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REG-Base Resources Limited: 2023 Mineral Resources and Ore Reserves Statement

 

 

 

AIM and Media Release 

11 August 2023

 

Base Resources Limited 
2023 Mineral Resources and Ore Reserves Statement

 

Key Points
* Kwale South Dune Mineral Resources and Ore Reserves estimates reduced due to
mining depletion and related sterilisation during the year to 30 June 2023,
with:
* Mineral Resources reducing by 18.8Mt containing 0.61Mt of heavy mineral.
* Ore Reserves reducing by 16.9Mt containing 0.57Mt of heavy mineral.
* Kwale North Dune Mineral Resources and Ore Reserves estimates reduced due to
mining depletion during the year to 30 June 2023, with:
* Mineral Resources reducing by 2.4Mt containing 0.05Mt of heavy mineral.
* Ore Reserves reducing by 1.8Mt containing 0.04Mt of heavy mineral.
* Ranobe Mineral Resources and Ore Reserves estimates were both unchanged from
2022.
 

The 2023 Mineral Resources and Ore Reserves estimates for Base Resources
Limited (ASX / AIM: BSE) are summarised in the table below, together with the
2022 Mineral Resources and Ore Reserves estimates for comparison.



            2023(1)                                               2022(1)                                               
             as at 30 June 2023                                    as at 30 June 2022                                   
                                         HM Assemblage                                         HM Assemblage            
            Tonnes  HM    HM   SL   OS   ILM   RUT    LEUC  ZIR   Tonnes  HM    HM   SL   OS   ILM   RUT    LEUC  ZIR   
            (Mt)    (Mt)  (%)  (%)  (%)  (%)   (%)    (%)   (%)   (Mt)    (Mt)  (%)  (%)  (%)  (%)   (%)    (%)   (%)   
 Mineral Resources                                                                                                      
  (Measured + Indicated + Inferred, inclusive of Ore Reserves)                                                          
 Kwale(2)   184     2.8   1.5  36   1.9  45    13(3)  -     5.8   205     3.5   1.7  35   2.0  47    13(3)  -     5.8   
 Ranobe(4)  2,580   111   4.3  7.7  0.4  71    1.0    1.0   5.9   2,580   111   4.3  7.7  0.4  71    1.0    1.0   5.9   
 Ore Reserves                                                                                                           
  (Proved + Probable)                                                                                                   
 Kwale      21      0.5   2.2  32   2.1  52    14     -     6.1   40      1.1   2.7  28   2.3  55    14     -     6.0   
 Ranobe     904     55    6.1  3.8  0.1  73    1.0    1.0   5.9   904     55    6.1  3.8  0.1  73    1.0    1.0   5.9   


[Notes:

(1)  Table may be subject to slight arithmetic differences due to rounding.

(2) Kwale incorporates the Kwale South Dune, Kwale North Dune and Bumamani
deposits.

(3) Kwale rutile reported is rutile + leucoxene minerals.

(4) The Ranobe Mineral Resources estimate also specifies the monazite and
garnet within the mineral assemblage as a percentage of HM, refer to the
standalone table for the Ranobe Mineral Resources estimate below for these
percentages.]

 

The Mineral Resources and Ore Reserves estimates in this statement are
reported in accordance with the JORC Code.  A glossary of key terms used in
this statement is set out at the end of this statement.

 

For further information about the estimates in this statement, including
information that is material to understanding the estimates in relation to the
applicable criteria in Table 1 of the JORC Code, refer to the following
announcements5:

 

