Wrap Text
Promising results at the Bald Hill mine with high grade lithium results
Tawana Resources NL
(Incorporated in Australia)
(Registration number ACN 085 166 721)
Share code on the JSE Limited: TAW
JSE ISIN: AU0000TAWDA9
Share code on the Australian Securities Exchange Limited: TAW
ASX ISIN: AU000000TAW7
(“the Company” or “Tawana”)
Promising results at the Bald Hill Mine with high grade lithium
results
PLEASE NOTE: ALL GRAPHICS, APPENDICES and TABLE 3 HAVE BEEN REMOVED FOR SENS
PURPOSES. PLEASE REFER TO TAWANA WEBSITE FOR THE COMPLETE ANNOUNCEMENT.
Tawana Resources NL (“Tawana” or the “Company”) is pleased to announce high-grade
lithium and tantalum results from resource drilling at multiple locations at the Bald Hill
lithium and tantalum mine in Western Australia.
These results, which will contribute to the upcoming maiden lithium Resource estimate to
be completed by the first quarter of 2017, further demonstrate the strong position of the
Company to become a spodumene producer in 2017.
Refer to the attached Joint Announcement in relation to exploration results at the Bald Hill
Mine.
Highlights
- Stacked lithium and/or tantalum rich pegmatites from surface to 140m;
- Three high grade intercepts over 300m strike of the central area;
i. LRC0048 - 10m at 3.82% Li2O and 243ppm Ta2O5 from 159m including 8m at
4.43% Li2O5;
ii. LRC0049 – 4m at 2.39% Li2O and 246ppm Ta205 from 23m;
iii. LRC0052 – 7m at 1.93% Li2O and 261ppm Ta2O5 from 32m including 4m at 2.9%
Li2O5 and 310ppm Ta205;
iv. LRC0048 and 49 intercepted other mineralised pegmatites;
- Drilling at the current north-western limit of the Western Pegmatite also intercepted
very high grade mineralisation in LRC0015 - 6m at 1.61% Li2O and 586ppm Ta205
from 74m including 4m at 2.2% Li2O and 766ppm Ta2O5;
- Extensions to LRDD0006 – intercepted 6.9m at 1.29% Li20 and 288ppm Ta205 from
141m in addition to 23m at 1.15% Li2O from 107m and 4m at 1.33% Li205 and
485ppm Ta205 from 74m previously reported.
- Strong patterns of zonation and very coarse-grained spodumene apparent with potential
to use visual/analytical processes in grade control to separately stockpile Li, Li/Ta and
Ta rich pegmatite during mining.
- Infill resource drilling is the current focus with the recent completion of initial
metallurgical and sterilisation holes.
- Initial assays from the extensive St John pegmatite swarm returned significant near
surface intercepts including 4m at 1.6% Li2O from 22m and 4m at 1.19% Li2O from
38m. The St John pegmatites located 4km northwest of the Bald Hill plant, occur in an
area of at least 1.2km2 and are covered by mining leases.
- 13,300m has been drilled since 12 October 2016 and Tawana is increasing drill rigs
from 2 to 3.
- Feasibility study is due for completion by the end of March 2017 with the aim of
commissioning of the spodumene concentrator to commence in October 2017.
Managing Director Mark Calderwood stated: “Resource infill drilling is focusing on an
initial block extending for 1,000m by 300m with multiple pegmatites extending from near-
surface to about 140m depth. This drilling will enable a significant resource upgrade. At
recent pricing, the in-ground combined values of the lithium and tantalum mineralisation is
significant, and tantalum by-product credits have the potential to cover a large share of
mining costs.”
About Tawana (ASX & JSE: TAW)
Tawana Resources NL, is focused on becoming a spodumene producer in 2017 with its
high-quality lithium projects in Western Australia and Namibia.
Tawana’s principal projects are the Bald Hill Lithium and Tantalum Mine (earning a 50%
interest) and the adjacent Cowan Lithium Project. The projects have numerous high quality
spodumene-rich pegmatites, some of which have been historically mined and processed for
tantalum at the existing Bald Hill processing facility.
The Company also owns rights to the giant Uis pegmatite tailings stockpile in Namibia,
estimated to be 20 million tonnes. Drilling has been completed and assays are pending.
Metallurgical test work to confirm acceptable recoverable grades will likely commence in
the first quarter of 2017 and if favourable, there is potential for a low capex/opex operation.
