REG - Aterian PLC - Operational Update: Azrar Project, Morocco

AterianAnnouncement

31/01/2024 07:00

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RNS Number : 3985B  Aterian PLC  31 January 2024

31 January 2024

 

Operational Update:

Copper and Gold Identified from Azrar Expansion

Azrar Project, Morocco

 

Aterian Plc

("Aterian" or the "Company")

 

Aterian Plc (LSE: ATN), the critical metal-focused exploration and development
company, is pleased to announce the positive results, including 4.01 % copper
("Cu") and 26.9 g/t silver ("Ag"), from recent sampling conducted on the
Company's Azrar Project ("Azrar" or the "Project") located in Morocco.

 

The Project, which was recently expanded following the award of two new
licences, now covers

99.3 km(2), is located within the western Anti-Atlas Mountains of the
Kingdom of Morocco  ("Morocco") and lies 30 km north of the Company's Tata
copper project. The Azrar Project is one of 17 copper, silver and base metal
projects owned by Aterian, covering 897 km(2) ( )in Morocco within
established current and historic mining districts.

Highlights:

·      Latest sampling reports up to 4.01 % copper and 26.9 g/t silver
from the sedimentary-hosted copper target.

·      Continued copper mineralisation has been identified within
previously mapped Adoudouian sediments, with additional mineralised quartz
veins and fault-related breccia zones discovered on the new licences.

·      Quartz vein zones on the new licence areas have gold ("Au") as a
by-product and report 1.19 % Cu, 0.50 g/t Au and 1.22 % Cu, 0.33 g/t Au.

·      The project is located in central Morocco within the western
Anti-Atlas, a region considered highly prospective for sedimentary-hosted
copper mineralisation.

·      Several historical workings have been mapped on the recently
awarded licence areas.

·      The project lies 45 km east of Managem's Tizert Copper-Silver
development project and 30 km north of the Company's Tata sedimentary-hosted
copper project.

·      Project located close to good infrastructure.

·      The Company holds 17 highly prospective projects in Morocco,
totalling 897 km(2).

 

Charles Bray, Chairman of Aterian, commented:

"Multiple styles of copper mineralisation and gold have been discovered in the
recently awarded expansion areas. We now better understand that the
sedimentary-hosted copper potential of this project likely offers greater
scale than previously determined. These recent results from the Azrar Project
are both very encouraging, with the continuation of the sedimentary-hosted
copper, and fascinating, with the identification of multiple other geological
sources of copper mineralisation. The laboratory analyses from these new
licences are very positive, with the multiple zones of quartz veins identified
reporting good copper and unexpected associated gold values.

 

"We remain confident that Azrar will continue to deliver positive outcomes for
the Company. This project, together with our other key projects at Agdz, Tata
and Jebilet Est, has the potential to deliver tremendous value to the Company,
its shareholders and other stakeholders.

 

"We have created a strong asset portfolio in Morocco and will continue to seek
to expand our projects and explore the area. The country is emerging as a
preferred destination for global mining and manufacturing companies seeking to
enter the EU and USA via preferential trade status 1  (#_ftn1) . We are now
seeing continued positive results from our fieldwork on several key projects
in Morocco."

 

Project Summary:

The Azrar Project comprises eight licences for a total area of 99.3 km(2),
with access to the Project via asphalt roads and a network of smaller tracks.
Aterian holds a 100 % interest in these licences.

 

The Project is situated within the western Anti-Atlas Mountains, 155 km
southeast of the port city of Agadir and 45 km east of the Tizert
copper-silver project (estimated non-compliant resources of 57 Mt grading 1.03
% Cu and 23 g/t Ag), which is operated by the Managem Group.

 

 Aterian PLC project locations in Morocco with competitor companies and
 projects.

 

One of the Company's other sedimentary-hosted copper projects, the Tata
Project ("Tata"), is located 30 km south of Azrar. Recent sampling on the Tata
Project reported grades up to 7.02 % Cu, with copper mineralisation identified
within two stratigraphic horizons and visible on the surface. The combined
strike length of the mineralised sedimentary units at Tata (with copper
mineralisation observed on the surface) explored to date is over 18 km.

 

The western Anti-Atlas is dominated by Palaeoproterozoic to Neoproterozoic age
inliers overlain unconformably by Cambrian to recent sedimentary and volcanic
sequences. The Lower Cambrian Adoudou Formation comprises sediments known to
host significant sedimentary copper deposits in the Western and Central
Anti-Atlas, including Tizert. Late Ediacaran to early Cambrian-aged
Adoudounian sediments are mapped within the Azrar Project along the southern
flank of the Paleoproterozoic Agadir Melloul Inlier.

