TIDMKOD
RNS Number : 3114W
Kodal Minerals PLC
08 February 2017
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulations (EU) No. 596/2014 ("MAR")
Kodal Minerals Plc / Index: AIM / Epic: KOD / Sector: Mining
8 February 2017
Kodal Minerals plc
('Kodal' or 'the Company')
Final Drilling Assays Confirm High Grade Lithium Mineralisation
at Bougouni Project
Kodal Minerals plc, the mineral exploration and development
company focussed on West Africa, is pleased to announce the receipt
of the final assay results for all drill holes from the first
reverse circulation ("RC") drilling programme at the Bougouni
Lithium Project ("Bougouni"), Southern Mali.
Highlights
-- Remaining drill holes at the Ngoualana prospect ("Ngoualana")
continue to return wide, high-grade intersections and all holes
drilled at the prospect have returned lithium mineralisation:
o 28m at 1.85% Li(2) O from 72m in drill hole KLRC002
o 22m at 1.64% Li(2) O from 48m in drill hole KLRC004
o 18m at 1.80% Li(2) O from 17m in drill hole KLRC007
o 16m at 1.76% Li(2) O from 11m in drill hole KLRC006
-- Results confirm previous high grade mineralisation of 21m at
1.7% Li(2) O from 62m depth announced on 2 February 2017
-- Mineralisation remains open at depth with all drilling to
date targeting near surface mineralisation
-- Follow-up drilling planned for Ngoualana to target the strike
extensions, test depth continuity and define the high grade
mineralised zones
Bernard Aylward, CEO of Kodal Minerals, said: "We are very
pleased to report these final results confirming the high-grade
lithium mineralisation at Ngoualana. This prospect is continuing to
exceed our expectations with the wide intersections of spodumene
rich pegmatite remaining open along strike and at depth. The
drilling programme has also intersected a series of parallel and
subsidiary pegmatite veins that are also returning high grade
mineralisation.
"Kodal's exploration programme is continuing on site with trench
sampling targeting several of the new prospects identified by our
rock chip and geological reconnaissance. These targets will be
included in the follow-up drilling programme that is planned to
commence as soon as possible.
"Our exploration programme is focussed on advancing the Bougouni
Lithium Project as rapidly as possible. We have been collecting
samples for preliminary metallurgical testing, and testing multiple
targets to ensure we fully evaluate the project. The aim of our
expanded exploration programme is to establish a maiden resource
for the project as soon as possible and assess development
opportunities."
Further Information
Lithium
The pegmatite veins intersected by drilling at Bougouni are
spodumene rich (20-30% spodumene content) low mica pegmatite bodies
with spodumene being the main lithium bearing mineral in most hard
rock lithium deposits. The high grade lithium mineralisation
returned in the assays compares favourably with other hard rock
spodumene mineralised pegmatite veins under development around the
world where grades range from 1.1% Li(2) O through to 1.4% Li(2) O.
The intersections reported in this announcement have been estimated
using a 1.0% Li(2) O lower-cut, and have consistently high
mineralisation throughout the pegmatite bodies.
An initial review of the development process for the Bougouni
lithium pegmatite bodies was completed as part of the World Bank
sponsored SYSMIN study completed by CSA Global in 2008. This report
indicated that a process of mine site crushing, screening and dense
media separation techniques was able to produce a good quality
spodumene concentrate, with grade over 6% Li(2) O. Chemical grade
spodumene concentrate (typically containing 6% Li(2) O) is sold for
use in battery manufacturing and other industrial applications.
Recent lithium concentrate (grade 6%) prices are approximately
US$600/t.
RC Programme Information
Samples were analysed by ALS Global ("ALS"), with sample receipt
at ALS Bamako Mali, sample preparation at ALS Ouagoudougou, Burkina
Faso, with final analysis completed at ALS Vancouver, Canada.
Sample analysis was completed with a four acid digest and final
detection by ICP-AES method.
This is the final batch of 400 samples from the December 2016
drill campaign and includes drill holes from the Ngoualana prospect
and the final two drill holes from the Kola prospect. The maximum
assay value returned is 2.37% Li(2) O and is associated with a
coarse grained, spodumene rich pegmatite unit. A total of 150
samples (37.5% of samples received) returned assay values greater
than 1% Li(2) O, and all pegmatites intersected in the drilling
were mineralised. The higher percentage of strongly mineralised
assays reflects the bulk of the samples were from the Ngoualana
prospect with wider zones of pegmatite intersected.
RC Drilling Programme
This announcement reports the final results from the Ngoualana
prospect. A total of 8 drill holes for 712m were completed at
Ngoualana with all drill holes returning mineralised
intersections.
