Maiden JORC resource at Berg Aukas Mine
China Africa Resources Plc
Maiden JORC resource at Berg Aukas Mine
China Africa Resources ("CAF" or the "Company"), the AIM listed company focused on the development of the Berg Aukas zinc/lead project in Northern Namibia, is pleased to announce the results of an independent mineral resource estimate for the Company's 100% owned Berg Aukas Zinc-Lead-Vanadium Project ("Berg Aukas") in Namibia.
Highlights:
The JORC Indicated Mineral Resource, of which in excess of 95% is situated between the 14 and 19 levels (approximately between 350m to 550m below surface, where the majority of historical resources are located), is 1,264,800 tonnes @ 15.5% zinc, 3.8% lead and 0.33% V2O5 at a 3% Zn cut-off.
This JORC resource estimate verifies the historical (non-compliant with current JORC reporting standards) resource estimate from December 1977 (the "historical resource estimate") of 1,196,000 tonnes @ 15% zinc, 5.3% lead and 0.63% V2O5 between the 14 and 19 levels, as reported in the Berg Aukas Competent Persons Report, 2011 ("2011 CPR")
Rod Webster, CEO of CAR commented:
"I am very pleased that the results of this resource estimate, based on historical data and drilling undertaken by CAF in 2012, verifies the historical mineral resources at the Berg Aukas Mine. This is an exceptionally high grade zinc/lead deposit with much of the significant infrastructure in place, including an 800m shaft and underground development, which should allow rapid, and cost effective, reopening of the Berg Aukas Mine".
HISTORICAL MINERAL RESOURCE
As reported in the 2011 CPR, the historical (non-JORC compliant) resource estimate of December 1977 was 1,651,000 tonnes @ 17% Zn, 5% Pb and 0.6% V2O5. Approximately 75% of this resource (1,196,000 tonnes @ 15% zinc, 5.3% lead and 0.63% V2O5) is situated between the 14 and 19 levels (approximately between 350m to 550m below surface). It is this area which is the focus of the Company's Berg Aukas feasibility study.
VERIFICATION DRILLING CAMPAIGN
In 2012 the Company undertook a diamond drilling campaign which confirmed the exceptional grades and general distribution and continuity of the mineralisation as defined by historical drillhole data. A total of 11 holes, and four daughter holes, were completed totalling 6,856m (see CAF RNS of 4th December 2012). The drilling campaign was focused on the Hanging Wall Ore Body ("HWOB") between the 14 and 19 levels where the majority of the remaining historical resource is located.
See below for diagram of orebodies and levels:
http://www.rns-pdf.londonstockexchange.com/rns/4059C_-2013-4-15.pdf
The 2012 drilling campaign successfully verified the general grade tenor, historical drilling results and historical interpretation of the mineralisation, leading the calculation of a maiden JORC compliant mineral resource estimate for the mineralisation between the 14 and 19 levels.
In addition, the drilling campaign obtained representative samples of the mineralisation for metallurgical testwork, currently underway at Mintek laboratories in South Africa.
2013 JORC MINERAL RESOURCE
Coffey Mining (SA) Pty Ltd ("Coffey") undertook a mineral resource estimate in accordance with the requirements of the JORC Code. This included a site visit, data review and validation, geological and geostatistical analysis, resource modelling and mineral resource estimation.
All the resource reported is within the Indicated Category as defined by the JORC Code. The stated resource is at a 3% Zn cut-off, but in addition Coffey also calculated the resource at a range of Zn cut-off grades:
|
Classification |
Cut-off Grade |
Tonnes* |
Average Grade |
Average Grade (Pb %) |
Average Grade (V2O5 %) |
|
Indicated |
2.0 |
1,339,600 |
14.74 |
3.69 |
0.329 |
|
2.5 |
1,303,880 |
15.09 |
3.76 |
0.330 |
|
|
3.0 |
1,264,800 |
15.47 |
3.84 |
0.331 |
|
|
3.5 |
1,217,930 |
15.94 |
3.95 |
0.333 |
* Tonnages have been reduced by 15% to account for cavities within the mineralisation which are too small to be modelled separately.
Berg Aukas is constituted by two licences both of which are 100% owned by CAF. The figures above therefore constitute the total project resource and CAF's interest in the resources.