The Company also owns the Mofe Creek iron ore project in coastal Liberia. The deposits
are characterised by exceptionally coarse grained, high-grade free-dig, itabirite that have the
potential to deliver a premium, low cost product. The Company is completing a Mineral
Development Agreement (MDA) with the Government of Liberia and is considering
initially collaborating with owners of the underutilized port of Monrovia or others with a
desire to develop a low capital cost DSO operation.
Competent Persons Statement
The information in this news release that relates to Exploration Results is based on and
fairly represents information and supporting documentation compiled by Mr Mark
Calderwood, an employee of the Company. Mr Calderwood is a member of The
Australasian
Institute of Mining and Metallurgy. Mr Calderwood has sufficient experience relevant to
the style of mineralisation under consideration and to the activity which they are
undertaking to qualify as a Competent Person as defined in the 2012 edition of the
“Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore
Reserves”. Mr Calderwood consents to the inclusion in this report of the matters based on
their information in the form and context in which it appears.
Forward Looking Statement
This report may contain certain forward looking statements and projections regarding
estimated, resources and reserves; planned production and operating costs profiles; planned
capital requirements; and planned strategies and corporate objectives. Such forward looking
statements/projections are estimates for discussion purposes only and should not be relied
upon. They are not guarantees of future performance and involve known and unknown
risks, uncertainties and other factors many of which are beyond the control of Tawana
Resources NL. The forward looking statements/projections are inherently uncertain and
may therefore differ materially from results ultimately achieved.
Tawana Resources NL does not make any representations and provides no warranties
concerning the accuracy of the projections, and disclaims any obligation to update or revise
any forward looking statements/projects based on new information, future events or
otherwise except to the extent required by applicable laws. While the information contained
in this report has been prepared in good faith, neither TAW or any of its directors, officers,
agents, employees or advisors give any representation or warranty, express or implied, as to
the fairness, accuracy, completeness or correctness of the information, opinions and
conclusions contained in this presentation. Accordingly, to the maximum extent permitted
by law, none of TAW, its directors, employees or agents, advisers, nor any other person
accepts any liability whether direct or indirect, express or limited, contractual, tortuous,
statutory or otherwise, in respect of, the accuracy or completeness of the information or for
any of the opinions contained in this announcement or for any errors, omissions or
misstatements or for any loss, howsoever arising, from the use of this announcement.
Tawana Resources NL (“Tawana” or the “Company”) is pleased to announce high-grade
lithium and tantalum results from resource drilling at multiple locations at the Bald Hill
lithium and tantalum mine in Western Australia.
These results, which will contribute to the upcoming maiden lithium Resource estimate to
be completed by the first quarter of 2017, further demonstrate the strong position of the
Company to become a spodumene producer in 2017.
Refer to the attached Joint Announcement in relation to exploration results at the Bald Hill
Mine.
Highlights
- Stacked lithium and/or tantalum rich pegmatites from surface to 140m;
- Three high grade intercepts over 300m strike of the central area;
i. LRC0048 - 10m at 3.82% Li2O and 243ppm Ta2O5 from 159m including 8m at
4.43% Li2O5;
ii. LRC0049 – 4m at 2.39% Li2O and 246ppm Ta205 from 23m;
iii. LRC0052 – 7m at 1.93% Li2O and 261ppm Ta2O5 from 32m including 4m at 2.9%
Li2O5 and 310ppm Ta205;
iv. LRC0048 and 49 intercepted other mineralised pegmatites;
- Drilling at the current north-western limit of the Western Pegmatite also intercepted
very high grade mineralisation in LRC0015 - 6m at 1.61% Li2O and 586ppm Ta205
from 74m including 4m at 2.2% Li2O and 766ppm Ta2O5;
- Extensions to LRDD0006 – intercepted 6.9m at 1.29% Li20 and 288ppm Ta205 from
141m in addition to 23m at 1.15% Li2O from 107m and 4m at 1.33% Li205 and
485ppm Ta205 from 74m previously reported.
- Strong patterns of zonation and very coarse-grained spodumene apparent with potential
to use visual/analytical processes in grade control to separately stockpile Li, Li/Ta and
Ta rich pegmatite during mining.
- Infill resource drilling is the current focus with the recent completion of initial
metallurgical and sterilisation holes.
- Initial assays from the extensive St John pegmatite swarm returned significant near
surface intercepts including 4m at 1.6% Li2O from 22m and 4m at 1.19% Li2O from
38m. The St John pegmatites located 4km northwest of the Bald Hill plant, occur in an
area of at least 1.2km2 and are covered by mining leases.
- 13,300m has been drilled since 12 October 2016 and Tawana is increasing drill rigs
from 2 to 3.
- Feasibility study is due for completion by the end of March 2017 with the aim of
commissioning of the spodumene concentrator to commence in October 2017.