 Deposit(s)                                                       Announcement Title                                                           Estimate Date      Release Date       
 Kwale South Dune               Mineral Resources & Ore Reserves  Updated Kwale South Dune Mineral Resources and Ore Reserves estimates        30 June 2021       20 August 2021     
 Kwale North Dune and Bumamani  Mineral Resources                 Updated Kwale North Dune and maiden Bumamani Mineral Resources estimates(6)  19 February 2021   19 February 2021   
 Kwale North Dune and Bumamani  Ore Reserves                      Maiden Kwale North Dune and Bumamani Ore Reserves estimates                  20 June 2022       20 June 2022       
 Ranobe (Toliara)               Mineral Resources & Ore Reserves  Updated Ranobe Mineral Resources and Ore Reserves estimates                  27 September 2021  27 September 2021  
 2022 Comparatives              Mineral Resources & Ore Reserves  2022 Mineral Resources and Ore Reserves Statement                            30 June 2022       12 August 2022     

[Notes:

(5)  Announcements are available at
https://baseresources.com.au/investors/announcements/

(6) The Kwale North Mineral Resources estimate was updated as at 20 June 2022
and disclosed in the announcement titled ‘Maiden Kwale North Dune and
Bumamani Ore Reserves estimates’ released on 20 June 2022.  Refer to this
announcement for the most recent JORC Code Table 1 information for both the
Kwale North Dune and Bumamani Mineral Resources estimates.] 

  

The Company’s Kwale Mineral Sands Operations in Kenya is located
approximately 50 kilometres south of Mombasa and 10 kilometres inland from the
Kenyan coast.  The Company’s wholly owned subsidiary, Base Titanium, is the
100% owner and operator of Kwale Operations and has a net attributable
interest of 100% in the 2023 Kwale Mineral Resources and Ore Reserves
estimates.  Base Titanium also holds Prospecting Licence 2018/0119 and
Special Mining Lease 23, which contain the Kwale South Dune, the Kwale North
Dune and Bumamani deposits.

 
Mineral Resources
 

The 2023 Kwale Mineral Resources, as at 30 June 2023, are estimated to be
184Mt at an average HM grade of 1.5% for 2.8Mt of contained HM, at a 1% HM
cut-off grade.

 

The 2023 Kwale Mineral Resources estimate represents a decrease of
approximately 21Mt (or 10%) in material tonnes containing 0.7Mt of HM compared
to the 2022 Kwale Mineral Resources estimate.  This was due to mining
depletion and sterilisation of the Kwale South Dune Mineral Resources and
mining depletion of the Kwale North Dune Mineral Resources.

 

The Kwale South Dune Mineral Resources are estimated to be 8.9Mt at an average
HM grade of 2.2% for 0.19Mt of contained HM as at 30 June 2023, a decrease of
18.8Mt containing 0.61Mt of HM compared to the 2022 Kwale South Dune Mineral
Resources estimate.

 

The 2023 Kwale North Dune Mineral Resources are estimated to be 169Mt at an
average HM grade of 1.5% for 2.51Mt of contained HM as at 30 June 2023, a
decrease of 2.4Mt containing 0.05Mt of HM compared to the 2022 Kwale North
Dune Mineral Resources estimate.  

 

The 2023 Bumamani Mineral Resources are estimated to be 5.9Mt at an average HM
grade of 1.9% for 0.12Mt of contained HM.  The Bumamani Mineral Resources at
30 June 2023 are unchanged from the 2022 estimate.

 

Table 2: 2023 Kwale Mineral Resources estimate compared with the 2022 estimate
at a 1% HM cut-off grade.



