TIDMSAV
RNS Number : 2607I
Savannah Resources PLC
16 June 2017
Savannah Resources Plc / Index: AIM / Epic: SAV / Sector:
Mining
16 June 2017
Savannah Resources Plc
Mahab 4 and Maqail South Copper Mine Licencing Update
Savannah Resources plc (AIM: SAV) ('Savannah' or 'the Company'),
the AIM quoted resource development company, is pleased to announce
that it has now received initial advice from the Ministry of
Environment and Climate Affairs ('MECA') on the Environmental
Impact Assessment ('EIA') for the development of a processing plant
and tailings facility for its Block 4 and 5 copper projects in
Oman. To view the press release with the illustrative maps and
diagrams please use the following link:
HIGHLIGHTS:
-- Savannah has received in principle approval for its tailings
storage facility ('TSF') concept, subject to further studies and
test work being presented to MECA for review and consideration;
-- The TSF concept involves the utilisation of the abandoned
Lasail West pit for tailings storage
-- The Lasail West pit is adjacent to the main, historic Lasail
Mine which, as a large underground operation produced c. 13Mt of
ore at 2% copper, and which retains excellent potential for the
identification of further copper mineralisation;
-- All regulatory applications for copper mine development at
both Mahab 4 and Maqail South have now been submitted;
-- Licensing approval process continues to progress but is
taking longer than initially anticipated, which has resulted in
some time loss to the proposed production schedule; and
-- Mining expected to commence in H1 2018.
Savannah's CEO, David Archer said: "We are pleased that MECA has
given us the green-light to consider the TSF concept we have
suggested around the use of the existing abandoned Lasail West pit.
This would be the first TSF of its type in Oman and we believe it
would provide Savannah with an economic avenue for safe tailings
storage, and at the same time would result in the overall
rehabilitation of the Lasail West site, which remains of strategic
resource value to the Company.
"The preliminary approval of the TSF represents another major
step forward towards commencing copper production. Whilst the
overall licensing process for our mine development is taking longer
than we had initially planned, which means we are now anticipating
mining to start in the first half of 2018, we remain confident that
these assets will be advanced into production in the near term. Our
team and consultants continue to push to conclude the licensing
process and we look forward to providing shareholders with further
updates as appropriate."
Figure 1. Project Location Map - see PDF link
http://www.rns-pdf.londonstockexchange.com/rns/2607I_-2017-6-15.pdf
Savannah is earning a 65% shareholding in the Omani company, Al
Thuraya LLC, the owner of the Block 4 Project and is a 65%
shareholder in Al Fairuz Mining, the holder of the Block 5
licence.
Competent Person and Regulatory Information
The information in this announcement that relates to exploration
results is based upon information compiled by Mr Dale Ferguson,
Technical Director of Savannah Resources Limited. Mr Ferguson is a
Member of the Australian Institute of Mining and Metallurgy
(AusIMM) and has sufficient experience which is relevant to the
style of mineralisation and type of deposit under consideration and
to the activity which he is undertaking to qualify as a Competent
Person as defined in the December 2012 edition of the "Australasian
Code for Reporting of Exploration Results, Mineral Resources and
Ore Reserves" (JORC Code). Mr Ferguson consents to the inclusion in
the report of the matters based upon the information in the form
and context in which it appears.
This announcement contains inside information for the purposes
of Article 7 of Regulation (EU) 596/2014.
**ENDS**
For further information please visit www.savannahresources.com
or contact:
David Archer Savannah Resources Tel: +44 20 7117
plc 2489
David Hignell / Gerry Northland Capital Tel: +44 20 3861
Beaney Partners Ltd 6625
(Nominated Adviser)
Christopher Raggett finnCap Ltd Tel: +44 20 7220
/ Emily Morris 0500
(Corporate Broker)
Charlotte Page / Lottie St Brides Partners Tel: +44 20 7236
Brocklehurst Ltd 1177
(Financial PR)
Notes
Savannah Resources Plc (AIM: SAV) is a growth oriented,
multi-commodity, mineral development company.
Mozambique
Savannah operates the Mutamba heavy mineral sands project in
Mozambique in collaboration with Rio Tinto, and can earn a 51%
interest in the related Consortium, which has an established
initial Indicated and Inferred Mineral Resource Estimate of 4.4
billion tonnes at 3.9% THM over the Jangamo, Dongane and Ravene
deposits. Under the terms of the Consortium Agreement with Rio
Tinto, upon delivery by Savannah of the following will earn the
corresponding interest in the Mutamba Project (which currently is
20% following delivery of scoping study in May 2017):
pre-feasibility study - 35%; feasibility study - 51%. Additionally,
the Consortium Agreement includes an offtake agreement on
commercial terms for the sale of 100% of heavy mineral concentrate
production to Rio Tinto (or an affiliate).
Oman
Savannah has interests in two copper blocks in the highly
prospective Semail Ophiolite Belt in Oman. The projects, which have
an Indicated and Inferred Mineral Resource of 1.7Mt @ 2.2% copper
and high-grade intercepts of up to 56.35m at 6.21% Cu, with gold
credits, provide Savannah with an excellent opportunity to
potentially evolve into a mid-tier copper and gold producer in a
relatively short time frame. Together with its Omani partners,
Savannah aims to outline further mineral resources to provide the
critical mass for a central operating plant to develop the deposits
and in December 2015 outlined exploration targets of between
10,700,000 and 29,250,000 tonnes grading between 1.4% and 2.4%
copper.
Portugal
Savannah holds a 75% interest one mining licence and nine
prospective applications for the exploration and development of
lithium, covering an area in excess of 1,018km2 in northern
Portugal. This includes the highly strategic Mina do Barroso
prospect, which with an approved Mining Plan ('MP'), Environmental
Impact Assessment ('EIA') and a 30-year mining concession/Mining
Licence ('ML'), means that with a defined JORC resource a
development decision could be made as early as Q4 2018.
Finland
Savannah has Reservation Permits over two lithium projects,
covering an area of 159km(2). Geological mapping has highlighted
the presence of seven pegmatites with key lithium minerals
petalite, spodumene and lepidolite all identified.
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCUVSNRBOANAAR
(END) Dow Jones Newswires
June 16, 2017 02:00 ET (06:00 GMT)
Savannah Resources (LSE:SAV)
Historical Stock Chart
From Apr 2024 to May 2024
Savannah Resources (LSE:SAV)
Historical Stock Chart
From May 2023 to May 2024