BWA Group PLC Certificates & Access Granted for 3 Exploration Licences
December 13 2022 - 1:00AM
UK Regulatory
TIDMBWAP
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF REGULATION 11
OF THE MARKET ABUSE (AMENDMENT) (EU EXIT) REGULATIONS 2019/310.
13 December 2022
BWA Group PLC
("BWA", or the "Company")
Certificates and Access Granted for Nkoteng 2 and Dehane 2 and Dehane 3 Heavy
Mineral Sands Exploration Licences, Cameroon
BWA Group plc [AQSE: BWAP], which has mineral exploration licences in both
Cameroon and Canada and is quoted on London's AQSE Growth Market (formerly
NEX), provides an update on its receiving final Ministry of Mines, Industry and
Technological Development ("MINMIDT") certification paperwork for the granting
of Nkoteng 2, Dehane 2 and Dehane 3 heavy mineral sands ("HMS") exploration
licences, located in Central Cameroon and held by BWA's 90% subsidiary BWAR ("
Nkoteng 2" or the "Nkoteng Project" and "Dehane 2" and "Dehane 3" or the "
Dehane Project").
The Nkoteng 2 and Dehane 2 permits are valid for three years from the 15th of
November 2022 until the 14th of November 2025. The Dehane 3 permit is also
valid for three years from the 6th of December 2022 until the 5th of December
2025. All three new licences are renewable for three two-year periods, allowing
a potential of nine years for exploration. The permits apply to the exploration
for rutile, ilmenite, zircon and other related minerals. The final MINMIDT
approval increase BWA's in-country licence portfolio to five heavy mineral
sands licences, expanding the total licence area to 1,268 km2.
The existing Nkoteng 1 Licence covers an area of 343 km2 and the newly granted
contiguous Nkoteng 2 Licence (permit number 688) covers an area of 494 km2,
comprising part of the prospective Sanaga river system and are located 60 km to
the northeast of Yaoundé with easy road and rail links to the port of Douala.
The Dehane 1 Licence is 132 km2 and the newly granted contiguous Dehane 2
Licence (permit number 686) covers an area of 54 km2. The non-contiguous newly
granted Dehane 3 licence (permit number 687) is located 17 km to the east of
Dehane 1 and covers an area of 246 km2 bringing the total Dehane Licence
package area to 432 km2, comprising part of the prospective Nyong river system
estuary and is located 150 km to the west of the capital, Yaoundé and 70 km
from the deep seaport and industrial zone of Kribi.
A version of this announcement containing the maps can be viewed on the
Company's website, http://www.bwagroupplc.com/.
Outlook
The granting of Nkoteng 2 is extremely positive for BWA as this licence covers
an additional 50 km of strike length of the Sanaga river system, an area known
to be prospective for Ilmenite, Rutile, Zircon and Kyanite heavy mineral sand
mineralisation. This additional 50 km brings the total strike length of the
Nkoteng licences to over 100 km.
The granting of Dehane 2 is particularly positive for BWA as licence covers the
mouth of the Nyong river system as it empties into the Gulf of Guinea. A river
mouth can lead to a change in flow conditions that can cause the fluvial system
to deposit any supplementary sediment it is carrying. Furthermore, the licence
covers some 20 km of coastal region which has the potential for marine type HMS
deposition, where potentially economic accumulations of HMS are found within
the lowest energy zone on the beach, the swash zone. The granting of Dehane 3
further allows BWA access to an additional 27 km of strike length of the Nyong
river system and this additional 27 km brings the total accessible strike
length of the Dehane licences to over 60 km. BWA look forward to incorporating
Nkoteng 2, Dehane 2 and 3 into the regional exploration programmes.
As announced on 5 December 2022, the board of directors of the Company (the "
Board") continues to review sources of capital for the Company to continue
exploration and development of the mineral projects.
James Butterfield, interim Non-executive Chairman of BWA, commented:
"We are pleased to have the Nkoteng 2, Dehane 2 and 3 Licences officially
granted and certification paperwork in hand, which gives us full access to
commence planned exploration work. The addition of these new licences almost
double our prospective land holding in the region and we look forward to
exploring the additional 100 km of river system, 20 km of coastal region and
associated floodplains that the licences give us access to."