            2023                                                2022                                                
             as at 30 June 2023                                  as at 30 June 2022                                 
                                           HM Assemblage                                       HM Assemblage        
 Category   Tonnes  HM      HM   SL   OS   ILM    RUT    ZIR    Tonnes  HM      HM   SL   OS   ILM    RUT    ZIR    
            (Mt)    (Mt)    (%)  (%)  (%)  (%)    (%)    (%)    (Mt)    (Mt)    (%)  (%)  (%)  (%)    (%)    (%)    
 Kwale South Dune Mineral Resources                                                                                 
 Measured    4.9     0.11   2.2  26   2.3  59     14     6.1     17      0.49   3.0  24   1.3  59     14     5.8    
 Indicated   4.0     0.09   2.2  27   6.1  57     14     6.0     11      0.31   2.9  25   6.1  56     13     5.9    
 Total       8.9     0.19   2.2  26   4.0  58     14     6.1     28      0.81   2.9  24   3.2  58     14     5.8    
 Kwale North Dune Mineral Resources                                                                                 
 Measured   104     1.60    1.5  37   1.5  40     13     5.4    106     1.6     1.5  37   1.5  40     13     5.4    
 Indicated  62      0.89    1.4  37   2.1  49     14     6.1    63      0.9     1.4  37   2.1  49     14     6.1    
 Inferred   2       0.03    1.2  37   2.9  49     15     6.5    2       0.03    1.2  37   2.9  49     15     6.5    
 Total      169     2.51    1.5  37   1.8  43     13     5.7    171     2.6     1.5  37   1.8  44     13     5.7    
 Bumamani Mineral Resources                                                                                         
 Measured   3.0     0.066   2.2  19   2.2  48     15     7.5    3.0     0.066   2.2  19   2.2  48     15     7.5    
 Indicated  2.6     0.045   1.7  23   5.2  47     16     7.7    2.6     0.045   1.7  23   5.2  47     16     7.7    
 Inferred   0.3     0.004   1.4  27   6.1  41     14     7.8    0.3     0.004   1.4  27   6.1  41     14     7.8    
 Total      5.9     0.115   1.9  21   3.8  47     15     7.6    5.9     0.115   1.9  21   3.8  47     15     7.6    
 Total Kwale Mineral Resources                                                                                      
 Measured   112     1.77    1.6  36   1.6  41     13     5.5    125     2.2     1.7  35   1.5  45     13     5.6    
 Indicated  69      1.02    1.5  36   2.5  50     14     6.2    77      1.3     1.6  35   2.8  51     14     6.1    
 Inferred   3       0.03    1.2  36   3.3  48     15     6.7    3       0.0     1.2  36   3.3  48     15     6.7    
 Total      184     2.82    1.5  36   1.9  45     13     5.8    205     3.5     1.7  35   2.0  47     13     5.8    

 Table may be subject to slight arithmetic differences due to rounding. 
Mineral Resources are reported inclusive of Ore Reserves.  

 

Ore Reserves

 

Included within the Kwale Mineral Resources are the Kwale Ore Reserves,
estimated to be 21.3Mt at an average HM grade of 2.2% for 0.48Mt of contained
HM as at 30 June 2023.

 

Compared to the 2022 Kwale Ore Reserves estimate, there was a decrease of 56%
in contained HM tonnes.

 

The Kwale South Dune Ore Reserves decreased by 16.9Mt containing 0.57Mt of HM
due to mining depletion and sterilisation of unmined material due to a
combination of an elevated basement floor in some areas compared to that
predicted in the underlying model, induration at the base of the mineralised
profile that could not be readily mined and infrastructure buffers.

 

The Kwale North Dune Ore Reserves decreased by 1.8Mt containing 0.04Mt of HM
due to mining depletion.  There was no sterilisation of unmined material as
the design pit floor is yet to be reached.


Table 3:  2023 Kwale Ore Reserves estimate compared with the 2022 estimate.



