REG - Metals One PLC - Råna Project Update

Metals OneAnnouncement

08/08/2023 07:00

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RNS Number : 5647I  Metals One PLC  08 August 2023

 

8 August 2023

 

Metals One Plc

("Metals One", the "Group", or the "Company")

 

Råna Project Update

 

Spartan MT Survey Indicates Highly Prospective Zones for

Massive Sulphide Ni-Cu-Co Mineralisation

 

Metals One, which is advancing battery metal projects at brownfield sites in
Finland and Norway, is pleased to announce that the Company's Råna Project
(nickel, copper, cobalt) partner and operator Kingsrose Mining Limited (ASX:
KRM) ("Kingsrose") has completed the acquisition and interpretation of
magnetotelluric geophysical surveys (Spartan MT) at the Rånbogen prospect.

 

Kingsrose's full announcement, released today on the ASX, can also be found on
their website. The highlights are summarised below. Most notable is their
identification of four strongly conductive zones, which are highly prospective
for massive sulphide nickel-copper-cobalt mineralisation.

 

Highlights

 

·    Spartan MT surveys are able to identify areas of low resistivity
(high apparent conductivity) which may represent nickel-copper-cobalt sulphide
mineralisation.

·    Four discrete, strong apparent conductivity anomalies have been
modelled at the Rånbogen prospect over a strike length of 1.8km:

o  Three of these anomalies ('Rånbogen 01', 'Rånbogen 02' and 'Rånbogen
04') are hosted within pyroxenite and peridotite lithologies of the Råna
intrusion. These lithologies are highly resistive and therefore the conductive
responses have a higher likelihood of being associated with sulphide
mineralisation.

o  One of the anomalies ('Rånbogen 03') is a steeply south dipping, very
strong conductor located at the basal contact between the intrusion and
footwall gneiss, which is known to contain conductive graphitic rock units.
The location at the base of the intrusion is also a highly prospective setting
for the accumulation of massive sulphides.

o  Where the conductive anomalies extend to surface, they display a strong
correlation with massive and disseminated nickel-copper sulphide
mineralisation identified in historical rock chip sampling.

o  Target 'Rånbogen 02' correlates well with historical drilling on the
northern margin of the conductive anomaly which returned a best intercept of
17.5m at 0.53 % Ni, 0.12 % Cu, and 0.05 % Co from 101m (SH004), including 2.5m
at 1.13 % Ni, 0.24 % Cu, and 0.10 % Co (see Kingsrose's ASX announcement dated
18 January 2023).

·   Ground-based and downhole electromagnetic ("EM") surveys to aid
detailed drill targeting are in progress at Rånbogen.

·    The drill rig will be switched to a helicopter portable system in
early August and transferred from the Bruvann Mine area to Rånbogen to test
these conductive targets.

 

Jonathan Owen, CEO of Metals One, commented:

 

"We are delighted to announce results from geophysical surveying at Rånbogen,
one of three priority prospects at our Råna Project. Utilising modern
geophysical techniques never previously deployed on the area, our partner
Kingsrose has identified highly conductive zones which demonstrate potential
for massive nickel-copper-cobalt sulphide mineralisation, further supporting
that the Råna intrusion is highly prospective for a significant nickel
deposit.

 

These surveys, together with the ground-based and downhole EM surveys
currently underway at the prospect, will help inform a drilling programme at
Rånbogen designed to test, and hopefully realise, the potential of the
Rånbogen Block to host nickel-copper-cobalt deposits."

 

Figure 1: Section A-A' (100m wide section) showing mineralised massive
sulphide at surface and in historical drillholes located at the MT gradient of
moderate to high conductivity, Targets Rånbogen 01 and Rånbogen 02, Råna
Project.

 

 

Discussion of Results

 

Rånbogen is located at the northern part of the Råna intrusion, at the
contact between footwall gneiss and a complex zone of peridotite, pyroxenite
and gabbronorite at the deeper parts of the intrusion. The intrusion strikes
east-west and dips moderately to the south-southeast. Laterally extensive
zones of narrow, elongate xenoliths of gneiss are mapped from east to west at
a transition zone between lower ultramafic dominant units into upper
gabbronorite dominant units, inferred as a paleo-roof pendant which formed
part way through the intrusion's evolution.

 

Mineralisation is mainly hosted in the peridotite and pyroxenite units,
comprising disseminated pyrrhotite-pentlandite-chalcopyrite with 1m to 3m
thick zones of massive sulphide. Localised concentrations at the contacts
between intrusive rocks and gneiss xenoliths are also observed. Massive
sulphide zones occur in outcrop and historical drill core, striking east-west
over at least 100m and plunging southeast to depth where mineralisation is
open.

 

The MT survey was designed to model conductive zones associated with
outcropping mineralisation to depth for drill targeting, as well as to
identify blind conductive zones which have potential to host massive sulphide
mineralisation. Four conductive zones are observed in the MT data, largely
coinciding with mineralised rock chip samples at surface and proximal to
historical mineralised drill intercepts. Similarly to Bruvann (see Kingsrose
ASX announcement dated 21 July 2023), mineralisation is observed at the steep
gradients between moderately and strongly conductive anomalies:

 

1.    Rånbogen 01: A complex 470m by 400m, roughly circular anomaly in
plan view which dips moderately southeast to at least 300m down dip. Massive
sulphide nickel-copper mineralisation is observed in outcrop on the
northeastern and southeastern margins of the anomaly, which is undrilled.