27 January 2017
Bald Hill Project (AMAL 100%, TAW Earning 50%)
The Bald Hill Project (“Project”) area is located 50km south east of Kambalda in the
eastern Goldfields of Western Australia. It is located approximately 75km south east of the
Mt Marion Lithium project and is adjacent to the Tawana’s Cowan Lithium Project. The
Project, owned by Alliance Mineral Assets Limited (“AMAL”), includes a permitted
tantalum (pegmatite) mine, processing facility and associated infrastructure.
Lithco No 2 Pty Ltd, a wholly-owned subsidiary of Tawana, had on 3 June 2016 entered
into Binding Term Sheet in relation to inter alia, a Farm-In and Joint Venture arrangement
with AMAL for the purpose of joint exploration and exploitation of lithium and other
minerals.
Recent Drilling
Except for a six-day period over Christmas, drilling has continued on the Bald Hill Mining
Lease and 13,300m has been drilled since 12 October 2016. Drilling has defined a zone
extending for 2km by 0.5km that remains open to the West and South, containing multiple
lithium-tantalum pegmatites between surface and 140m. The Bald Hill pegmatites range
from tantalum rich to spodumene rich and the larger pegmatites (up to 30m wide) can
exhibit strong internal zonation which is typical of the most fractionated lithium-tantalum
deposits (such as Greenbushes and Wodgina). The zone pegmatites have excellent
potential to support separation of mineralisation types during mining.
Tawana is currently increasing the number of RC rigs from 2 to 3 with the intention of
completing the initial infill and sterilisation drilling for an updated Resource/Reserve
estimate and associated mine design, and to continue expanding the footprint of the
mineralised pegmatite swarm.
The feasibility study is due for completion by the end of March with the aim of
commissioning of the spodumene DMS (Dense Medium Separation) circuit to commence
in October (Refer Tawana ASX announcement on 16 January 2017 and AMA SGXNet
announcement on 18 January 2017).
Table 1| Notable Lithium and Tantalum Intercepts
Hole ID From m To m interval Li2O % Ta2O5 Nb2O5 SnO2 ppm
m ppm ppm
LDD0002 33 42 9 0.58 826 176 297
Incl. 35 39 4 0.92 1,075 205 320
LDD0003 88.1 86 17.9 0.11 434 199 122
LRCD00063 73 81 8 0.95 381 173 166
incl. 74 78 4 133 485 217 212
107 130 23 1.15 166 107 127
incl. 108 123 15 1.33 173 113 107
177.1 184 6.9 1.29 288 141 167
LRC0015 74 80 6 1.61 586 197 357
Incl. 75 79 4 2.20 766 262 330
LRC0040 124 127 3 1.19 106 72 196
incl. 124 126 2 1.61 118 82 228
incl. 128 163 35 1.05 106 110 112
and 131 133 2 1.40 176 100 156
and 125 139 14 1.47 108 131 116
and 140 145 5 1.40 58 58 95
and 149 151 2 1.52 117 143 79
and 153 155 2 1.37 117 111 74
and 157 161 4 1.61 98 93 179
LRC0044 45 57 12 1.00 249 89 12
incl 47 49 2 1.99 184 82 332
53 55 2 1.44 330 107 133
LRC0047 86 104 18 0.50 324 91 173
Incl 87 91 4 0.28 484 116 179
And 94 100 6 0.76 430 119 169
146 155 9 0.90 235 109 130
Incl 146 147 1 0.37 808 329 209
and 147 149 2 1.69 154 72 164
Hole ID From m To m interval Li2O % Ta2O5 Nb2O5 SnO2 ppm
m ppm ppm
LRC0048 68 71 3 0.80 687 234 129
Incl 122 137 15 0.68 123 104 109
And 123 124 1 1.77 99 114 83
131 135 4 1.27 139 100 158
Inc 156 159 3 0.16 556 198 221
158 159 1 0.14 1,324 465 114
inc 159 169 10 3.82 243 92 212
159 167 8 4.43 237 92 231
LRC0049 23 27 4 2.39 246 91 286
Incl 24 26 2 3.84 255 97 366
247 151 4 1.47 43 45 88
Incl 247 149 2 2.05 42 50 79
LRC0050 38 41 3 1.07 383 112 189
42 47 6 1.33 363 82 179
47 48 1 0.14 230 43 100
LRC0052 32 39 7 1.93 261 101 308
incl 33 37 4 2.90 310 116 322
Notes
1) The true width of pegmatites are generally considered 85-95% of the intercept width.
