REG - Jangada Mines PLC - Investee Company Update: Blencowe Resources PLC

Jangada MinesAnnouncement

02/09/2024 10:15

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RNS Number : 5235C  Jangada Mines PLC  02 September 2024

Jangada Mines plc / EPIC: JAN.L / Market: AIM / Sector: Mining

2 September 2024

Jangada Mines plc ('Jangada')

 

Investee Company Update: Blencowe Resources PLC

 

Jangada Mines plc, a natural resources development company with interests in
Brazil and elsewhere, is pleased to note the announcement released by Blencowe
Resources PLC (LON:BRES) in which it holds a c. 10% interest.

 

Jangada Executive Chairman, Brian McMaster, said: "We continue to watch with
interest the strong progress being made at Blencowe's potentially
world-leading graphite project, Orom-Cross. Today's news is especially
encouraging as it highlights the successful metallurgical testing of a
600-tonne bulk sample study demonstrating the conversion of raw materials into
battery-ready products. This achievement is crucial for advancing the
previously announced offtake agreement and attracting further interest from
potential tier-one SPG consumers."

 

Start of Blencowe Resources PLC announcement

 

2 September
2024

Blencowe Resources Plc

 

("Blencowe" or the "Company")

 

600 tonne Commercial Scale Processing of Graphite Successfully Completed to
Final Battery-Ready SPG Product

 

Orom-Cross Project Advances on several Definitive Feasibility milestones

 

Blencowe Resources Plc (LSE: BRES) announces the successful completion of the
last internal stage of the graphite pre-qualification test program, being
upgrading of substantial quantity of small flake concentrate into battery
ready 99.95% uncoated SPG by leading SPG producer, Qingdao TaiDa Carbon
("TaiDa").

 

Definitive Feasibility Study Progress

Key DFS milestones now achieved, including:

·    Metallurgical testing: Completion of 600 tonne commercial scale test
work on Orom-Cross concentrate.

·    SPG Production: Large volume of battery-ready uncoated SPG
successfully produced by TaiDa and now sent for testing by potential tier one
Asian customers.

·    Water Borefield Completion: Essential water borefield at Orom-Cross
now completed.

·    Micronisation Testing: Successfully completed at AETC in Chicago
producing all five key product ranges.

·    ESIA Update: Updated Environmental and Social Impact Assessment
submitted for local authority approval.

·    ESG Update: Successful certification of Environmental and Social
Governance ("ESG"), policies and procedures.

 

SPG Product Samples Shipped - Final Step Toward Offtake Agreements

Blencowe has processed fine flake concentrate into commercial scale volumes of
high quality uncoated SPG (99.95% spheronised, purified graphite) via graphite
industry leader TaiDa, and commenced delivery of samples to potential tier one
customers in South Korea and Japan for their in-house testing. This is the
final step for qualification of Orom-Cross material for commercial use by
these potential customers and is the pathway toward securing future offtake
agreements. Samples are also being supplied to major Chinese battery
manufacturers.

 

Senior management are currently visiting the testing firms along with various
Asian OEMs to advance discussions towards offtake agreements.

 

Additional Value-Added Testing Completed

Blencowe has successfully concluded further testing with leading US graphite
expert American Energy Technologies ("AETC") in Chicago to further beneficiate
fines concentrate into a range of high value specialised micronised products.
These niche products, offering up to 10 times the value of basic fines
concentrate, can add significant additional value to Orom-Cross ahead and are
thus being integrated into the DFS plant design and overall production
strategy.  Samples will now be tested by potential offtakers as the next step
towards sale agreements.

 

Uganda Operations Update

Blencowe has submitted an updated ESIA to reflect the revised Orom-Cross
operation plan, enhancing content of environmental and social commitments to
align with guidelines from potential funding parties.

 

A water borefield at Orom-Cross has also been completed, ensuring sustainable
life-of-mine water supply for the project and local communities. The project
also included refurbishing bores and establishing water supplies for the local
school and clinic as part of Blencowe's social commitment.

 

Blencowe has also successfully achieved ESG accreditation through well-known
industry agency, Digbee ESG, for its current policies and planning on ESG.
This certification is a major step towards satisfying both the investment
community and industry expectations for sustainable and environmentally
responsible operations at Orom-Cross.

 

Significant progress continues within the DFS, including plant design, power
supply studies, and infrastructure development.

 

 

 

Cameron Pearce, Executive Chairman commented; "We continue to make solid
progress, including the completion of the 600-tonne bulk sample metallurgical
test work from source material to battery-ready products. We aim to build on
our initial offtake agreement already announced (for 15,000tpa large flake
concentrate) and gain further endorsement from potential tier one consumers of
SPG. Once we have assembled a range of customers and offtake agreements, we
have effectively de-risked the project ahead of project financing and
construction, therefore the next few months will be highly value accretive for
the Company.

 

"We expect this final external customer testing, including shipping product
within Asia, to take approximately one month to complete, and thereafter we
will be able to discuss offtake agreements with our senior management team
visiting various Asian parties regularly."

 

End of Blencowe Resources PLC announcement

 

**ENDS**

 

For further information please visit www.jangadamines.com
(http://www.jangadamines.com/)  or contact:

 

 Jangada Mines plc                     Brian McMaster (Chairman)  Tel: +44 (0)20 7317 6629
 Strand Hanson Limited                 Ritchie Balmer             Tel: +44 (0)20 7409 3494

 (Nominated & Financial Adviser)       James Spinney

 Tavira Securities Limited             Jonathan Evans             Tel: +44 (0)20 7100 5100

 (Broker)

 St Brides Partners Ltd                Ana Ribeiro                jangada@stbridespartners.co.uk

 (Financial PR)                        Isabel de Salis

 

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