Geological review of the drilling programme indicates that the
Ngoualana vein has been confirmed for over 250m strike length and
remains open along strike and at depth. Drilling intersected a wide
main vein (up to 30m downhole width) with multiple parallel and
subsidiary pegmatite veins. Logging of the drill holes indicated
coarse spodumene minerals within the pegmatite, confirming the
surface outcrop. The Ngoualana vein is hosted in a sequence of
metasedimentary rocks.
A summary of the final drill intersections is tabled below:
Hole Li(2)
Hole Depth From To Thickness O
Prospect Id Northing Easting m M m m %
----------- --------- --------- -------- --------- ------ ------- ---------- ------
Ngoualana KLRC002 664245 1255303 120 15.00 17.00 2 1.96
72.00 100.00 28 1.85
--------------------- --------- -------- --------- ------ ------- ---------- ------
Ngoualana KLRC003 664196 1255333 114 69.00 72.00 3 1.67
77.00 78.00 1 1.28
83.00 95.00 12 1.83
--------------------- --------- -------- --------- ------ ------- ---------- ------
Ngoualana KLRC004 664285 1255382 72 20.00 22.00 2 1.99
25.00 34.00 9 1.57
45.00 67.00 22 1.64
--------------------- --------- -------- --------- ------ ------- ---------- ------
Ngoualana KLRC005 664134 1255433 72 43.00 47.00 4 1.35
60.00 64.00 4 1.73
--------------------- --------- -------- --------- ------ ------- ---------- ------
Ngoualana KLRC006 664173 1255403 60 11.00 27.00 16 1.76
Ngoualana KLRC007 664226 1255393 46 17.00 35.00 18 1.8
40.00 41.00 1 1.54
--------------------- --------- -------- --------- ------ ------- ---------- ------
Ngoualana KLRC008 664223 1255315 96 14.00 15.00 1 1.05
69.00 86.00 17 1.57
includes 74 85 11 1.75
--------------------- --------- -------- --------- ------ ------- ---------- ------
Notes: All drill holes are reverse circulation drilling. Drill
holes have been sampled on 1 metre and 3 metre composite basis with
samples collected via riffle splitter. Samples analysed by ALS
Global. Assay results are reported as Li% and converted to Li(2) O%
by a factor of 2.153. Drill hole collars surveyed by hand-held GPS,
coordinate system WGS84 - Zone 29N. Sample intervals are downhole
thickness.
The final assay results for the drilling at the Kola prospect
were also received with no additional high-grade lithium
intersections to report. The drilling continued to hit pegmatite
bodies, and a review of the geological logging, assays and
geological mapping is underway to determine the next steps for the
Kola prospect.
Bougouni Project
Bougouni consists of two concessions, Kolassokoro and Madina,
which cover a contiguous area of 500km(2) . Kodal has recently
entered into Option to Purchase and Access agreements that grant
Kodal exclusive rights to explore and develop any identified
mineralisation within the project area. Details of the agreements
were announced in August and September 2016.
The project area is located approximately 180km south of Bamako,
the capital of Mali, with excellent access to the project via
sealed road from Bamako. The project area is located close to grid
power, has access to good water supply and for future development
will be able to link to a road-rail-port network from Mali to the
Cote d'Ivoire port at Abidjan.
The exploration results and activity reported in this
announcement have been reviewed by Mr Bernard Aylward who is a
Member of the Australasian Institute of Mining and Metallurgy. Mr
Aylward has sufficient experience that is relevant to the style of
mineralisation and type of deposit under consideration and to the
activity being undertaken to qualify as a Qualified Person as
defined in the AIM Note for Mining and Oil & Gas Companies
dated June 2009. Mr Aylward consents to the inclusion in this
announcement of the matters based on his information in the form
and context in which it appears.
**ENDS**
For further information, please visit www.kodalminerals.com or
contact the following:
Kodal Minerals plc
Bernard Aylward, CEO Tel: +61 418
943 345
----------------------------------------- ----------------
Allenby Capital Limited, Nominated
Adviser Tel: 020 3328
Jeremy Porter/Nick Harriss 5656
----------------------------------------- ----------------
SP Angel Corporate Finance LLP,
Financial Adviser & Broker Tel: 020 3470
John Mackay/Laura Harrison 0470
----------------------------------------- ----------------
St Brides Partners Ltd, Financial
PR Tel: 020 7236
Susie Geliher/Lottie Brocklehurst/Megan 1177
Dennison
----------------------------------------- ----------------
This information is provided by RNS
The company news service from the London Stock Exchange
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