2) Details of Drill Holes and Pegmatite Intercepts and all significant intercepts are
contained in Tables 2 & 3
3) Intercepts to 123m previously reported
The first few holes drilled on the St John mining leases has confirmed that the extensive
pegmatite swarm contains spodumene. The St John pegmatites range from a few metres
to 30m in width.
Terms of Bald Hill Mine Earn in and Joint Venture
Through Tawana’s 100% owned subsidiary Lithco No 2 Pty Ltd, Tawana has entered into a
legally binding terms sheet that outlines the terms for a Farm-In and Joint Venture
arrangement with Alliance Mineral Assets Limited (“AMAL”) with respect to AMAL’s Bald
Hill project in Western Australia for the purpose of joint exploration and exploitation of
lithium and other minerals.
The commercial terms require Tawana:
i. to spend, by 31 December 2017 (or such later date as may be agreed between the
parties), a minimum of $7.5 million on exploration, evaluation and feasibility
(including administrative and other overhead costs in relation thereto)
(“Expenditure Commitment”); and
ii. to spend, $12.5 million in capital expenditure required for upgrading and
converting the plant for processing ore derived from the Project, infrastructure
costs, pre-stripping activities and other expenditures including operating costs
(“Capital Expenditure”).
Upon completion of the Expenditure Commitment, Tawana shall be entitled to 50% of all
rights to lithium minerals from the tenements comprising the Project (“Tenements”).
Upon completion of the Expenditure Commitment and Capital Expenditure, Tawana will be
entitled to a 50% interest in the Project (being all minerals from the tenements and the
processing plant and infrastructure at Bald Hill).
Table 2| Drill Summary, Deeper Extensional Holes with Pegmatite Intercepts
Hole ID Easting Northing RL Depth Azm Dec. Type From To Width Pegmatite Type
m m m m m m m
LDD0001 421755 6512320 284 283.9 270 -60 DD Met 22.9 24 1.1 Li
83.2 83.2 1.1
100.3 113.3 13.0 Li
146.7 153.9 7.2 Li
LDD0002 421910 6512760 294 60 90 -60 DD Met 31.7 42 10.3 Ta, Li
LDD0003 421880 6512400 286 150.4 90 -60 DD Met 68.2 88.4 20.2 Ta
LRCD0006 421760 6512320 284 208 90 -60 RC/DD 73 80 7 Ta, Li
108 130 22
177.1 185.4 8.3 Ta, Li
Ta, Li
LRCD0024 422100 6512000 276 172 90 -60 RC/DD 96 108 12 Ta, Li
LRCD0032 422420 6512000 278 175 90 -60 RC/DD 91 92 1 Ta
LRCD0039 421920 6512200 280 149.5 90 -60 RC/DD 97.5 102 2.5 Ta
116.8 128.5 11.7 Li,Ta
LRCD0041 421600 6512200 280 172 90 -60 RC/DD 79.2 80.7 1.5 Barren
116.6 120 3.4 Ta
146 156 10 Li, Ta
LRC0009 421880 6512800 292 52 90 -60 RC 34 41 7 Li, Ta
LRC0010 421920 6512800 293 46 90 -60 RC 28.8 37.1 8.3 Li, Ta
LRC0011 421960 6512800 294 40 90 -60 RC 29.1 32 2.9 Ta, Li
LRC0012 422000 6512800 296 74 90 -60 RC 60 63.1 3.1 Ta, Li
LRC0013 421720 6512800 289 100 90 -60 RC 41.4 45.2 3.8 Ta, Li
69 70 1
Ta
LRC0014 421640 6512800 287 136 90 -60 RC 25 26 1 Li, Ta
65.1 79 13.9
LRC0015 421560 6512800 286 122 90 -60 RC 0 1 1 Ta?
74.7 80 5.3
Li?