2.    Rånbogen 02: An ovoid, 400m by 200m, east-west striking anomaly at
the southern margin of the survey area. Historical drill holes were collared
on the northern margin of the anomaly. Kingsrose considers that the historical
holes were drilled sub-optimally relative to the orientation of the anomaly.
Several historical holes intercepted significant mineralisation with a
highlight intercept of 17.5m at 0.53 % Ni, 0.12 % Cu, 0.05 % Co from 101m
(SH004), including 2.5m at 1.13 % Ni, 0.24 % Cu, 0.10 % Co (see ASX
announcement dated 18 January 2023). The mineralisation here is open along
strike and down dip.

3.    Rånbogen 03: An east-west, 300m by 100m anomaly with a very steep
gradient, open to the north and located at the contact between basal
peridotite and footwall gneiss. This is undrilled and with little outcrop.

4.   Rånbogen 04: An elongate, 800m by 130m, moderately conductive anomaly
with a central, deeper, strongly conductive core over 300m by less than 100m.
The anomaly is coincident with gabbronorite at surface crosscut by strongly
oxidised <0.5m thick veins with up to 0.37 % Ni and 0.32 % Cu in historical
rock chip samples (see Kingsrose ASX announcement dated 18 January 2023). The
anomaly is immediately east and along strike from a mapped peridotite sill.

 

A follow up ground-based EM survey combined with downhole EM of historical
holes (where these holes remain open) is currently in progress to further
define conductive zones prior to drill testing.

 

Drilling at Bruvann is underway and will transition to a helicopter portable
rig in early August to allow drilling at Rånbogen to commence.

 

Further information, including supporting JORC statements provided by
Kingsrose, is available at:
http://www.rns-pdf.londonstockexchange.com/rns/5647I_1-2023-8-7.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/5647I_1-2023-8-7.pdf)

 

 Enquiries:

 Metals One Plc
 Jonathan Owen, Chief Executive Officer                     via Vigo Consulting

                                                            +44 (0)20 7390 0234

 Beaumont Cornish Limited (Nominated Adviser)               +44 (0)20 7628 3396

 James Biddle / Roland Cornish

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

 Shard Capital Partners LLP (Joint Broker)                  +44 (0)20 7186 9952

 Damon Heath / Erik Woolgar

 SI Capital Limited (Joint Broker)                          +44 (0)14 83413 500
 Nick Emerson

 Vigo Consulting (Investor Relations)                       +44 (0)20 7390 0234

 Ben Simons / Kendall Hill

 metalsone@vigoconsulting.com

About Metals One

 

Metals One is developing brownfield battery metals projects in Finland (Black
Schist Project) and Norway (Brownfield Råna Project), with approximately £9
million of exploration carry exposure through farm-in agreements. Metals One
is aiming to help meet the significant demand for battery metals by defining
resources on the doorstep of Europe's major electric vehicle OEMs and battery
manufacturers. Metals One's Black Schist Project in Finland, totalling 706
km(2) across three licence areas, has an Inferred Resource of 28.1 Mt
nickel-zinc-cobalt-copper and is located adjacent to Talvivaara, Europe's
largest operating nickel mine. Metals One's fully carried Brownfield Råna
Project in Norway covers 18.14 km² across three contiguous exploration
licences, with significant opportunity for brownfield exploration of the Råna
intrusion, and proven potential for massive sulphide nickel-cobalt-copper
mineralisation.

 

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Qualified Person Statement

 

Craig Moulton is an Independent Non-Executive Director of the Company and the
Qualified Person who reviewed and approved the technical disclosures in this
news release. Mr Moulton has over 30 years' experience in the mining industry,
having worked for Rio Tinto, Cliffs and Wood Mackenzie, and is a trained
Geologist and Mineral Economist. Mr Moulton holds a BSc (Hons) in Geology and
a MSc in Mineral Economics and is a qualified person under the AIM Rules. Mr
Moulton consents to the inclusion of the technical information in this release
and context in which it appears.

 

Glossary

 

 ASX               Australian Stock Exchange

 Co                cobalt

 Cu                copper

 intrusion         process when magma penetrates existing rock, crystallises, and solidifies
                   underground to form intrusions, such as batholiths, dykes, or sills

 magnetotellluric  a passive geophysical method which uses natural time variations of the Earth's
                   magnetic and electric fields to measure the electrical resistivity of the
                   sub-surface

 magnetic survey   geophysical survey method which identifies magnetic minerals

 massive sulphide  metal sulphide ore deposit which consists almost entirely of sulphides

 m                 metres

 Mt                million tonnes

 Ni                nickel

 schist            a medium-grade metamorphic rock formed from mudstone or shale

 Spartan MT        geophysical method used to survey the electrical resistivity of rocks at depth

 t                 tonnes

 Zn                zinc

 

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