Operational Update - Bushveld Vanadium Project

RNS Number : 9728F

Bushveld Minerals Limited

26 February 2015

 



26 February 2015

Bushveld Minerals Ltd

("Bushveld" or the "Company")

Operational Update - Bushveld Vanadium Project

Bushveld Minerals Limited (AIM: BMN), a diversified mineral development company with projects in Africa, is pleased to provide an operations update on the Pre-Feasibility study underway at its Bushveld Vanadium Project in Limpopo Province, South Africa.

Highlights:

1)   Since the commencement of the drilling programme in November 2014, 31 boreholes totalling 1831.61m had been completed on the AB Zone and the Main Magnetite Layer ("MML"), as of 31 January 2015:

a)   AB Zone:

·      9 boreholes (535.79 m) completed and assays received on the AB Zone, confirming strike continuity along a ~1.7 km strike

·      Thickness of the AB Zone varies from 5.88 metres to 14.70 metres

b)   MML:  

·      22 boreholes (1295.82 m) completed on the MML;

·      14 in-fill boreholes completed for upgrading the Mineral Resource into the Measured category

·      8 boreholes completed to obtain sufficient core for the metallurgical testing required during the Pre-Feasibility and Feasibility studies

·      Samples submitted for 20 boreholes, with some assays having been received for 13 boreholes;

2)   Appointment of Bushveld owner team and external consultants to lead Pre-Feasibility Study Programme;

3)   Progress with Environmental Impact Assessment and Social and Labour Plan as part of the Mining Right Application;

4)   Pre-Feasibility Study on track for completion during 1H 2015;

5)   Mining Right Application on track for submission in Q1 2015.

Fortune Mojapelo, CEO of Bushveld Minerals, said: "We have made significant progress towards the completion of the Pre-Feasibility study on the project, most notably the completion of the in-fill and metallurgical drilling on the MML and the preparation of our mining right application which is expected to be submitted shortly. The metallurgical drilling has provided sufficient core for the metallurgical testing that our Pre-Feasibility and Feasibility studies require. We are also delighted to have established a focused Bushveld Vanadium Project Pre-Feasibility study owner team, supported by expert external consultants. The team comprises individuals with extensive expertise in vanadium mining, processing and marketing. Additionally, we are pleased to confirm we are on track to declaring a maiden Mineral Resource on the AB Zone."

THE BUSHVELD VANADUM PROJECT

Drilling

On the 06 November 2014, the Company commenced a drilling programme as part of the Pre-Feasibility Study on the Bushveld Vanadium Project. The purpose of this programme is to upgrade the MML Mineral Resource to the Measured category, to collect sufficient material for the on-going and future metallurgical test work programmes, and to assess the extent of the AB Zone for purposes of calculating its maiden Mineral Resource. The programme is designed to comprise 68 boreholes and to total 3,700 metres.

As of 31 January 2015, 31 boreholes (totalling 1831.61 m) had been completed, of which 9 boreholes (535.79 m) targeted the AB Zone, and 22 boreholes (1295.82 m) targeted the MML.

The table below summarises the intersections returned thus far:

Borehole	Orebody	Purpose	From	To	Thickness*
MML
VL36	MML	Resource	25.56	34.34	8.25**
VL53	MML	Resource	43.42	51.13	7.25**
VL55	MML	Resource	122.26	129.18	6.50**
VK25	MML	Resource	47.77	52.31	4.27**
VK29	MML	Resource	23.53	31.44	7.44**
VL58	MML	Resource	115.55	126.62	10.41
VK48	MML	Resource	34.40	43.18	8.25
VK30	MML	Resource	27.86	35.03	6.74
VK31	MML	Resource	17.74	27.40	9.08
VL56	MML	Resource	14.00	24.67	10.03
VL54	MML	Resource	21.32	31.23	9.32
VL52	MML	Resource	24.50	33.00	7.99
VK32	MML	Resource	12.66	23.41	10.11
VK33	MML	Resource	34.84	46.55	11.01
VL39	MML	Metallurgical	84.45	93.30	8.32
VL41	MML	Metallurgical	84.62	92.75	7.64
VL44	MML	Metallurgical	111.91	121.87	9.36
VL45	MML	Metallurgical	44.60	54.30	9.19
VL67	MML	Metallurgical	23.39	31.84	7.94
VL46	MML	Metallurgical	51.96	59.90	7.46
VK45	MML	Metallurgical	28.61	37.54	8.82
VL66	MML	Metallurgical	4.50	14.37	9.28
AB Zone
VL14	AB Zone	Resource	57.23	67.71	9.85**
VL15	AB Zone	Resource	41.96	49.35	6.95**
VL16	AB Zone	Resource	20.24	26.92	6.28**
VL31	AB Zone	Resource	50.06	62.00	11.22**
VL37	AB Zone	Resource	3.55	19.19	14.70**
VL38	AB Zone	Resource	19.09	29.43	9.72**
VL17	AB Zone	Resource	36.60	42.85	5.88
VL22	AB Zone	Resource	47.50	58.88	10.70
VL18	AB Zone	Resource	28.08	41.39	12.51

