Outcropping Mineralisation Discovered at Nayega

RNS Number : 0400B

Keras Resources PLC

18 September 2018

 

Keras Resources plc / Index: AIM / Epic: KRS / Sector: Mining

18 September 2018

Keras Resources plc ('Keras' or the 'Company')

New Outcropping Mineralisation Discovered

at Nayega Manganese Project, Togo

Keras Resources plc, the AIM listed mineral resource company, is pleased to provide an update on the Company's low capex, feasibility stage Nayega Manganese Project in northern Togo ('Nayega' or the 'Project'), which hosts a current JORC 2012 Code Mineral Resource ("JORC Resource") of 13.97Mt @ 12.4% manganese.  The Company recently commenced a 10,000 tonne bulk sampling metallurgical testwork programme which will include the processing of the beneficiated ore by a major producer of manganese-based alloys for commercial scale metallurgical testwork to assess the suitability of the ore in its manganese smelting facilities.

HIGHLIGHTS

·      Identification of an additional 8 Hectares ("Ha") of outcropping manganese mineralisation in an area 400m east-west x 200m north-south, which appears to have been closed off to the south-east but is open in all other directions - named the Ogaro Prospect ("Ogaro")

·      The new discovery demonstrates further upside and wider prospectivity of the Nayega Project - Ogaro is located 5km east-southeast of the main Nayega deposit and 4km south of the T27 deposit

·      Positive results have been returned in samples collected from pits excavated to test the core area of mineralisation at Ogaro (14 pits totalling 35m). The best intercepts include: (see figure 1)

o  1.76m @ 18.6% Mn from 0m

o  2.05m @ 15.8% Mn from 0m

o  2.00m @ 16.2% Mn from 0m

·      Potential to further enhance the total resource inventory of the Nayega JORC Resource of 13.97Mt @ 12.4% Mn

·      Phase 1 pitting exercise on a 100m x 100m grid will commence immediately

Russell Lamming, Chief Executive Officer of Keras, commented, 

"The identification of a significant new area of outcropping mineralisation at Nayega further lays the foundation and increases our expectations for what we believe will become a new low capex, low operating cost manganese producer.  We have been very active in the area since approval from the Togolese Ministry of Mines was granted for the 10,000t bulk sampling testwork programme and we are looking to increase the current 14Mt JORC Resource.  We have now employed a team from the local community which has, to date, been involved in the preparation of the bulk sample site and will now move over to the Ogaro area to commence a pitting exercise."

Ogaro Evaluation & Pitting

Reconnaissance mapping in the vicinity of the main Nayega orebody led to the discovery of outcropping manganese mineralisation at the Ogaro prospect in late 2017. Detailed geological mapping and reconnaissance pitting was completed thereafter with a total of 14 pits excavated for 35m total depth.  As at the Nayega deposit, continuous vertical channel samples 10cm wide by 10cm deep were collected at 50cm intervals (maximum) from the top to the bottom of each pit; 82 primary samples were collected from the pits. A total of 106 samples, which included 24 quality assurance/ quality control ("QA/QC") samples as part of a rigorous regime to ensure the accuracy of results, were transported to Lomé for initial preparation at the laboratory for the department of mines in Togo, the Direction Generale des Mines et de la Geologie ("DGMG"), before being shipped to Intertek in Ghana for further processing and analysis.

Assay results have been received for all of the samples, with significant manganese intercepts returned in 9 of the 14 pits. Highlights include (all intercepts listed in Table 1 below):

·      1.76m @ 18.6% Mn;

·      2.05m @ 15.8% Mn; and

·      2.00m @ 16.2% Mn with Mn values peaking at 26.18% over a 0.5m sample.

Mineralisation can exceed 2m in thickness, occurring as detrital or lateritic accumulations of manganese within the regolith profile. Pits excavated to date have intersected this material over an area of 400m east-west by 200m north-south. Mineralisation, which can be concealed beneath barren ferruginous laterite, appears to have been closed off to the south-east but is open in all other directions. Pitting to confirm tonnage and grade and to test for extensions to identified mineralisation is planned. The location of the Ogaro Prospect is shown on Figure 1.

Table 1: Ogaro pit locations and manganese intercepts

Pit ID	North	East	Depth (m)	Intercept
BGPT001	1187275	225504	3.4	no significant intercept
BGPT002	1187342	225466	0.6	0.5m @ 20.4% Mn from 0.42m
BGPT002A	1187315	225452	2.7	no significant intercept
BGPT003	1187315	225376	2.6	0.8m @ 18.2% Mn
BGPT004	1187304	225275	4.5	2.05m @ 15.8% Mn
BGPT005	1187215	225310	3.25	1.76m @ 18.6% Mn
BGPT006	1187154	225346	1	0.5m @ 13.2% Mn
BGPT007	1187120	225217	3	2m @ 16.2% Mn
BGPT008	1187134	224908	1.7	0.7m @ 13.1% Mn
BGPT009	1187369	224951	2.1	no significant intercept
BGPT010	1187360	224950	1.7	0.73m @ 10.5% Mn
BGPT011	1187151	225502	3.4	no significant intercept
BGPT012	1187002	225563	2.1	no significant intercept
BGPT013	1187220	225110	2.8	0.42m @ 11.4% Mn from 1.38m

Analytical samples comprised vertical channel samples up to 0.5m long. Crushing of the samples was undertaken at the DGMG laboratory in Togo, the remainder of sample preparation was undertaken by Intertek (Tarkwa) with analysis by Intertek (Johannesburg) using lithium borate fusion with an XRF finish.

Intercepts were calculated on intervals >7.2% Mn with no included internal waste.

Figure 1: Ogaro Prospect location

References to figures relate to the version of this release on the Company's website (www.kerasplc.com).  or visible in PDF format by clicking the link below: http://www.rns-pdf.londonstockexchange.com/rns/0400B_1-2018-9-17.pdf

Competent Person Statement

Information in this release that relates to exploration results is based on information compiled by Mr Mark Styles.  Mr Styles is a geological consultant, a member of the Australian Institute of Geoscientists and is a Competent Person as defined in the Australasian Code for Reporting of Exploration Results.  Mr Styles consents to the inclusion in the release of the matters based on his information in the form and context in which it appears.

Caution Regarding Forward Looking Statements: Information included in this release constitutes forward-looking statements. There can be no assurance that ongoing exploration will identify mineralisation that will prove to be economic, that anticipated metallurgical recoveries will be achieved, that future evaluation work will confirm the viability of deposits that may be identified or that required regulatory approvals will be obtained.

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014.

**ENDS**

For further information please visit www.kerasplc.com, follow us on Twitter @kerasplc or contact the following:

Russell Lamming	Keras Resources plc	[e-mail]
Nominated Adviser / Joint Broker Ewan Leggat / Charlie Bouverat	SP Angel Corporate Finance LLP	[phone]
Financial PR Susie Geliher / Charlotte Page	St Brides Partners Ltd	[phone]

Notes

Keras Resources plc is focused on building a strategic portfolio of resource assets. The Company currently provides investors with exposure to manganese, cobalt and nickel in Togo, West Africa, and also has a significant interest in a highly prospective gold exploration and development portfolio in Australia.

Keras benefits from a highly skilled management team, which has extensive operational experience in Africa and Australia with proven success in advancing assets up the value curve.

 

END

 

 

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