Geology and Geological Interpretation
The prospective Sanaga river is the main river which runs through the BWA
Nkoteng licences area and accommodates approximately 100 km of the river
floodplain system and associated tributaries, and an even larger
paleo-floodplain area, observed in satellite imagery. The geological sequence
generally consists of a cover of clays, overlying the target deposit layer
consisting of sands and gravels, generally laying directly on the bedrock.
Surficial geology encountered during the auger programme comprised of 0.2 m of
surface organic rich soil, alluvial clays and sandy clays ranging from 0 m to 4
m with an average thickness of approximately 1.3 m, and basal sand and gravels
ranging from 0 m to 3 m thick in places. The Nkoteng deposit is likely to be a
trap placer (native) deposit. The entire stratigraphic column of the Sanaga
alluvial deposits is considered potentially mineralised.
Nkoteng is located within the Yaoundé Domain of the Pan African Belt, a large
nappe unit that has been thrusted southward onto the Congo Craton and is
characterised by low-grade to high-grade garnet bearing metamorphosed schists,
gneiss and orthogneisses.
The Dehane licence is located on the Western Cameroon Domain, which extends
along the border between Nigeria and Cameroon. This domain consists of a series
of medium-grade to high grade schists and gneisses of volcanic and
volcano-sedimentary origin, intruded by later-stage granitoid complexes, the
basement rocks are source of heavy minerals.
The Nyong river is the main river which runs through the Dehane licence areas.
The BWA licences accommodate approximately 34 km of the prospective Nyong river
floodplain system, deltas, and associated tributaries.
The licences encompass a large active river system and an even larger
paleo-floodplain area, and marine coastline observed in satellite imagery,
although this has yet to be fully ground-truthed through fieldwork. This
paleo-floodplain is likely to be a significant target for exploration and
covers the length of the river with an initial expected width of over 2 km in
the north and increasing in the south. Other rivers of various importance are
found there: Owoumbé, Nkoudou, Bidinga, Mbebe, Mboke, and Ongué.
The Dehane area has been known for historic small scale artisanal rutile
mining. However, the extent of its exploitation has not translated to
concentrated modern exploration.
Competent Person's Statement
The information in this report which relates to the Nkoteng and Dehane Project
is based upon and fairly represents information collected and compiled by Mr
Emmanuel Simo, MSc., Senior Geologist and Chief Geologist for BWA, who is a
Member of the Australian Institute of Geoscientists. The results were reviewed
by Mr J.N. Hogg, MSc. MAIG, Principal Geologist for Addison Mining Services
(AMS) and Non-executive Director of BWA.
Mr Simo and Mr Hogg have sufficient experience relevant to the style of
mineralisation, the type of deposit under consideration and to the activity
undertaken to qualify as a Competent Person as defined in the JORC Code 2012
edition of the Australasian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves.
Mr Hogg has reviewed and verified the technical information that forms the
basis of and has been used in the preparation of this announcement, including
all sampling and analytical data, and analytical techniques. Mr Hogg consents
to the inclusion in this announcement of the matters based on the information,
in the form and context in which it appears.
Forward Looking Statement
This announcement contains forward-looking statements which involve a number of
risks and uncertainties. These forward-looking statements are expressed in good
faith and believed to have a reasonable basis. These statements reflect current
expectations, intentions or strategies regarding the future and assumptions
based on currently available information. Should one or more of the risks or
uncertainties materialise, or should underlying assumptions prove incorrect,
actual results may vary from the expectations, intentions and strategies
described in this announcement. No obligation is assumed to update forward
looking statements if these beliefs, opinions and estimates should change or to
reflect other future developments.
For further information on the Company, please visit http://www.bwagroupplc.com
/index.html or contact:
BWA Group PLC +44 (0) 7770 225 253
James Butterfield enquiries@bwagroupplc.com
Interim Chairman
Allenby Capital Limited +44 (0)20 3328 5656
Corporate Adviser
Nick Harriss/Freddie Wooding
END
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