REG - European Green Trns. - Initial Sample Results – Copper Tailings Project

European Green TransitionAnnouncement

23/07/2024 07:00

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RNS Number : 3624X  European Green Transition PLC  23 July 2024

This announcement contains inside information for the purposes of Article 7 of
Regulation (EU) No 596/2014 as it forms part of UK domestic law by virtue of
the European Union (Withdrawal) Act 2018. With the publication of this
announcement via a Regulatory Information Service, this inside information is
now considered to be in the public domain.

 

 23 July 2024

European Green Transition plc

("European Green Transition", "EGT" or "the Company")

Encouraging Preliminary Sample Results from Copper Tailings Recycling Project

 

 

European Green Transition (AIM: EGT), a company developing green economy
assets in Europe which aims to capitalise on the opportunity created by the
green energy transition, is pleased to announce what it believes are
encouraging results from samples taken from its Copper Tailings Recycling
Project at Limni in Cyprus.

 

Highlights

 

·    The first stage of diligence on the Cyprus Copper Tailings Recycling
Project at the past-producing Limni copper mine has delivered encouraging
results across 68 samples.

·    Acid soluble copper ranging from 0.41% to 0.92% found in crusts
clearly demonstrates the presence of copper in water at surface.

·    Results also indicate potential upside for gold, with samples of up
to 1.48 g/t Au recorded from waste near the edge of the pit.

·    EGT will now progress to the next stage of diligence as part of its
option agreement (as announced on 29 April 2024) to develop a copper tailings
recycling project through low-cost water treatment and tailings development,
with subsequent potential for solar development.

 

Aiden Lavelle, Chief Executive Officer of European Green Transition, said:

 

"The first stage of diligence at the Limni site has yielded encouraging
results, indicating the potential for recovering a meaningful amount of
copper, in addition to newly identified gold potential at the site which
offers further upside for the project. Dry sulphate crust samples returned
grades of acid soluble copper ranging from 0.41% Cu to 0.92% Cu and averaging
0.756% Cu. We were also pleased to find indications of gold in rock chip
samples taken from the pit edge, with results up to 1.48 g/t providing
additional upside value.

 

"As a next step, we will now progress to the next stage of diligence as part
of our 12-month option agreement. This will include further rock sampling,
water sampling, and analysis of the potential for solar development at the
site."

 

 

Sample Results

Results have been received from the first stage of EGT's diligence process,
which included a total of 68 samples collected during fieldwork in May and
June 2024. Three different sample types were collected at Limni. These include
five sulphate crust samples from the surface of the pit where water often lies
during the wet season, nine rock chip samples collected from the edge of the
pit with visible or oxidised sulphides, and 54 surface samples of pit infill
material.

 

Results for the five sulphate crust samples from the surface of the pit
confirm that copper-enriched solutions are remobilising copper from the
tailings and depositing it at surface when the water evaporates in the dry
season. The samples were taken in a line across a normally wet area of the pit
with sample spacing of c.9-15m. The average acid soluble copper grade of the
five samples was 0.756% Cu with a range of 0.41% Cu to 0.92% Cu. Zinc and
cobalt were also elevated in these samples with an average of 0.25% Zn and 250
ppm Co by aqua regia digestion. Sulphur was greater than 10%, explaining the
observed acid mine drainage which is evident through the outflow of blue
metal-enriched water and blue sulphosalts found at the site.

The nine rock chip and grab samples were collected from waste material at the
edge of the pit. Five of the samples were taken from a 200m x 100m area to the
south of the pit and four to the northwest of the pit. The five samples from
the south of the pit had an average grade of 0.89g/t Au and 0.12% Cu with a
maximum of 1.48g/t Au. The four samples from the northwest of the pit were all
anomalous with two samples grading 0.15g/t Au and 0.19g/t Au. The gold
mineralised samples are hosted in gossanous basalt with variable jarosite,
hematite and kaolinite alteration. These results indicate that there is
excellent and unquantified potential for gold mineralisation around the Limni
pit, both in waste and potentially hard rock gold-pyrite zones on the
periphery of the volcanic massive sulphide deposit ('VMS').

 

The 54 pit surface samples were collected from 27 stations with 50m spacing
along four separate east-west lines across the pit. At each station, a sample
was collected from the surface (0-15cm depth) and also from 15-30cm depth. The
results of these samples show mixed results for copper, gold, and zinc, and it
was observed that the material at the surface is generally mixed low-sulphide
waste which is likely not fully representative of the tailings beneath due to
the presence of coarse clasts. This material was placed as a cap over the
backfilled tailings and as part of the next phase of diligence, EGT plans to
obtain a more representative sample of the tailings beneath the cap. The
average copper grade in these 54 samples was still elevated at 0.18% Cu with a
maximum value of 0.38% Cu by aqua regia digestion. The acid soluble copper
grade was more variable with 14 values c. 0.1% Cu and an average of 0.07% Cu
for the 54 samples. All samples were anomalous in gold, with 14 samples
>800ppb Au including four grading c. 0.1 g/t Au (1,000 ppb) supporting the
Directors' view there is potential for gold upside as part of this project.

 

Figure 1: Satellite image of the Limni pit showing location and grade of
samples collected. Refer to the map key for grade.