The historical drilling data contains only limited silver data. While the 2012 drilling programme did intersect significant Ag grades, including 138g/t Ag over 24m in drillhole BD-012A, there is insufficient Ag data points in the database to estimate Ag with sufficient confidence to be reportable under the JORC Code. However, Ag was interpolated into the block model using the data available and an average non-JORC compliant grade of approximately 40g/t silver was estimated where Ag data was available.
The resource remains open at depth but with insufficient drilling below the 19 level to define a resource under the JORC code. However, the historical resource estimate defines an 'indicated' resource (non-JORC compliant) of 246,000 tonnes @ 21% Zn, 2% Pb and 0.36% V2O5 below the 19 level.
In addition the same historical resource estimate (non-JORC compliant) indicates that between the 8 and 14 levels (between approximately 225m to 350m below surface) there is an additional 141,000 tonnes @ 29.5% Zn, 4.2% Pb and 0.8% V2O5, which may be accessible from the existing underground infrastructure and No2 shaft.
BERG AUKAS MINE
The Berg Aukas underground mine operated from 1958 to 1978. The first shaft was established in 1958 with a second shaft sunk in 1968. From 1967 to 1978 it is reported that 2.3 million tonnes of material @ 15.0% zinc, 3.9% lead and 0.85% V2O5 were hoisted from the mine, of this 1.5 million tonnes of ore at 21.5% Zn, 5.5%Pb and 1.23% V2O5 was milled.
The mine closed in 1978 and significant resources remain un-exploited. The majority of the remaining resource is located in areas of the mine where extensive development is in place, providing good access to the orebody.
FEASIBILITY STUDY
Metallurgical testwork in the core recovered from the 2012 drilling campaign has commenced at Mintek in South Africa. Now the resource estimate and orebody modelling is complete the mining study will commence.
Competent Persons Statement
The information in this report has been reviewed and approved for release by Ms Kathleen Body, Pr.Sci.Nat, who has over 18 years' experience in mineral exploration and mineral resource estimation. Ms Body is a Principal Consultant and full-time employee of Coffey Mining (South Africa) (Pty) Ltd and contracted to China Africa Resources PLC. She has sufficient experience in relation to the style of mineralisation and type of deposit under consideration to qualify as a Competent Person as defined by the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves" (The JORC Code 2012 Edition). Ms Body has consented to inclusion of this information in the form and context in which it appears.
For further information please contact:
China Africa Resources Plc +44 (0) 20 7917 2989
Rod Webster, Chief Executive Officer
Nominated Adviser and Broker
RFC Ambrian Limited +44 (0) 20 3440 6800
Samantha Harrison, Jen Boorer
Glossary
|
Ag |
The chemical symbol for silver. |
|
Competent Persons' Report or CPR |
Competent Persons' Report, as defined by the AIM Note for Mining and Oil & Gas Companies - June 2009. |
|
Cut-Off |
A grade level below which the material is not "ore" and considered to be uneconomical to mine and process. The minimum grade of ore used to establish resources. |
|
Indicated Mineral Resource |
An 'Indicated Mineral Resource' is that part of a Mineral Resource for which tonnage, densities, shape, physical characteristics, grade and mineral content can be estimated with a reasonable level of confidence. It is based on exploration, sampling and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drillholes. The locations are too widely or inappropriately spaced to confirm geological and/or grade continuity but are spaced closely enough for continuity to be assumed. |
|
Grade |
The metal content in percent. |
|
Mineral Resource |
A concentration [or occurrence] of material of economic interest in or on the Earth's crust in such form, quality and quantity that there are reasonable and realistic prospects for eventual economic extraction. The location, quantity, grade, continuity and other geological characteristics of a Mineral Resource are known, estimated from specific geological evidence and knowledge, or interpreted from a well constrained and portrayed geological model. Mineral Resources are subdivided, in order of increasing confidence in respect of geoscientific evidence, into Inferred, Indicated and Measured categories. |
|
JORC |
The Joint Ore Reserves Committee: The Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves, as published by the Joint Ore Reserves Committee of The Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Council of Australia. |
|
Pb |
The chemical symbol for lead. |
|
V2O5 |
The chemical symbol for vanadium oxide. |
|
Zn |
The chemical symbol for zinc. |
This information is provided by RNS
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