             2023                                                        2022                                                   
              as at 30 June 2022                                          as at 30 June 2022                                    
                                                    HM Assemblage                                          HM Assemblage        
  Category   Tonnes  HM              HM   SL   OS   ILM    RUT    ZIR    Tonnes  HM    HM        SL   OS   ILM    RUT    ZIR    
             (Mt)    (Mt)            (%)  (%)  (%)  (%)    (%)    (%)    (Mt)    (Mt)  (%)       (%)  (%)  (%)    (%)    (%)    
 Kwale South Dune Ore Reserves                                                                                                  
 Proved      3.6          0.09  2.4       27   2.2  59     14     6.1    15      0.46  3.1       25   1.2  59     14     5.7    
 Probable    1.6          0.05  3.0       26   7.4  57     13     6.1    7       0.25  3.3       24   5.8  57     13     5.9    
 Total       5.2          0.13  2.6       27   3.8  58     14     6.1    22      0.71  3.2       24   2.8  58     14     5.8    
 Kwale North Dune Ore Reserves                                                                                                  
 Proved      7.3          0.15  2.1       39   0.7  48     13     5.5    8.3     0.17  2.1       37   0.9  50     13     6.1    
 Probable    4.9          0.10  2.1       38   1.6  52     13     5.9    5.6     0.12  2.1       37   1.8  53     13     5.9    
 Total       12.1         0.25  2.1       39   1.1  50     13     5.6    13.9    0.29  2.1       37   1.2  51     13     6.0    
 Bumamani Ore Reserves                                                                                                          
 Proved      2.6          0.06  2.3       19   2.2  48     16     7.5    2.6     0.06  2.3       19   2.2  48     16     7.5    
 Probable    1.3          0.03  2.2       19   5.3  48     16     7.6    1.3     0.03  2.2       19   5.3  48     16     7.6    
 Total       3.9          0.09  2.3       19   3.2  48     16     7.5    3.9     0.09  2.3       19   3.2  48     16     7.5    
 Total Kwale Ore Reserves                                                                                                       
 Proved      13.5         0.30  2.2       32   1.4  51     14     6.1    26      0.69       2.7  28   1.2  56     14     6.0    
 Probable    7.8          0.18  2.3       33   3.4  53     14     6.2    14      0.40       2.7  29   4.2  55     13     6.0    
 Total       21.3         0.48  2.2       32   2.1  52     14     6.1    40      1.1        2.7  28   2.3  55     14     6.0    

Table may be subject to slight arithmetic differences due to rounding.
Ranobe Deposit
The Company’s Toliara Project is based on the Ranobe deposit, located
approximately 45 kilometres north of the town of Toliara and 15km inland from
the coast in south-west Madagascar.  The Ranobe deposit sits within Permis
d’Exploitation 37242, which is a mining lease under Malagasy law.  The
Company’s wholly owned subsidiary, Base Toliara SARL, is the 100% owner and
operator of the Toliara Project and has a net attributable interest of 100% in
the 2023 Ranobe Mineral Resources and Ore Reserves estimates.  The Company is
currently progressing the project towards development. 
Mineral Resources
 

The 2023 Ranobe Mineral Resources was unchanged from the 2022 estimate of
2,580Mt at an average HM grade of 4.3% for 111Mt of contained HM, based on a
1.5% HM cut-off grade. 

 

Table 4: The 2023 Ranobe Mineral Resources estimate at a 1.5% HM cut-off
grade.



                                         Mineral Assemblage as % of HM             
 Category   Tonnes  HM    HM   SL   OS   ILM    RUT    LEUC   ZIR    MON    GARN   
            (Mt)    (Mt)  (%)  (%)  (%)  (%)    (%)    (%)    (%)    (%)    (%)    
 2023 Ranobe Mineral Resources                                                     
  (as at 30 June 2023)                                                             
 Measured   597     36    6.1  4.3  0.2  74     1.0    1.0    5.9    1.9    2.2    
 Indicated  793     35    4.4  7.1  0.5  71     1.0    1.0    5.9    2.0    3.6    
 Inferred   1,190   39    3.3  9.7  0.6  69     1.0    1.0    5.8    2.0    4.3    
 Total      2,580   111   4.3  7.7  0.4  71     1.0    1.0    5.9    2.0    3.4    

 Table may be subject to slight arithmetic differences due to rounding. 
Mineral Resources are reported inclusive of Ore Reserves. 

 
Ore Reserves
 

Included within the Ranobe Mineral Resources are the Ranobe Ore Reserves,
estimated to be 904Mt at an average HM grade of 6.1% for 55Mt of contained HM
as at 30 June 2023, which are unchanged from the 2022 estimate.  No monazite
or garnet is incorporated in the Ranobe Ore Reserves estimate because the
existing mining tenure, Permis D’Exploitation 37242, does not currently
provide the right to exploit these minerals.

