TIDMREE
RNS Number : 4410N
Altona Rare Earths PLC
25 September 2023
25 September 2023
ALTONA RARE EARTHS PLC
("Altona" or "the Company")
Maiden Mineral Resource Estimate
13.6 million tons at 2.42% TREO
Altona (LSE: REE), a resource exploration and development
company focused on Rare Earths in Africa, is pleased to announce
its maiden JORC compliant Mineral Resource Estimate ("MRE") for its
Monte Muambe rare earths project in Mozambique.
Key highlights:
-- 13.6 million tons at 2.42% TREO(1) using a cut-off grade of 1.5% TREO;
-- Including 0.31% NdPrO(2) representing 42,500 contained tons NdPrO;
-- 58% of the reported tonnage in the Indicated category;
-- Mineralisation open at depth at both Target 1 and Target 4; and
-- The Scoping Study is expected to be finalised for publication
no later than the third week of October.
(1) TREO (Total Rare Earth Oxide) is the sum of all Rare Earth
Elements and Yttrium, expressed in percentage.
(2) NdPrO is the sum of Nd2O3 and Pr6O11, expressed in percentage, and is included in TREO%.
The estimate, which is focused on the high-grade zones of the
deposit, is in line with Altona's expectations and it follows the
Company's strategy of focusing its endeavours on the part of the
deposit that is most likely to be exploitable, as opposed to
"drilling for numbers", in order to fast-track the project towards
production.
The complete Competent Person Statement is available on the
Company's website investor section:
https://www.altonare.com/investors/reports/
The MRE represents an increase of tonnage compared to the
high-grade part (2% TREO cut-off) of the Exploration Target
estimate published on 8 August 2022.
Future resource increases will be achieved by drilling below the
level of pit shells at Target 1 and 4, resource drilling at Target
3 and Target 9, as well as on-going exploration work.
The estimate includes 42,500 tons of contained Neodymium ("Nd")
and Praseodymium ("Pr") Oxides. These elements are the most sought
after "Magnet Metals" due to their usage in the manufacture of
power drivetrains for electric vehicles ("EV") and wind turbines.
They are therefore critical for the world's energy sources
decarbonisation, and the future of the EV market relies just as
heavily on sustainable sources of Nd and Pr as it does on battery
minerals, such as lithium, graphite and cobalt.
The Company is now fully focused on finalising its updated
Competent Person Report ("CPR") which will include all the details
of the MRE computation, as well as the Scoping Study, which is
expected to be published no later than the third week of October.
The minor delay in the expected publication date of the CPR is due
to additional work being required on the Scoping Study, part of the
report to ensure the highest standard of document is produced.
The completion of the CPR will also trigger the increase of
Altona's holding in Monte Muambe to 51% from its current position
of 20%, and the start of Phase 3 of the farm-in agreement.
Cedric Simonet, CEO of Altona, commented: "Monte Muambe's maiden
MRE is an important milestone for us. This is the first ever
official measure of the size and grade of the project and we are
delighted with the results, which confirm the presence of a
potentially open-pit mineable REE resource. The size is of the same
order of magnitude as some of our published peers' ore reserve
estimates and will be further increased through down dip drilling
at both Target 1 and Target 4, as well as resource drilling at
Target 3 and Target 9.
"The Company is now finalising its Scoping Study, which will
give a first-pass economic viability overview of the project, to
the highest standard."
Maiden Mineral Resource Estimate Summary at a 1.5% TREO
cut-off
Target Classification TONNES TREO% NdPrO% Pr(6) Nd(2) Tb(4) Dy(2)
(Mt) O(11) O(3) O(7) O(3)
ppm ppm ppm ppm
------- --------------- ------- ------ ------- ------- ------ ------ ------
1 Indicated 8.0 2.38 0.32 910 2,250 15.1 80.0
Inferred 0.8 2.28 0.30 861 2,140 14.6 78.0
------- --------------- ------- ------ ------- ------- ------ ------ ------
TOTAL 8.8 2.38 0.32 905 2,240 15.1 80.0
------- --------------- ------- ------ ------- ------- ------ ------ ------
4 Indicated
Inferred 4.8 2.50 0.31 872 2,190 25.6 143
------- --------------- ------- ------ ------- ------- ------ ------ ------
TOTAL 4.8 2.50 0.31 872 2,190 25.6 143
------- --------------- ------- ------ ------- ------- ------ ------ ------
OVER
ALL Indicated 8.0 2.38 0.32 910 2,250 15.1 80.0
Inferred 5.6 2.47 0.31 871 2,190 24.1 134
------- --------------- ------- ------ ------- ------- ------ ------ ------
TOTAL 13.6 2.42 0.31 894 2,230 18.8 102
------- --------------- ------- ------ ------- ------- ------ ------ ------
The MRE does not correspond to the entire block model
constructed from the drilling data, but to the part of the model
for which the following reasonable prospects for eventual economic
extraction ("RPEEE") were applied: pit shells based on a 1.5% TREO
cut-off, revenue of 24.65 USD/kg TREO in Mixed Rare Earth Carbonate
(MREC), and average total recovery to MREC of 48%.