 

The mineralisation on the Project is observed hosted in fault-related breccia
zones, late-stage quartz veins and hosted within carbonate and siltstone
sedimentary sequences of the Adoudou Formation. Several abandoned artisanal
workings have been identified across the Project, with host rocks on the
Project comparable to the nearby Managem-owned Tizert copper project.

 

Earlier prospecting by the Company on the Azrar Project reported strong copper
grades, including 3.79 % Cu and 23 g/t Ag from a NE-SW trending fault breccia
trending across the central area of the project.

 

Aterian Exploration Results

The recent fieldwork, with results reported today, concentrated on preliminary
reconnaissance over two new licences granted to the Company in August 2023 and
continuing exploration of the northwestern part of the original Project area.

 

 

A total of 41 samples were collected during this reported sampling campaign.
Of these samples, 17 (41 % of this batch) were > 0.3 % Cu, with 11 samples
returning values greater than 1 % Cu. Three samples reported gold values of
0.50, 0.33 and 0.19 g/t Au.

 

 Area Sampled      No. of Samples  Outcrop  Float  Spoil/Dump
 New Permits       19              15       2      2
 Original Project  22              21       1      -
 Total             41              36       3      2

 

The maximum sample grade reported from the current dataset was 4.01 % Cu with
26.9 g/t Ag, collected from an 8 m thick carbonate bed with disseminated
malachite observed along bedding plane surfaces and cross-cutting fractures
and joints. Earlier project work identified a well-defined NE-SW trending
fault zone, with mineralisation hosted in a quartz-carbonate breccia, within
the central part of the Project. The recent samples taken along strike to the
northeast along this structure returned good grades (2.40 % and 2.50 % Cu),
extending the mineralised portion of the feature to almost 2.5 km in length.
The maximum width of this structure observed during fieldwork is 8 m and
averages c.4 m.

 

Along the contact of the d'Azaghar Izazen intrusive body, quartz veins up to
1m wide and quartz breccia-filled faults were observed in the northwest of the
Project. A vein sample with disseminated and fracture-filling pyrite,
chalcopyrite and covellite reported 1.81 % Cu, with a sample from the
brecciated fault zone reporting 0.69 % Cu.

 

Sedimentary-hosted copper mineralisation was observed from prospecting in the
western area. Three individual samples collected over a strike length of 1 km
reported copper grades of 1.21 %, 0.57 % and 0.54 % from Adoudounian age
sedimentary sequences, with disseminated mineralisation observed along bedding
and cross-cutting fractures.

 

Several zones of mineralised quartz veining and fault breccia were observed
within the new licences. Two samples from spoil material adjacent to old
artisanal workings returned good copper and associated gold (1.19 % Cu with
0.50 g/t Au and 1.22 % Cu with 0.33 g/t Au) from the quartz-specular hematite
veins. The workings are sub-vertical shafts and pits, up to 7 m deep and 2 m
wide, with veins up to 1.2m wide. Another vein sample collected 1.8 km south
along the artisanal workings' structural trend returned 0.54 % Cu and 0.19 g/t
Au.

 

*A rock chip or grab sample cannot be taken as a representation of the overage
grade average and potential deposit size. A float sample is collected from
loose pieces of rock not connected to an outcrop. A spoil/dump sample is
collected adjacent to a historical working.

 

Sampling Methodology and Analysis

ALS Limited, an accredited laboratory in Sevilla, Spain, undertook all sample
preparation and analysis for these reported samples. Given the early-stage
nature of these programmes, no QA/QC samples were included. Rock samples were
crushed to 70 % passing -2 mm. The less than 2 mm fraction was pulverised,
with 85 % of the sample passing <75 microns. All samples were analysed
using four-acid digestion for a multi-element suite of 34 metals by
Inductively Coupled Plasma Atomic Emission Spectroscopy (ICP-AES). In
addition, all samples were analysed for their gold content by a 50g Fire Assay
method with an atomic absorption finish.

 

Work Plan for the Azrar Project

Future work programmes at the Azrar Project will include further geological
mapping and sampling of the copper-gold veins on the new licences, channel
sampling across the copper-rich NE-SW trending structure within the central
part of the Project and further exploration of the sedimentary-hosted copper
potential within the Adoudoudian sedimentary sequence.

 

Illustrations
The following figures have been prepared by Aterian and relate to the
disclosures in this announcement.