 

Table 5: The 2023 Ranobe Ore Reserves estimate.


 

                                        Mineral Assemblage as % of HM           
 Category  Tonnes  HM    HM   SL   OS   ILM       RUT       LEUC(^)   ZIR       
           (Mt)    (Mt)  (%)  (%)  (%)  (%)       (%)       (%)       (%)       
 2023 Ranobe Ore Reserves                                                       
  (as at 30 June 2023)                                                          
 Proved    433     30    6.9  3.8  0.1  75        1.0       1.0       6.0       
 Probable  472     25    5.3  3.9  0.2  72        1.0       1.0       5.8       
 Total     904     55    6.1  3.8  0.1  73        1.0       1.0       5.9       

Table may be subject to slight arithmetic differences due to rounding.

^Recovered Leucoxene will be split between Rutile and Chloride Ilmenite
products depending on product specification requirements.

 

Mineral Resources and Ore Reserves Governance

 

A summary of the governance, internal controls and estimation process
applicable to Base Resources’ Mineral Resources and Ore Reserves estimates
is as follows:

 
Mineral Resources
 
* Review and validation of drilling and sampling methodology and data spacing,
geological logging, data collection and storage, sampling and analytical
quality control.
* Geological interpretation – review of known and interpreted structure,
lithology and weathering controls.
* Estimation methodology – relevant to mineralisation style and proposed
mining methodology.
* Comparison of estimation results with previous mineral resources models, and
with results using alternate modelling methodologies. 
* Visual validation of block model against raw composite data.
* Use of external Competent Persons to assist in preparation of Mineral
Resources estimate updates.
 Ore Reserves * Review of potential mining methodology to suit deposit and
mineralisation characteristics.
* Review of potential Modifying Factors, including cost assumptions and
commodity prices to be utilised in mining evaluation.
* Ore Reserves estimate updates initiated following material changes in the
relevant Modifying Factor assumptions.
* Optimisation using appropriate software packages for open pit evaluation.
* Design based on optimisation results.
* Use of external Competent Persons to assist in preparation of Ore Reserves
estimates.
 

Competent Persons’ Statement

 

The information in the 2023 Mineral Resources and Ore Reserves Statement that
relates to Mineral Resources and Ore Reserves is based on, and fairly
represents, information and supporting documentation prepared by the Competent
Persons named in the table below.  Each Competent Person:

 
* is a Member or Fellow of The Australasian Institute of Mining and Metallurgy
or the Australian Institute of Geoscientists; 
* has sufficient experience that is relevant to the style of mineralisation
and type of deposits under consideration and to the activity which they are
undertaking to qualify as a Competent Person as defined in the JORC Code and
as a qualified person for the purposes of the AIM Rules for Companies; and
* consents to the inclusion in this statement of the relevant estimate(s)
listed alongside their name in table below in the form and context in which
the estimate and the relevant information are presented.
 

Mr Ian Reudavey has also approved this statement as a whole. 

 

Mr Ian Reudavey is employed by Base Resources, does not presently hold equity
securities in Base Resources, and is entitled to participate in Base
Resources’ long-term incentive plan and receive equity securities under that
plan.  Mr Scott Carruthers is employed by Base Titanium, Base Resources’
wholly owned subsidiary.  Mr Carruthers holds equity securities in Base
Resources, and is also entitled to participate in Base Resources’ long-term
incentive plan and receive equity securities under that plan.  Details about
that plan are included in Base Resources’ 2022 Annual Report.