*True thickness calculated assuming a dip of 20°

** Figures are final figures after logging, sampling and assaying - all other intersections are provisional and may change following assaying

Assaying of drill core is ongoing, and will be reported on in due course.

Project Owner Team and External Consultants Appointed for the Pre-Feasibility Study

Simultaneously, Bushveld has established an expert Project Owner Team for the Bushveld Vanadium Project, comprising the following individuals:

Exploration Manager/Geology	Dr Luke Longridge
Mining Studies	Mr Wally Waldeck
Financial Modelling/Business Case Optimisation& Project Management	Hindsight Corporate Solutions - Mr Ken Greve / Mr Tertius de Villiers
Beneficiation (Concentrator plant)	Mr. Jan Rabe
Processing Infrastructure (Pyrometallurgy)	Mr John Mangwiro
EIA, WUL, IFC, Social & Labour Plan, Regulatory compliance	Dr Fred Mphephu

The following companies and Individuals comprise Bushveld's appointed external consultants:

Processing Infrastructure (Pyrometallurgy)	Hatch Goba
Mining Planning	MSA
Environmental Impact Assessment (EIA) and Mining Right Application	Digby Wells
Geotechnical	Golder Associates Africa
Risk Management	VBKom Projects
Lidar Survey	Premier Group

Summary profiles of the above individuals and companies are provided and can be accessed here 

http://www.rns-pdf.londonstockexchange.com/rns/9728F_-2015-2-26.pdf

The above team continue to progress the Bushveld Vanadium Project Pre-Feasibility study, and it is expected that all the required drilling will have been completed by March this year.

Mining Right Application

The Company has made significant progress in preparing its Mining Right Application ("MRA") which is expected to be submitted shortly. This includes an Environmental Impact Assessment exercise led  by Digby Wells, a Mining Works Programme led by The MSA Group, and a Social and Labour Plan being developed by Dr Fred Mpephu.

Enquiries: [e-mail]

Bushveld Minerals Fortune Mojapelo	[phone]
Strand Hanson Andrew Emmott	[phone]
Brandon Hill Capital Jonathan Evans	[phone]
Tavistock Communications Jos Simson/ Nuala Gallagher	[phone]
Tielle Communications Stéphanie Leclercq	[phone]

- ENDS -

Notes to the editor

Bushveld Minerals Limited is a mineral development company with a portfolio of vanadium-and titanium bearing iron ore and tin assets in Southern Africa. The Company owns the Bushveld Iron Ore Project and Mokopane Tin Project, both located on the northern limb of the Bushveld Complex, South Africa. In addition, Bushveld has a controlling interest in Lemur Resources (ASX: LMR), that owns the Imaloto coal project in Madagascar.

Bushveld was admitted to the AIM Market of the London Stock Exchange in March 2012.

The scientific and technical information contained within this announcement has been reviewed and approved by Professor Morris Viljoen, technical advisor and head geologist to the Company. Prof Morris (Pr.Ss.Nat) has a Msc and PhD degree in Geology from the University of Witwatersrand and 30 years' experience in the mining industry. He is a fellow of the Society of Economic Geologists (SEG), the Geological Society of South Africa (GSSA), the Southern African Institute of Mining and Metallurgy (SAIMM) and the Royal Society of South Africa (RSSA).

 

END

 

 

DRLBBGDDBUDBGUL