REG - Premier African Min. - Zulu Assay Results and Update

Premier African MineralsAnnouncement

09/01/2024 07:00

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RNS Number : 0747Z  Premier African Minerals Limited  09 January 2024

9 January 2024

  Premier African Minerals Limited

 

Zulu Assay Results and Update

 

Premier African Minerals Limited ("Premier" or the "Company"), is pleased to
report an update including assay results at Premier's Zulu Lithium and
Tantalum Project ("Zulu"). These results include both surface trenches and
drill holes located within the area of the mineral claims block but outside of
the existing mining operations and pit development.

George Roach, CEO commented, "Those surface trench and drill hole results
originating from the Southeast pegmatite, represent very good potential for
this pegmatite that is adjacent but discrete from the main mining and pit
developments underway at present. More important is that geological logging
indicates that the lithium mineralisation in this pegmatite is almost
exclusively spodumene. For reference purposes, a grade of 1% Li2O when the
mineralisation is all spodumene, is the equivalent of 12.5% of the ore body
being made up of the mineral spodumene. Test work in our laboratory at Zulu
has consistently confirmed that Zulu is able to produce SC6 at acceptable
grades from a contained spodumene content in the ore body as low as 4%,
representing a potential economic cut-off grade as low as 0.37% Li2O when the
contained mineral is spodumene.

 

By way of general update, civils associated with the thickener and new mill
installation are substantially complete and first materials are now at site
with further loads on route. The new mill is expected to be the last component
to be positioned at Zulu late in January 2024 with anticipated restart of
operations as early in February as possible and the Board believes as
previously reported that the Company is still on track to target revenue
generating production by late-February 2024.

 

Mining operations are now well developed, and we anticipate no issues
associated with ore delivery to Run of Mine pad in future. Whilst mining
operations are a major cash cost at present, the future benefit when
operations are underway at much reduced stripping ratios will more than offset
this cost in the future.

 

Preliminary indications from the Company's internal budget (which has not been
independently verified) at this time model an average mine gate cost of the
order of $800 per ton for SC6 for the first 12 months, and which discounts any
technical grade spodumene produced and sold and any sale of any lepidolite and
other mica-rich concentrates or future tantalum production."

 

Drill Holes: Lithium & Tantalum Results

The table below sets out the composites determined, as per the outlined
compositing routine in the text below the table, from analyses received from
the independent external laboratory (SGS) for surface trenches ZT012, ZT016,
ZT017, ZT018, ZT020, ZT022, ZT025, ZT026, ZT027 and core drill holes ZDD156,
ZDD160 and ZDD161. Of the trench results, ZT025, ZT026 and ZT027 together with
all the drill holes are from the Southeast pegmatite that is located
approximately 350 meters southeast of current pit developments.

Table 1 -Assay Summary Results

 Hole    From (m)  To (m   Width* (m)  Li(2)O%  Ta(2)O(5) ppm  Rb ppm
 Surface Trenches
 ZT012   47.03     53.70   6.67        1.00     49             3909

 Incl.   48.86     50.36   1.50        1.70     18             2404

 ZT016   28.31     33.80   5.49        0.95     81             4690

 ZT017   9.70      17.20   7.50        0.56     87             3561

 ZT018   17.10     21.80   4.70        0.66     125            3875

 ZT020   37.30     39.30   2.00        0.94     79             5301

 ZT022   4.40      12.45   8.05        0.87     49             1154

 Incl.   5.40      9.40    4.00        1.38     58             1356

 ZT022   14.30     20.80   6.50        0.89     45             1374

 Incl.   18.30     19.30   1.00        1.61     38             634

 ZT022   41.70     43.70   2.00        0.70     74             2563

 ZT025   0.00      5.00    5.00        1.81     49             1029

 ZT026   0.00      7.50    7.50        1.40     52             1116

 Incl.   5.50      7.50    2.00        2.30     45             648

 ZT027   0.00      3.00    3.00        1.15     37             1058

 Incl.   1.00      2.00    1.00        2.30     22             1020

 Drill holes
 ZDD156  294.30    296.3   2.00        0.78     91             2697

 ZDD160  154.56    187.00  32.44       1.08     63             1265

 Incl.   159.91    161.91  2.00        1.77     67             1035

 Incl.   164.8     165.80  1.00        1.89     106            718

 Incl.   166.80    167.80  1.00        1.63     41             1009

 Incl.   173.98    175.98  2.00        1.60     38             969

 Incl.   183.98    184.98  1.00        1.80     56             1596

 ZDD161  165.73    174.08  8.35        1.53     54             1287

 Incl.   167.73    168.80  1.07        2.31     41             979

 Incl.   169.80    170.80  1.00        2.37     37             836

 ZDD161  180.46    186.00  5.54        1.06     97             997

 Incl.   180.46    180.46  2.00        2.14     98             892

*Not True Width but drilled width

**0.50% Li(2)O cut-off applied.

The following compositing routine has been applied:

 ·                                         0.50% Li(2)O cut-off was applied to the pegmatitic intersections only.
 ·                                         <2m standalone composites at the cut-off grade but with an overall weighted
                                           average grade of >0.5% Li(2)O are not reported.
 ·                                         Within any composite of >2m thickness, high-grade intersections of 1m and
                                           greater are reported provided the high-grade intersection is a multiple of x
                                           1.5 of the overall weighted composite grade, and
 ·                                         Within any composite, inclusions of country rock of <2m thickness are
                                           included within the composite provided the overall grade of the composite is
                                           not <0.50% Li(2)O.

The following Table 3 sets out the drill hole collar coordinates for the drill
holes reported in Table 1 above:

Table 2 - Drill Holes/Trench Collar Coordinates - This RNS

 Dhole   UTM 35S*    UTM 35S*     Elevation (AMSL)  Azimuth TN (°)   Collar Dip                EOH/Trench length

         Easting     Northing                                                  (°)             (m)
 ZT012   751199.571  7782684.17   1326.97           290              0                         80.5
 ZT016   751145.295  7782608.551  1321.542          290              0                         70
 ZT017   751130.097  7782555.182  1319.398          290              0                         40.5
 ZT018   751121.216  7782503.35   1314.89           290              0                         29
 ZT020   751102.666  7782450.664  1311.78           290              0                         100
 ZT022   751400.394  7782157.056  1310.307          225              0                         86
 ZT025   751392.43   7782146.19   1310.207          216.47           0                         5
 ZT026   751401.075  7782144.871  1310.218          210.51           0                         7.5
 ZT027   751409.526  7782139.956  1309.893          207.54           0                         3
 ZDD156  751483.703  7782138.713  1312.707          218.7            -59.84                    325.89
 ZDD160  751480.699  7782205.707  1312.555          226.26           -49.84                    300.35
 ZDD161  751415.084  7782206.843  1310.687          217.76           -59.86                    282.33
 * ARC1950 Datum (10m local datum shift)

Table 3 - Drilling & Trenching Progress

A summary of the number of drill holes & trenches completed both prior to
and for the ongoing Mineral Resource Estimate:

 PROGRAMME                   No of Drill Holes  Drill Metres (m)  No of Surface Trenches  Trenched Metres (m)
 RST (1958)                  7                  903.90
 ZULU - Initial Exploration  6                  2,312.90
 ZULU - PEA                  43                 5,809.10
 ZULU - Pilot Plant /MRE     143                34,100.16         33                      2,534.76
 ZULU - MRE (in progress)    0                  0

Table 4 - Analytical Pipeline

A summary of the status of drill core & trench analyses is set out below:

 Results received to date (excluding QA/QC samples)        9,837
 # QA/QC samples analysed - blanks, duplicates & CRMs      1,479*
 Sample pulps at SGS Randfontein awaiting analysis         350
 Sample pulps ready to be shipped to SGS                   635
 Ongoing sampling of drill cores/trench samples at site**  0
 **Estimate
 *QA/QC samples = 15% of total

 

Quality Assurance/Quality Control (QA/QC)

The drill holes are initially sited using a hand-held GPS (Global Positioning
System device) within the tenement areas. Accurate coordinates and elevations
of drill holes collars are subsequently derived from a DGPS (Differential
Global Position devices) survey upon completion of the drill hole.

Drill cores are geologically logged, intersections of interest are selected
are marked-up with unique sample ID assigned before splitting and sampling.
Cores are cut in half using a core cutter, individual samples bagged, and sent
for analysis.

Alternating Certified Refence Materials (CRM), blank or duplicate samples are
inserted every 10th sample into the sample stream sent to the laboratory to
ensure QA/QC compliance. These QA/QC samples are assessed upon receipt of
analyses, checked and, if acceptable, accepted into the analytical database.
Follow-up with the laboratory is instigated in cases were any QA/QC sample
fails the QA/QC parameters.