 

 

Mining Indaba 2024

The Company will attend the Mining Indaba in Cape Town and is available for
meetings at the Explorer's Showcase, Stand ES8.

 

Qualified Person

The technical disclosure in this regulatory announcement has been approved by
Simon Rollason, Chief Executive Officer of Aterian Plc. A graduate of the
University of the Witwatersrand in Geology (Hons). He is a Member of the
Institute of Materials, Minerals and Mining, with over 30 years of experience
in mineral exploration and mining.

 

- ENDS -

 

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).

 

For further information, please visit the Company's website:
www.aterianplc.com (http://www.aterianplc.com) or contact:

 

Aterian Plc:

Charles Bray, Executive Chairman - charles.bray@aterianplc.com
(mailto:charles.bray@aterianplc.com)

Simon Rollason, Director - simon.rollason@aterianplc.com
(mailto:simon.rollason@aterianplc.com)

 

Financial Adviser and Joint Broker:

Novum Securities Limited

David Coffman / George Duxberry

Tel: +44 (0)207 399 9400

 

Joint Broker:

SP Angel Corporate Finance LLP

Ewan Leggat / Kasia Brzozowska

Tel: +44 20 3470 0470

 

Financial PR:

Bald Voodoo - ben@baldvoodoo.com

Ben Kilbey

Tel: +44 (0)7811 209 344

Notes to Editors:

About Aterian plc

www.aterianplc.com (http://www.aterianplc.com)

 

Aterian plc is an LSE-listed exploration and development company with a
diversified African portfolio of critical metals projects.

Aterian plc is actively seeking to acquire and develop new critical metal
resources to strengthen its existing asset base whilst supporting ethical and
sustainable supply chains as the world transitions to a sustainable, renewable
future. The supply of these metals is vital for the development of the
renewable energy, automotive and electronic manufacturing sectors that are
playing an increasing role in reducing carbon emissions and meeting climate
ambitions globally.

 

The Company recently entered into a joint venture agreement with Rio Tinto
Mining and Exploration Limited for Rio Tinto to earn into the HCK project in
southern Rwanda and holds two further partnerships in Rwanda exploring and
developing lithium-tantalum-niobium-tin mining operations. Aterian currently
has a portfolio of 17 copper-silver and base metal projects in the Kingdom of
Morocco, with a project area of 897 km(2). In January 2024, the Company
announced the acquisition of a 90% interest in Atlantis Metals. This private
Botswana registered company holds one mineral prospecting licence for
copper-silver in the Kalahari Copperbelt and three for lithium brine
exploration in the Makgadikgadi Pans region. The total licence area in
Botswana is 3,516 km(2).

 

The Company's strategy is to seek new exploration and production opportunities
across the African continent and to develop new sources of critical mineral
assets for exploration, development, and trading.

Glossary of Terms

The following is a glossary of technical terms:

 

 "Ag"                              means  Silver
 "Au"                              means  Gold
 "Breccia"                         means  a rock consisting of angular fragments of stones cemented by finer materials
 "Cu"                              means  Copper
 "Ferruginous"                     means  containing iron oxides
 "Float sample"                    means  loose pieces of rock that are not connected to an outcrop
 "g/t"                             means  grams per tonne
 "Hercynian or Variscan Orogeny"   means  an orogenic belt that evolved during the Devonian and Carboniferous periods,
                                          from about 419 to 299 million years ago
 "km"                              means  Kilometres
 "m"                               means  Metres
 "mm"                              means  Millimetres
 "Mt"                              means  millions of tonnes
 "NI 43-01"                        means  National Instrument 43-101 Standards of Disclosure of Mineral Projects of the
                                          Canadian Securities Administrators
 "Outcrop"                         means  a rock formation that is in situ and visible on the surface
 "Qualified Person"                means  a person that has the education, skills and professional credentials to act as
                                          a qualified person under NI 43-101
 "Sb"                              means  Antimony is used in alloys and in lead-acid storage batteries. The U.S.
                                          government has considered antimony a critical mineral mainly because of its
                                          use in military applications.
 "Stratiform"                      means  parallel to the bedding planes of the surrounding rock
 "Vein"                            means  a distinct sheetlike body of crystallised minerals within a rock
 "Zn"                              means  Zinc

 

 

 1  (#_ftnref1)
https://ustr.gov/sites/default/files/uploads/Countries%20Regions/africa/agreements/morocco/Morocco%20FTA%20Chapter%20Summaries.pdf

 

https://eur-lex.europa.eu/eli/agree_internation/2019/217/oj

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