Representative Bulk Sample Shipped

Sovereign Metals Limited

20 March 2024

 

NEWS RELEASE I 20 MARCH 2024

REPRESENTATIVE BULK SAMPLE SHIPPED

·      First 30 tonnes of ore from Kasiya delivered to engineering consultant laboratory in South Africa

·      Ore sample to be used for advanced material handling tests as part of PFS optimisation

·      Testwork program designed and approved in collaboration with strategic investor Rio Tinto

Sovereign Metals Limited (ASX:SVM; AIM:SVML) (the Company or Sovereign) is pleased to announce that our spiral drilling program has extracted, despatched and delivered 30 tonnes of ore from the Kasiya Rutile-Graphite Project (Kasiya or Project) in Malawi to Paterson & Cooke (P&C). P&C, based in Cape Town, South Africa, is a leading engineering consultant in the mining sector.

The material is representative of ore expected to be mined in the first ten years of production and will be used for advanced bulk laboratory scale test work to optimise technical elements of the previously announced Kasiya Pre-feasibility Study (PFS). These areas include larger-scale pumping, tailings characteristics and dewatering.

Figure 1: Kasiya 30-tonne sample received at Paterson & Cooke

Managing Director Frank Eagar commented: "I must commend our geology and logistics teams who, in a very short space of time, successfully extracted and delivered this large representative sample from Kasiya to Paterson & Cooke. This represents a significant step in our ongoing project delivery. Importantly, it also demonstrates the effectiveness of the day-to-day technical involvement of our strategic investor, Rio Tinto, in assisting Sovereign with the Kasiya Project optimisation and bringing this tier one project closer to development."

As a global leader, P&C has over 30 years of industry experience and expertise in slurry pipeline systems, tailings and mine waste handling, mine backfill, and mineral processing. P&C's laboratory in Cape Town has a pipe loop facility that will be used to test specific parameters related to the mining, transportation, and handling of Kasiya ore.

Figure 2: Paterson & Cooke pipe loop facility

The project team, comprising Sovereign and Rio Tinto representatives, designed the test work program, which the Technical Committee then approved. The Technical Committee comprises three Sovereign employees, including Managing Director Frank Eagar, and three Rio Tinto employees, including Rio Tinto's General Manager for Kasiya. The Technical Committee provides recommendations and advice on technical matters relating to the Project. It was established in line with the Investment Agreement between Sovereign and Rio Tinto following Rio Tinto's A$40.4 million investment into Sovereign to become a 15% strategic investor.

ENQUIRIES

Frank Eagar (South Africa/Malawi) Managing Director [phone]

Sam Cordin (Perth) [phone]

Sapan Ghai (London) [phone]

Nominated Adviser on AIM and Joint Broker
SP Angel Corporate Finance LLP	[phone]
Ewan Leggat Charlie Bouverat Harry Davies-Ball
Joint Brokers
Stifel	[phone]
Varun Talwar
Ashton Clanfield
Berenberg	[phone]
Matthew Armitt
Jennifer Lee
Buchanan	+ 44 20 7466 5000

Forward Looking Statement

This release may include forward-looking statements, which may be identified by words such as "expects", "anticipates", "believes", "projects", "plans", and similar expressions. These forward-looking statements are based on Sovereign's expectations and beliefs concerning future events. Forward looking statements are necessarily subject to risks, uncertainties and other factors, many of which are outside the control of Sovereign, which could cause actual results to differ materially from such statements. There can be no assurance that forward-looking statements will prove to be correct. Sovereign makes no undertaking to subsequently update or revise the forward-looking statements made in this release, to reflect the circumstances or events after the date of that release.

 

END