LRC0016 422200 6512320 286 126 270 -60 RC 11.8 28 16.2 Li, Ta
77.2 86.1 8.9
Li, Ta
LRC0019 421760 6513000 290 58 90 -60 RC 2.6 11.2 8,6 Ta
LRC0021 421600 6513000 282 100 90 -60 RC 54 56 2 Ta
LRC0022 421720 6513000 272 52 90 -60 RC 13.4 15.4 2 Ta
LRC0023 422100 6512000 272 123 90 -60 RC 80.9 96.9 16 Li,
LRC0025 422250 6511595 270 76 90 -60 RC 24.6 28 3.4 Ta
LRC0026 422400 6511600 270 82 90 -60 RC 38 42 4 Li, Ta
58 73 14
Li, Ta
LRC0027 422400 6511200 274 82 90 -60 RC 65.2 68.2 3 Barren
LRC0028 422390 6511200 274 160 90 -60 RC 26 32 6 Li, Ta
127.7 129 1.3
Li,Ta
LRC0030 422160 6511800 274 160 90 -60 RC 106.7 109.9 3.2 Li, Ta
120 121 1
124 126 2 Ta
Ta
LRC0035 421777 6512000 279 171 90 -60 RC 126.3 129 2.7 Li, Ta
142 153 11
158.9 160.1 1.2 Li, Ta
Ta
LRC0036 421620 6512000 300 160 90 -60 RC 67.1 68.2 1.2 bareen
111 119.4 8.4
130 135 5 Li, Ta
144 147 3 Li, Ta
Ta
LRC0040 421760 6512200 281 178 90 -60 RC 89.6 91.4 1.8 Ta
123.6 166.1 42.5
Li, Ta
LRC0044 421880 6512720 292 118 90 -60 RC 45 56 11 Li, Ta
LRC0046 421960 6512320 283 100 90 -60 RC 70 74 4 Li, Ta
LRC0047 421880 6512320 284 160 90 -60 RC 77 80 3 Ta
86 103 17 Li, Ta
116 122 6 Li, Ta
146 154 8 Li, Ta
LRC0048 421840 6512320 180 90 -60 RC 68 71 3 Ta
112 114 2 Li, Ta
122 136 14 Li, Ta
156 174 18 Li, Ta
LRC0049 421915 6512640 291 160 90 -60 RC 25 31 6 Li, Ta
145 154 9 Li, Ta
LRC0050 421920 6512720 293 54 90 -60 RC 12 14 2 Ta
39 48 9 Li, Ta
LRC0051 421920 6512680 292 49 0 -90 RC 36 42 6 Li, Ta
LRC0052 421880 6516400 291 46 90 -60 RC 32 41 9 Li, Ta
LRC0101 420320 6516400 320 80 90 -60 RC 77 80 3 barren
LRC0102 420400 6516400 320 80 90 -60 RC 20 28 8 Li
LRC0103 420440 6516400 320 80 90 -60 RC 37 44 7 Li
Notes
1) The true width of pegmatites are generally considered 85-95% of the intercept width.
2) Only pegmatites of 1m or more in width included
Competent Persons Statement The information in this news release that relates to Exploration Results is based on and fairly
by Mr Mark Calderwood, an employee of
represents information and supporting documentation compiled
Tawana. Mr Calderwood is a member of The Australasian Institute of Mining and
Metallurgy. Mr Calderwood has sufficient experience relevant to the style of mineralisation
under consideration and to the activity which they are undertaking to qualify as a
Competent Person as defined in the 2012 edition of the “Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves”. Mr Calderwood consents to the
inclusion in this report of the matters based on their information in the form and context in
which it appears. Forward Looking Statement This report may contain certain forward
looking statements and projections regarding estimated, resources and reserves; planned
production and operating costs profiles; planned capital requirements; and planned
strategies and corporate objectives. Such forward looking statements/projections are
estimates for discussion purposes only and should not be relied upon as representation or
warranty, express or implied, of TAW and/or Alliance Mineral Assets Limited. They are
not guarantees of future performance and involve known and unknown risks, uncertainties
and other factors many of which are beyond the control of Tawana Resources NL and/or
Alliance Mineral Assets Limited. The forward looking statements/projections are inherently
uncertain and may therefore differ materially from results ultimately achieved. Tawana
Resources NL and/or Alliance Mineral Assets Limited does not make any representations
and provides no warranties concerning the accuracy of the projections, and disclaims any
obligation to update or revise any forward looking statements/projects based on new
information, future events or otherwise except to the extent required by applicable laws.
While the information contained in this report has been prepared in good faith, neither
TAW and/or Alliance Mineral Assets Limited or any of their directors, officers, agents,
employees or advisors give any representation or warranty, express or implied, as to the
fairness, accuracy, completeness or correctness of the information, opinions and
conclusions contained in this presentation. Accordingly, to the maximum extent permitted
by law, none of TAW and/or Alliance Mineral Assets Limited, their directors, employees or
agents, advisers, nor any other person accepts any liability whether direct or indirect,
express or limited, contractual, tortuous, statutory or otherwise, in respect of, the accuracy
or completeness of the information or for any of the opinions contained in this
announcement or for any errors, omissions or misstatements or for any loss, howsoever
arising, from the use of this announcement.
27 January 2017
Sponsor
PricewaterhouseCoopers Corporate Finance (Pty) Limited
Date: 27/01/2017 11:45:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
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