Currently, drill core samples are crushed and pulverised at the Antec
Laboratory, Zimbabwe to 85% passing -75 microns. Sample pulps are couriered to
the SGS Laboratory Services in Randfontein, South Africa where pulps are fused
with sodium peroxide and analysed by ICP-OES and ICP-MS to report 51-elements.
(SGS code ICP90A50 & IMS90A50).

The Geology of Zulu

The area, located in the Fort Rixon Greenstone Belt, is underlain by
Archaean-aged meta-volcanics and meta-sedimentary sequences of the Bulawayan
Supergroup, with serpentinites and banded iron formations at the base in the
east and metamorphosed volcano-sedimentary sequences to the west. The
greenstone belt is tear drop shaped measuring 30 km long and 19 km wide near
the broad section at the top. Metamorphism is retrograded to Greenschist
facies.

The Zulu Pegmatite is a LCT (Lithium-Caesium-Tantalum) pegmatite swarm which
intrudes along the contacts between serpentine and metamorphosed
volcano-sedimentary sequences over a strike length of several kilometres.
Outcrop widths vary between 10 and 50m. The pegmatite bodies strike N20° and
dip 70° to 90° to the west.

The area was first pegged in 1955 by J.S. Willemse and intensely explored,
under option, by mapping, trenching and drilling by Rhodesian Selection Trust
Co. Ltd. ("RST") in 1958. In 1961 and 1962 a small quantity of petalite from
the River Pegmatites (see below) was mined by W. Burchett in partnership with
J.S. Willemse. Premier later acquired the claims in 2013.

Mapping and logging of drill cores within some pegmatites semi-quantitative
powder X-Ray Diffraction (XRD)a has identified three distinct pegmatite
classes in the Mineral claims block. Spodumene-rich, thick pegmatites named
the Main Zone, South Pegmatite and SE Zone which are located north, south and
SE of the Machakwe River; footwall low-spodumene pegmatites with associated
tantalum and rubidium; and a suite of petalite-bearing pegmatites of short
strike length, named the River Pegmatites.

In general, the lithium minerals, occurring in varying quantities, are coarse
grained with associated feldspars and quartz with only very minor sulphides
being observed. In several contact zones, the lithium-bearing amphibole,
holmquistite, has been observed.

Qualified Person

Bruce Cumming, geologist with Premier, has reviewed and approved this release
to the extent that reference is made to the geology of the Zulu pegmatites.
Mr. Cumming is a SACNASP and GSSA registered geoscientist with 48 years'
experience in exploration and project management, in multicommodity projects
throughout Africa.

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the
European Union (Withdrawal) Act 2018.

The person who arranged the release of this announcement on behalf of the
Company was George Roach.

Enquiries:

 

 George Roach                      Premier African Minerals Limited    Tel: +27 (0) 100 201 281
 Michael Cornish / Roland Cornish  Beaumont Cornish Limited            Tel: +44 (0) 20 7628 3396

                                   (Nominated Adviser)
 Douglas Crippen                   CMC Markets UK Plc                  Tel: +44 (0) 20 3003 8632
 Toby Gibbs/Rachel Goldstein       Shore Capital Stockbrokers Limited  Tel: +44 (0) 20 7408 4090

 

Beaumont Cornish Limited ("Beaumont Cornish") is the Company's Nominated
Adviser and is authorised and regulated by the FCA. Beaumont Cornish's
responsibilities as the Company's Nominated Adviser, including a
responsibility to advise and guide the Company on its responsibilities under
the AIM Rules for Companies and AIM Rules for Nominated Advisers, are owed
solely to the London Stock Exchange. Beaumont Cornish is not acting for and
will not be responsible to any other persons for providing protections
afforded to customers of Beaumont Cornish nor for advising them in relation to
the proposed arrangements described in this announcement or any matter
referred to in it.

 

Forward Looking Statements:

Certain statements in this announcement are or may be deemed to be forward
looking statements. Forward looking statements are identified by their use of
terms and phrases such as ''believe'' ''could'' "should" ''envisage''
''estimate'' ''intend'' ''may'' ''plan'' ''will'' or the negative of those
variations or comparable expressions including references to assumptions.
These forward-looking statements are not based on historical facts but rather
on the Directors' current expectations and assumptions regarding the Company's
future growth results of operations performance future capital and other
expenditures (including the amount, nature and sources of funding thereof)
competitive advantages business prospects and opportunities. Such forward
looking statements reflect the Directors' current beliefs and assumptions and
are based on information currently available to the Directors. A number of
factors could cause actual results to differ materially from the results
discussed in the forward-looking statements including risks associated with
vulnerability to general economic and business conditions competition
environmental and other regulatory changes actions by governmental authorities
the availability of capital markets reliance on key personnel uninsured and
underinsured losses and other factors many of which are beyond the control of
the Company. Although any forward-looking statements contained in this
announcement are based upon what the Directors believe to be reasonable
assumptions. The Company cannot assure investors that actual results will be
consistent with such forward looking statements.

