updates regarding offtake
discussions will be made when appropriate.
The information communicated in this announcement contains
inside information for the purposes of Article 7 of the Market
Abuse Regulation (EU) No. 596/2014.
**ENDS**
Enquiries:
Armadale Capital Plc +44 20 7236 1177
Nick Johansen
Nomad and broker: finnCap Ltd +44 20 7220 0500
Christopher Raggett / Simon Hicks
Joint Broker: Beaufort Securities Limited +44 20 7382 8300
Jon Belliss
Press Relations: St Brides Partners Ltd +44 20 7236 1177
Susie Geliher / Charlotte Page
Notes
Armadale Capital Plc is focused on investing in and developing a
portfolio of investments, targeting the natural resources and/or
infrastructure sectors in Africa. The Company, led by a team with
operational experience and a strong track record in Africa, has a
strategy of identifying high growth businesses where it can take an
active role in their advancement.
The Company owns the Mahenge Liandu graphite project in
south-east Tanzania, which is now its main focus. The Project is
located in a highly prospective region with a high-grade JORC
compliant inferred mineral resource estimate of 40.9Mt @ 9.41% TGC.
At least 32Mt of this resource has an average grade of 10.47% TGC,
one of the largest high-grade resources in Tanzania, and work to
date has demonstrated Mahenge Liandu's potential as a commercially
viable deposit with significant tonnage, high-grade coarse flake
and near surface mineralisation (implying a low strip ratio)
contained within one contiguous ore body.
Other assets Armadale has an interest in include the Mpokoto
Gold project in the Democratic Republic of Congo and a portfolio of
quoted investments.
More information can be found on the website
www.armadalecapitalplc.com
View source version on businesswire.com:
http://www.businesswire.com/news/home/20170718005679/en/
This information is provided by Business Wire
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