Note: The words 'JORC Compliant' should be interpreted as
'Reported in accordance with the JORC Code and estimated (or based
on documentation prepared) by a Competent Person as defined by the
JORC Code', in accordance with the JORC Code 2012.
-ends-
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Altona Rare Earths Plc
Cedric Simonet, CEO +44 (0) 7778 866 108
Christian Taylor-Wilkinson, Business Development +44 (0) 7795
168 157
Novum Securities Ltd (Corporate Finance) +44 (0) 20 7399
9400
David Coffman
Daniel Harris
George Duxberry
Allenby Capital Ltd (Joint Broker) +44 (0)20 3328 5656
Kelly Gardiner (Sales)
Nick Athanas (Corporate Finance)
Optiva Securities (Joint Broker) +44 (0) 20 3411 1882
Daniel Ingram
Yellow Jersey PR (Financial PR) +44 (0) 20 3004 9512
Sarah Hollins
Annabelle Wills
Soraya Jackson
About Altona Rare Earths Plc
Altona is a resource exploration and development company focused
on Rare Earths in Africa. The Company is listed on the Main Market
of the London Stock Exchange.
Rare Earths are a group of 17 chemical elements, many of which
are critical to the W orld's on-going transition from carbon-based
to renewable energies, and to the defence and communication
sectors.
The Company currently focuses on the development of Monte
Muambe, its flagship Magnet Rare Earths Project, located in
Northwest Mozambique. The project was acquired in June 2021, and
the Company has so far drilled over 7,800m, to support its maiden
JORC Mineral Resource Statement.
A Competent Person Report including a Scoping Study is expected
to be published no later than the third week of October.
Altona continues to take advantage of its position in Africa to
assess other possible Rare Earths opportunities on the
Continent.
Competent Person Statement
The information in this RNS that relates to Geology and
Exploration results is based on information compiled and/or
reviewed by Cédric Simonet, who is a Member of European Geologist
Federation (Eur. Geol. #739). Cédric Simonet is the Chief Executive
Officer and a Director of the Company. He has sufficient experience
which is relevant to the style of mineralisation and type of
deposit under consideration and the activity which he is
undertaking to qualify as a Competent Person in terms of the 2012
Edition of the Australian Code for the Reporting of Exploration
Results, Mineral Resources and Ore Reserves. Cédric Simonet
consents to the inclusion in the RNS of the matters based on his
information in the form and contest in which it appears.
The information in this RNS that relates to the Estimation and
Reporting of Mineral Resources has been compiled by Dr Andrew
Scogings, PhD (Geology) RPGeo (industrial minerals), Mr Kahan
Cervoj and Mr Robert Barnett, Pr. Sci. Nat.
Dr Scogings, Mr Cervoj and Mr Barnett are employed by Snowden
Optiro and are independent of Altona. Dr Scogings is a Member of
the Australian Institute of Geoscientists (Number 3013) and the
South African Geological Society. Mr Cervoj is a Member with the
AusIMM (Number 211785). Mr Barnett is a Fellow of the Geological
Society of South Africa and a Professional Natural Scientist
Registration No. 400106/06. Dr Scogings, Mr Cervoj and Mr Barnett
have sufficient experience that is relevant to the style of
mineralisation and type of deposit under consideration and to the
activity which they are reporting to qualify as Competent Persons
as defined in the JORC Code (2012).
The scientific and technical information in this report that
relates to process metallurgy is based on information reviewed or
work directed or completed by Mr Gavin Beer, Independent
Consultant. The metallurgical evaluation and factors including
costs and assumptions for the reporting of Mineral Resources have
been reviewed and accepted by Mr Beer. Mr Beer has sufficient
experience that is relevant to the type of processing under
consideration and to the activity being undertaken and qualifies as
a Competent Person as defined by the JORC Code (2012).
The complete Competent Person Statements for the MRE, including
the corresponding JORC Table 1, is available on the Company's
website.
For more information visit: www.altonaRE.com
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END
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