 

Notes to Editors:

Premier African Minerals Limited (AIM: PREM) is a multi-commodity mining and
natural resource development company focused on Southern Africa with its RHA
Tungsten and Zulu Lithium projects in Zimbabwe.

 

The Company has a diverse portfolio of projects, which include tungsten, rare
earth elements, lithium and tantalum in Zimbabwe and lithium and gold in
Mozambique, encompassing brownfield projects with near-term production
potential to grass-roots exploration. The Company has accepted a share offer
by Vortex Limited ("Vortex") for the exchange of Premier's entire 4.8%
interest in Circum Minerals Limited ("Circum"), the owners of the Danakil
Potash Project in Ethiopia, for a 13.1% interest in the enlarged share capital
of Vortex. Vortex has an interest of 36.7% in Circum.

 

In addition, the Company holds a 19% interest in MN Holdings Limited, the
operator of the Otjozondu Manganese Mining Project in Namibia.

 Glossary of Technical Terms:
 "amphibole"                    A class of rock-forming silicate or aluminosilicate minerals typically
                                occurring as fibrous or columnar crystals.
 "Banded Iron Formation (BIF)"  A sedimentary rock consisting of alternating layers of iron oxides and
                                iron-poor chert.
 "DFS"                          Definitive Feasibility Study.
 "Greenschist facies"           The Greenschist facies is at low pressure and temperature. The facies is named
                                for the typical schistose texture of the rocks and green colour of the
                                minerals chlorite, epidote and actinolite.
 "feldspar"                     An aluminosilicate mineral consisting of potassium, sodium, and calcium.
 "Holmquistite"                 A lithium-bearing amphibole related to hornblende with a formula as
                                (Na,K,Ca)Li(Mg,Fe)(3)Al(2)Si(8)O(22)(OH)(2.)
 "ICP-OES"                      Inductively coupled plasma-optical emission spectroscopy.
 "ICP-MS"                       Inductively coupled plasma mass spectrometry.
 "Lepidolite"                   A pink to lavender coloured lithium bearing mineral (KLi2Al(Si4O10)(F,OH)2).
 "Li to Li2O"                   x 2.153.
 "Li"                           Lithium.
 "Li(2)O"                       Lithium Oxide (Lithia) - an inorganic lithium compound used to assess lithium
                                minerals.
 "m"                            Meters.
 "meta-sediments"               Sedimentary rocks that have been metamorphosed.
 "meta-volcanics"               Volcanic rocks that have been metamorphosed.
 "PEA"                          Preliminary Economic Study.
 "Petalite"                     A white coloured lithium bearing mineral (LiAl(Si4O10)).
 "ppm"                          Parts per million.
 "Rb"                           Rubidium.
 "Run of Mine"                  Ore that is mined and ready to be processed
 "SC6"                          Is a high-purity lithium ore with approximately 6 percent lithium content
                                being produced as a raw material for the subsequent production of lithium-ion
                                batteries for electric vehicles
 "serpentinite"                 A dark, typically greenish metamorphic rock, consisting of serpentine or
                                related minerals, formed when mafic igneous rocks are altered.
 "Spodumene"                    A white to pink coloured lithium bearing mineral (LiAlSi2O6) containing up to
                                8.03% Li(2)O
 "Ta to Ta2O5"                  x 1.221.
 "Ta"                           Tantalum.
 "X-Ray Diffraction"            X-ray diffraction (XRD) is a widely used technique to assess the mineral
                                assemblage, crystallinity and structure of rocks, cores etc.

LITHIUM CLASSIFICATION AND CONVERSION FACTORS

Lithium grades are normally presented in percentages or ppm. Grades of
deposits are also expressed as lithium compounds in percentages, for example
as a percent lithium oxide (Li(2)O) content. The standard conversion factors
are set out in the table below:

Table: Conversion Factors for Lithium Compounds and Minerals

 Convert from           Convert to Li  Convert to Li(2)O
 Lithium        Li      1.000          2.153
 Lithium Oxide  Li(2)O  0.464          1.000

 
Ends

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