TIDMGLR
RNS Number : 8376H
Galileo Resources PLC
12 June 2017
For immediate release
12 June 2017
Galileo Resources Plc
("Galileo" or "the Company")
Glenover Phosphate - Pilot Plant Study Proposal
Galileo (AIM:GLR) is pleased to announce that its 34% owned
Glenover Phosphate (Pty) Ltd ("Glenover") and a major phosphate
producer ("MPP") have executed a proposal agreement (the
"Agreement") whereby MPP intends to undertake upward of US$300,000
in expenditure on a two-phase, pilot plant phosphate flotation
study ("PPFS"), which could lead to the possible development of the
Glenover Phosphate/Rare earth project (the "Project"). Under this
Agreement, MPP has elected to continue and undertake Phase 1 of the
PPFS, being a Water and Ore variability Study, as further set out
below. The Project is situated in the Limpopo Province of the
Republic of South Africa,
Highlights
-- Major phosphate producer (MPP) intends to undertake
expenditure of upwards of US300,000 on a pilot plant phosphate
flotation study to produce phosphate concentrate for testing by
MPP
-- The ultimate objective of the undertaking is either to
develop the Project or sell the Project in whole or part to MPP
-- Galileo has engaged a South African-based Consulting Group to
execute a Mining Right Application for the Project concurrent with
the PPFS
-- Rare-earths from the tailings of any future phosphate
processing of the ore by MPP, would be available for further
beneficiation
-- Extensive related testworks and negotiations have taken place prior to this Agreement
Colin Bird CEO commented: "Galileo and Glenover JV partner
(Ferminore) have been in discussions with various groups concerning
the development of the Project. The successful group has elected to
start the development testwork, prior to entering into a formal
agreement either for Project purchase, in whole or part, or a
supply agreement, subject to testwork performance. I am pleased
that the potential exists by way of this Agreement to realise a
significant return on the Company's initial investment in the
Project. Importantly too, is the fact that the rare earths in the
ore, an asset of value, would still be available for future
beneficiation."
Executed Proposal
MPP has confirmed its desire to undertake a two-phase pilot
plant phosphate flotation study on the Glenover Project resource,
in support of discussions with Glenover shareholders (Ferminore and
Galileo) regarding the development of the Glenover resource. MPP
has elected to continue with Phase 1 whilst deciding between
Options A and B for Phase 2 and obtaining its own board approval
thereof (see table below).
Table - Proposed Testwork and Pilot Plant Study Phases
Phase1 Study
------------ -------------------------- ----------- -----------
Water and Ore variability
Study
------------ -------------------------- ----------- -----------
Phase 2 Option A Option B
------------ -------------------------- ----------- -----------
Bench scale confirmation 16 tonnes 32 tonnes
tests and Pilot Plant P-conc P-conc
Study - production
of phosphate concentrate
(P-conc)
------------ -------------------------- ----------- -----------
Total Study US$195,000 US$305,000
Budget
------------ -------------------------- ----------- -----------
Glenover Project
The Project is located approximately 90 km northwest of the town
of Thabazimbi in the Waterberg region of Limpopo Province in the
Republic of South Africa. The Project comprises an inactive
phosphate mine comprising a SAMREC compliant 10.37 million tonnes
(Mt) grading 18.73% phosphate (P(2) O(5) ) including an inferred
2.685 Mt surface stockpiles of phosphate ore grading 22.21 %P(2)
O(5) and a measured and indicated 7.4 Mt grading 17.51 %P(2) O(5)
in an apatite (phosphate mineral)- breccia core remaining in the
previously mined open pit. The open pit is approximately 100 metres
deep with a surface width of approximately 200 metres.
Glenover Phosphate Resource (SAMREC compliant)
Resource Resource Tonnage P(2) O(5)
Class Mt (%)
--------------------------- -------------------------------- -------- ----------
Apatite-Haematite Breccia Measured
---------------------------
Indicated 7.407 17.57
-------------------------------- -------- ----------
Total Measured & Indicated 7.407 17.57
-------------------------------- -------- ----------
Inferred 0.274 15.83
-------------------------------- -------- ----------
Surface Stockpiles Inferred 2.685 22.21
---------------------------- ------------------------------- -------- ----------
22.2122.21Total Total Measured indicated & inferred 10.37 18.73
---------------------------- ------------------------------- -------- ----------
Further details as set out in past announcements are available
from the Company's website, www.galileoresources.com, which details
the Company's project portfolio as well as a copy of this
anouncement:
You can also follow Galileo on Twitter: @GalileoResource
Technical Sign-Off
Andrew Sarosi, Director of Galileo, who holds a B.Sc. Metallurgy
and M.Sc. Engineering, University of Witwatersrand and is a member
of the Institute of Materials, Minerals and Mining, is a "qualified
person" as defined under the AIM Rules for Companies and a
competent person under the reporting standards. The technical parts
of this announcement have been prepared under Andrew's supervision
and he has approved the release of this announcement.
ENDS
This announcement contains inside information for the purposes
of Article 7 of EU Regulation 596/2014.
For further information, please contact:
Galileo Resources PLC Tel +44 (0) 20 7581 4477
Colin Bird, Chairman
Andrew Sarosi, Executive Tel +44 (0) 1752 221937
Director
Beaumont Cornish Limited Tel +44 (0) 20 7628 3396
- Nomad
Roland Cornish/James Biddle
Beaufort Securities Limited - Broker Tel +44 (0) 20 7382 8416
Jon Belliss
Technical Glossary:
Inferred Mineral Resource: that part of a Mineral Resource for
which volume or tonnage, grade and mineral content can be estimated
with only a low level of confidence. It is inferred from geological
evidence and sampling and assumed but not verified geologically or
through analysis of grade continuity. It is based on information
gathered through appropriate techniques from locations such as
outcrops, trenches, pits, workings and drill holes that may be
limited in scope or of uncertain quality and
reliability.
Indicated Mineral Resource: 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 information from exploration, sampling
and testing of material gathered from locations such as outcrops,
trenches, pits, workings and drill holes. The locations are too
widely or inappropriately spaced to confirm geological or grade
continuity but are spaced closely enough for continuity to be
assumed.
Measured Mineral Resource: that part of a Mineral Resource for
which tonnage, densities, shape, physical characteristics, grade
and mineral content can be estimated with a high level of
confidence. It is based on detailed and reliable information from
exploration, sampling and testing of material from locations such
as outcrops, trenches, pits, workings and drill holes. The
locations are spaced closely enough to confirm geological and grade
continuity.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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