 

 Name              Estimate(s)                                                                                                                                                                                                            Employer                                                
 Ian Reudavey      Kwale Mineral Resources and Ore Reserves (overall), Kwale South Dune Mineral Resources, Kwale North Dune Mineral Resources, Ranobe Mineral Resources, Kwale South Dune Ore Reserves and Kwale North Dune Ore Reserves  Base Resources, full-time employee                      
 Scott Carruthers  Kwale South Dune Mineral Resources, Bumamani Mineral Resources, Kwale South Dune Ore Reserves, Kwale North Dune Ore Reserves, Bumamani Ore Reserves and Ranobe Ore Reserves                                            Base Titanium, full-time employee                       
 Greg Jones        Kwale North Dune Mineral Resources                                                                                                                                                                                     IHC Robbins, consultant geologist to Base Resources     
 Per Scrimshaw     Bumamani Ore Reserves                                                                                                                                                                                                  Entech, a mining consultancy engaged by Base Resources  

 

Forward looking statements 


Certain statements in or in connection with this statement contain or comprise
forward looking statements.  Such statements may include, but are not limited
to, statements with regard to future production and grades, capital cost,
capacity, sales projections and financial performance and may be (but are not
necessarily) identified by the use of phrases such as “will”,
“expect”, “anticipate”, “believe” and “envisage”.  By their
nature, forward looking statements involve risk and uncertainty because they
relate to events and depend on circumstances that will occur in the future and
may be outside Base Resources’ control.  Accordingly, results could differ
materially from those set out in the forward-looking statements as a result
of, among other factors, changes in economic and market conditions, success of
business and operating initiatives, changes in the regulatory environment and
other government actions, fluctuations in product prices and exchange rates
and business and operational risk management.  Subject to any continuing
obligations under applicable law or relevant stock exchange listing rules,
Base Resources undertakes no obligation to update publicly or release any
revisions to these forward-looking statements to reflect events or
circumstances after today’s date or to reflect the occurrence of
unanticipated events.