 

 

Implications

These results confirm that copper is mobilising within groundwater in the pit,
adding weight to the potential for copper recovery from the pit groundwater
using standard extraction wells i.e. in situ recovery which would have a very
low surface impact and potential near-term revenue generation. The Company
will consider further testing to quickly advance this concept and progress to
the next stage of diligence.

 

The model for VMS deposits has advanced significantly since the Limni mine
closed in 1978 and gold has been found associated with zinc and pyrite around
other exploration sites in Cyprus and within the Limni District. In modern VMS
deposit models, gold may be associated with pyrite stockworks and with
argillic alteration either within the core of the deposit or on the periphery
of the sulphide mounds. The gold grade of the historic Limni mine is unknown
and there is no production data for gold at the site. Further work is
warranted to determine the gold potential of the project.

 

The site and surroundings also offer an excellent long-term potential to
establish a solar power facility following the completion of the tailings
recycling project. This optionality provides EGT with potential further upside
from the project. EGT would intend to partner with an existing solar power
operator with the expertise and track record of developing a solar facility,
with EGT maintaining a long-term revenue stream, should this be viable.

 

Sample Information, Quality Assurance / Quality Control

All samples were securely bagged, cable tied, boxed, and shipped from Cyprus
by courier to ALS Romania. The samples were analysed by ALS for gold using a
50g gold fire assay package (Code Au-AA24) and for acid soluble copper by a
sulphuric acid leach with atomic absorption spectroscopy (AAS), (Code
Cu-AA05). The pit floor samples and rock samples were analysed for
multielements using ALS package ME-MS41 while the sulphate crust samples were
analysed by a four-acid leach (Code ME-ICP61). ALS Minerals routinely includes
standards, blanks and duplicates in the sample stream and monitors the results
which are reported to EGT. Standards and blanks were not submitted by EGT with
this first pass batch of samples due to unavailability in the field at the
time of sampling, however, values are in line with those expected given the
history of the site and nature of the sampled material. The duplicate samples
from surface and 15-30cm depth on the pit floor are generally consistent with
each other, with just four of the sample pairs showing significant deviation
of >22% between samples.

 

Competent Person

All scientific and technical information in this announcement has been
prepared under the supervision of and reviewed and approved by EurGeol Aiden
Lavelle, M.Sc., P.Geo., EGT's Chief Executive Officer. Mr Lavelle has
sufficient experience relevant to the style of mineralisation and type of
deposit under consideration, and to the activity which he is undertaking to
qualify as a Competent Person in accordance with the guidance note for Mining,
Oil & Gas Companies issued by the London Stock Exchange in respect of AIM
Companies, which outlines standards of disclosure for mineral projects. Mr
Lavelle consents to the inclusion in this announcement of the matters based on
his information in the form and context in which it appears.

 

 

-ENDS-

 

 

Enquiries

European Green Transition plc

 Aiden Lavelle, CEO  +44 (0) 208 058 6129
 Jack Kelly, CFO

Panmure Liberum - Nominated Adviser and Broker

  James Sinclair-Ford / Dougie McLeod / Ivo Macdonald / Mark Murphy / Kieron   + 44 (0) 20 7886 2500
 Hodgson / Rauf Munir

 

Camarco - Financial PR

 Billy Clegg, Elfie Kent, Lily Pettifar, Poppy Hawkins  europeangreentransition@camarco.co.uk
                                                        (mailto:europeangreentransition@camarco.co.uk) + 44 (0) 20 3757 4980

Notes to Editors

 

 European Green Transition plc (listed on the AIM London Stock Exchange under
the ticker "EGT") is a business operating in the green economy transition
space in Europe. EGT intends to capitalise on the opportunities created by
Europe's transition away from fossil fuels to a green, renewables-focused
economy. The Company plans to expand its existing portfolio of green economy
assets through M&A, targeting what it believes to be distressed and
undervalued projects. EGT sees substantial opportunities to deliver value from
its M&A pipeline, which includes critical material, wind, solar,
processing and recycling projects.

 

EGT's highly experienced leadership team has a strong track record of building
successful public companies through the acquisition of distressed assets. EGT
plans to replicate this approach, creating a sustainable and profitable
business while generating shareholder returns.

 

The Company's current portfolio of green economy assets includes the Olserum
Rare Earth Project in Sweden. The Olserum project is one of Sweden's projects
of "National Interest" and has the potential to become Europe's first
operating REE mine. EGT has taken an exclusive option over a copper tailings
recycling project in Cyprus with the potential to generate meaningful amounts
of copper, and with the site and surroundings offering an excellent long-term
location to establish a potential solar power facility. EGT has taken a
further exclusive option to develop a peatland carbon sink programme and in
turn generate carbon credits at Altan in Donegal in the northwest of Ireland.
EGT owns additional projects in northern Sweden and Germany which have defined
and tangible upside with potential to realise near-term inflection points in a
cost effective manner. EGT's objective is to build a profitable business while
aiming to monetise some of its assets through sale or partnership with larger
industry players or European end users. The team is focused on success while
remaining committed to its defined ESG strategy, ensuring excellent
development practices across all projects in addition to regular local
community engagement.

 

 

 

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