REG - Altona Rare Earths - OPERATIONAL UPDATE - KABOMPO SOUTH COPPER PROJECT

Altona Rare EarthsAnnouncement

21/10/2024 07:00

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RNS Number : 8581I  Altona Rare Earths PLC  21 October 2024

21 October 2024

 

 

ALTONA RARE EARTHS PLC

("Altona" or "the Company")

 

 

KABOMPO SOUTH COPPER PROJECT

GEOPHYSICAL DATA REVIEW RESULTS

 

Altona (LSE: REE), a resource exploration and development company focused on
diversified critical raw materials in Africa, is pleased to announce the
results of the geophysical and geochemical data assessment for the Company's
new Kabompo South copper project in Zambia, performed by Earthmaps Consulting
("Earthmaps").

 

Highlights

 

·   Earthmaps concludes that Kabompo South is prospective for Iron Ore
Copper Gold ("IOCG") copper mineralisation.

·   The data assessment confirms the presence of geophysical features
typically associated with IOCG deposits in Zambia.

·     In Zambia, the viability of IOCG copper deposits has been clearly
demonstrated by the discovery of the Kitumba copper deposit (31.5mt at 2.05%
Cu), the mine construction for which started recently.

 

As announced on 25 September 2024, the Company engaged the services of
Earthmaps, a Namibian based geophysical services company headed by industry
veteran Klaus-Peter Knupp, to assess the Kabompo South project's geophysical
and geochemical datasets, which include a high-resolution ground magnetometer
survey covering over 50% of the licence.

 

The data assessment revealed that the licence is largely underlain by
iron-rich Hook Granites intruding low metamorphic Kundelungu Group sediments
at different depths; some of the intrusions being shallow and potentially
sub-outcropping. One of the magnetic anomalies originating from the Hook
Granites coincides with a soil geochemical anomaly marked by elevated copper
values. These conclusions are consistent with geological features observed on
the ground in and around the Kabompo South licence area, including the
characteristics of the Kamweji copper deposit and the widespread presence of
hematite veins.

 

Therefore, Earthmaps has, the Company is pleased to confirm, concluded that
Kabompo South is prospective for IOCG copper mineralisation.

 

Following this key and positive data assessment, the Company will proceed with
further exploration work at Kabompo South. The initial phases will include
magnetic forward and inversion modelling, as well as an extensive soil
geochemical survey that will allow the Company to fully understand the
geometry of the granite intrusions and associated structures, and to rapidly
define initial drilling targets.

 

IOCG Deposits in Zambia

 

IOCG deposits are an important family of copper (and other minerals) deposits
sharing common features, including their association with specific types of
igneous intrusions, strong structural controls (including extensive breccia)
and the abundance of magnetite and/or hematite.

 

In Zambia, the potential of the Hook Granites for IOCG deposits is well
recognised. Exploration efforts at Kitumba, in the Mumbwa district of central
Zambia, have led to the discovery of a significant IOCG copper deposit. This
deposit, located in a similar geological context to Kabompo South, has proved
and probable ore reserves totalling 31.5 mt at 2.05% Cu. It is now owned by
Sinomine and the ground-breaking ceremony for the construction of the mine
took place in August 2024.

 

Cedric Simonet, CEO of Altona, commented: "The data assessment carried out by
Klaus and his team has clearly outlined a geological context favorable to IOCG
mineralisation, which are known to carry viable copper deposits in Zambia. The
definition of a geological model to guide exploration is a necessary first
step for any mining project and this represents a significant and exciting
advancement for the Kabompo South project. I look forward to implementing the
next exploration activities on the ground and updating our shareholders
accordingly when the next set of results have been prepared."

 

Simon Charles, Chair of Altona, commented: "These datasets from the Earthmaps
team for Kabompo South are very pleasing. We are seeing our ambition to hold
interests in a diversified portfolio of mineral assets beginning to take
shape."

 

This announcement contains information which, prior to its disclosure, was
inside information as stipulated under Regulation 11 of the Market Abuse
(Amendment) (EU Exit) Regulations 2019/310 (as amended).

 

-ends-

 

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Altona Rare Earths Plc

Cédric Simonet, CEO
                                      +44 (0) 7778 866 108

Louise Adrian,
CFO
+44 (0) 7721 492 922

 

Novum Securities Ltd (Corporate
Advisory)
+44 (0) 20 7399 9400

David
Coffman

Daniel Harris

 

 

 

About Altona Rare Earths Plc

 

Altona is a resource exploration and development company focused on critical
raw materials in Africa. The Company is listed on the Main Market of the
London Stock Exchange with the ticker "REE". Rare Earths are a group of 17
chemical elements, many of which are critical to the World's ongoing
transition from carbon-based to renewable energies, and to the defence and
communication sectors.

 

The Company is currently developing Monte Muambe, its flagship Magnet Rare
Earths Project, located in Northwest Mozambique. The Project was acquired in
June 2021, and the Company has so far drilled over 7,800m, and defined a
maiden JORC Mineral Resource Estimate of 13.6 million tons at 2.42% TREO. A
Competent Person Report including the Scoping Study for Monte Muambe was
published on 18 October 2023. The Project is now at Prefeasibility Study
stage, with a focus on metallurgical testing and process.

 

Altona is presently diversifying its portfolio by acquiring a limited number
of critical raw material projects to complement Monte Muambe. The acquisition
of the Kabompo South copper project in Zambia and of the Sesana copper-silver
project in Botswana represent the first steps towards the implementation of
this expanded strategy.

 

Competent Person Statement

 

The information in this RNS that relates to geology and exploration results is
based on information compiled and/or reviewed by Cédric Simonet, who is a
Member of European Geologist Federation (Eur. Geol. #739). Cédric Simonet is
the Chief Executive Officer and a Director of the Company. He has sufficient
experience which is relevant to the styles of mineralisation and type of
deposit under consideration and the activity which he is undertaking to
qualify as a Competent Person in terms of the 2012 Edition of the Australian
Code for the Reporting of Exploration Results, Mineral Resources and Ore
Reserves. Cédric Simonet consents to the inclusion in the RNS of the matters
based on his information in the form and contest in which it appears.

 

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