Glossary

 Assemblage                 The relative proportion of heavy mineral components, principally ilmenite, rutile, zircon and, where applicable, leucoxene, monazite and garnet.                                                                                                                
 Base Resources or Company  Base Resources Limited.                                                                                                                                                                                                                                         
 Base Titanium              Base Titanium Limited.                                                                                                                                                                                                                                          
 Competent Person           The JORC Code requires that a Competent Person be a Member or Fellow of The Australasian Institute of Mining and Metallurgy, of the Australian Institute of Geoscientists, or of a ‘Recognised Professional Organisation’. A Competent Person must have a       
                            minimum of five years’ experience working with the style of mineralisation or type of deposit under consideration and relevant to the activity which that person is undertaking.                                                                                
 Cut-off grade              The lowest grade of mineralised material that is thought to be economically mineable and available. Typically used by Base Resources to define which material is reported in a Mineral Resources estimate.                                                      
 GARN                       Garnet, a valuable heavy mineral.                                                                                                                                                                                                                               
 Grade                      A physical or chemical measurement of the characteristics of the material of interest. In this context, the grade is always a percentage and the characteristics are heavy mineral, oversize, slime and the various product minerals (ilmenite, rutile etc).    
 Heavy mineral or HM        In mineral sands, minerals with a specific gravity greater than 2.85 t/m (3).                                                                                                                                                                                   
 ILM                        Ilmenite, a valuable heavy mineral.                                                                                                                                                                                                                             
 Indicated                  An Indicated Mineral Resource is that part of a Mineral Resource for which quantity, grade (or quality), densities, shape and physical characteristics are estimated with sufficient confidence to allow the application of Modifying Factors in sufficient     
                            detail to support mine planning and evaluation of the economic viability of the deposit.                                                                                                                                                                        
 Inferred                   An Inferred Mineral Resource is that part of a Mineral Resource for which quantity and grade (or quality) are estimated on the basis of limited geological evidence and sampling. Geological evidence is sufficient to imply but not verify geological and grade 
                            (or quality) continuity. It is based on exploration, sampling and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes.                                                        
 JORC Code                  The Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves 2012 Edition, as published by the Joint Ore Reserves Committee of The Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and 
                            Minerals Council of Australia.                                                                                                                                                                                                                                  
 LEUC                       Leucoxene, a valuable heavy mineral.                                                                                                                                                                                                                            
 Measured                   A Measured Mineral Resource is that part of a Mineral Resource for which quantity, grade (or quality), densities, shape, and physical characteristics are estimated with confidence sufficient to allow the application of Modifying Factors to support detailed 
                            mine planning and final evaluation of the economic viability of the deposit.                                                                                                                                                                                    
 Mineral Resources          Mineral Resources are a concentration or occurrence of solid material of economic interest in or on the Earth’s crust in such form, grade (or quality), and quantity that there are reasonable prospects for eventual economic extraction. The location,        
                            quantity, grade (or quality), continuity and other geological characteristics of a Mineral Resource are known, estimated or interpreted from specific geological evidence and knowledge, including sampling. Mineral Resources are sub-divided, in order of     
                            increasing geological confidence, into Inferred, Indicated and Measured categories.                                                                                                                                                                             
 Modifying Factors          Modifying Factors are considerations used to convert Mineral Resources to Ore Reserves. These include, but are not restricted to, mining, processing, metallurgical, infrastructure, economic, marketing, legal, environmental, social and governmental factors. 
 MON                        Monazite, a valuable heavy mineral that contains rare earth elements.                                                                                                                                                                                           
 Ore Reserves               Ore Reserves are the economically mineable part of a Measured and/or Indicated Mineral Resource. It includes diluting materials and allowances for losses, which may occur when the material is mined or extracted and is defined by studies at Pre-Feasibility 
                            or Feasibility level as appropriate that include application of Modifying Factors. Such studies demonstrate that, at the time of reporting, extraction could reasonably be justified.                                                                           
 OS                         Oversize material, for Kwale and Ranobe it is defined as material >1mm in size                                                                                                                                                                                  
 Probable                   A Probable Ore Reserve is the economically mineable part of an Indicated, and in some circumstances, a Measured Mineral Resource. The confidence in the Modifying Factors applying to a Probable Ore Reserve is lower than that applying to a Proved Ore        
                            Reserve.                                                                                                                                                                                                                                                        
 Proved                     A Proved Ore Reserve is the economically mineable part of a Measured Mineral Resource. A Proved Ore Reserve implies a high degree of confidence in the Modifying Factors.                                                                                       
 RUT                        Rutile, a valuable heavy mineral.                                                                                                                                                                                                                               
 SL                         Slimes, fine material (defined as <45µm at Kwale and <63µm at Ranobe) that is a waste product from the processing of mineral sands.                                                                                                                             
 Sterilisation              Material that is depleted from Mineral Resources or Ore Reserves, but which was not mined. This material still remains in ground following mining activity and, in the Competent Person’s opinion, it has no reasonable prospects for eventual economic         
                            extraction.                                                                                                                                                                                                                                                     
 ZIR                        Zircon, a valuable heavy mineral.                                                                                                                                                                                                                               

ENDS.

For further information contact:

 Australian Media Relations        UK Media Relations             
 Citadel Magnus                    Tavistock Communications       
 Cameron Gilenko and Michael Weir  Jos Simson and Gareth Tredway  
 Tel: +61 8 6160 4900              Tel: +44 207 920 3150          

 

This release has been authorised by Base Resources’ Disclosure Committee.

About Base Resources

Base Resources is an Australian based, African focused, mineral sands producer
and developer with a track record of project delivery and operational
performance.  The Company operates the established Kwale Operations in Kenya,
is developing the Toliara Project in Madagascar and is conducting exploration
in Tanzania.  Base Resources is an ASX and AIM listed company.  Further
details about Base Resources are available at www.baseresources.com.au.

 

PRINCIPAL & REGISTERED OFFICE
Level 3, 46 Colin Street
West Perth, Western Australia, 6005
Email:  info@baseresources.com.au
Phone: +61 8 9413 7400
Fax: +61 8 9322 8912

 

NOMINATED ADVISER & JOINT BROKER
Canaccord Genuity Limited
James Asensio / Raj Khatri / Patrick Dolaghan
Phone: +44 20 7523 8000

 

JOINT BROKER
Berenberg
Matthew Armitt / Detlir Elezi
Phone: +44 20 3207 7800



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