Macarthur Lake Giles Project Feasibility Update

RNS Number : 7271V

Cadence Minerals PLC

16 April 2021

 

Cadence Minerals Plc

("Cadence Minerals", "Cadence")

Feasibility Study Update: Macarthur Minerals (TSX-V: MMS) (ASX: MIO) moves ahead with mine design for Lake Giles Iron Project.

Cadence Minerals (AIM/NEX: KDNC; OTC: KDNCY) is pleased to note that Macarthur Minerals (TSX-V: MMS) (ASX: MIO) (the "Company" or "Macarthur") has updated on the progress made on the mining and haulage components of the Feasibility Study for the Lake Giles Iron Project. Macarthur has been working with Orelogy Mining Consultants ("Orelogy") and Pells Sullivan Meynink ("PSM") on the mine design and road haulage aspects of the Project.

Highlights:

· Macarthur engagement of Orelogy and PSM on mine design, geotechnical design and road haulage pricing.

· Request for Budget Pricing ("RFBP") submitted to contract mining and road haulage operators to establish contractor pricing for operations.

· Geotechnical drilling program defined for the Moonshine and Moonshine North pits to establish geotechnical parameters for final pit designs.

Macarthur has been working with mining consultants Orelogy and geotechnical engineers from PSM on the mine design for the Lake Giles Iron Project. Orelogy has completed preliminary pit optimisations, designs, scheduling and project layouts to support an operation targeting production of 3 Mtpa (dry) magnetite concentrate. Additionally, PSM has been supporting the mine design through a geotechnical review of drill core and project geology.

A request for budget pricing (RFBP) has been submitted to several local mining contractors for contract mining and road haulage services including:

· Site establishment

· Site preparation

· Drill and Blast

· Excavate, load and haul

· Road haulage to the railhead

· Road maintenance

· Loading of rail wagons

PSM has designed a diamond drill program to obtain detailed geotechnical parameters for final pit designs. Macarthur is currently engaging with drilling contractors to undertake this drill program as soon as possible.

The full announcement can be viewed here: https://macarthurminerals.com/wp-content/uploads/2021/04/MMS-NR-FS-update-Mine-Design_15-April-2021.pdf

Macarthur Minerals CEO Andrew Bruton commented: "Macarthur is pleased to be working with Orelogy and PSM on this important component of the Feasibility Study for the magnetite mining operations at Lake Giles. An extensive body of work is being undertaken on the mine design and geotechnical design and securing contractor pricing for mining and road haulage costs is important to ensure that mining operations can be optimised. This budget pricing information will help inform the next phase of work that Orelogy and PSM will be undertaking.

The Macarthur feasibility study team continues to make significant progress and is critically examining options for mine design that will maximise the value of the project for the benefit of shareholders. You can see from the preliminary design diagram that the mine pits and scale of the operation is huge. The area of the pits stretch over 6 kilometres and we are only currently focused on the first 20 plus years of mine and plant life. The scale of a billion-tonne magnetite resource in such close proximity to existing rail and port infrastructure is very unique globally. I am ensuring that the project steps are incremental so that Macarthur has the capacity and internal resources to bring the first stage into production.

We look forward to updating the market as the Feasibility Study continues to progress."

Cadence Minerals Holding in Macarthur

Cadence holds approximately 1% of the issued equity interest in Macarthur, which is an Australian mining exploration company focused primarily on iron ore, nickel, lithium and gold in Western Australia. It also has a lithium project in Nevada, USA.

This news release is not for distribution to United States Services or for Dissemination in the United States. 

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For further information: Cadence Minerals plc                                                     [phone] Andrew Suckling Kiran Morzaria WH Ireland Limited (NOMAD & Broker)   [phone] James Joyce James Sinclair-Ford Novum Securities Limited (Joint Broker)   [phone] Jon Belliss

Qualified Person

Kiran Morzaria B.Eng. (ACSM), MBA, has reviewed and approved the information contained in this announcement. Kiran holds a Bachelor of Engineering (Industrial Geology) from the Camborne School of Mines and an MBA (Finance) from CASS Business School.

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 Cadence Minerals Plc'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.  Many 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 Cadence Minerals Plc. Although any forward-looking statements contained in this announcement are based upon what the Directors believe to be reasonable assumptions. Cadence Minerals Plc cannot assure investors that actual results will be consistent with such forward-looking statements.

 

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