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Casa Mining Update - First Assay Results

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RNS Number : 7492S
Premier African Minerals Limited
05 October 2017
 

Premier African Minerals Limited / Ticker: PREM / Index: AIM / Sector: Mining

 

5 October 2017

 

 

Premier African Minerals Limited

("Premier" or the "Company")

Casa Mining Update -First Assay Results   

 

Premier African Minerals Limited (AIM: PREM), the London listed mining and exploration company, is pleased to provide update on Casa Mining Limited in which Premier has a 4.5% interest.

 

Casa Mining Limited ("Casa") commenced a 5,000 metres drilling programme on its 1.5 million-ounce Akyanga deposit in Democratic Republic of Congo ("DRC") with the aim to increase and upgrade the existing Mineral Resource Estimate.

 

Highlights:

 

·    6 holes completed to date totalling 1,100 metres

·     MSDD0108 intersected 8.10 metres at 4.82 g/t Au from 53.5 metres

Including 2.2 metres at 15.03 g/t Au from 57.40 metres

·    Akyanga deposit remains open to the South as well as to depth

George Roach, Chief Executive Officer of Premier, commented: "These results are very encouraging and demonstrate continuity as well as high-grade potential in the southern part of the Akyanga deposit where these holes were drilled. We look forward to reporting on the progress of Casa's drilling programme over the next couple of months."

Drilling Results

The table below sets out the results released by Casa of the first two drill holes for which assays have been received from SGS Laboratory Services in Mwanza in Tanzania.

 

Table 1. Drill Intercepts

 

Hole ID

From

To

Length (m)

Gold (g/t)

 

MSDD0108

18.00

21.00

3.00

1.28

28.80

31.80

3.00

1.22

53.50

61.60

8.10

4.82

MSDD0108 includes

57.40

59.60

2.20

15.03

MSDD0109

120.40

125.30

4.90

1.40

 

Notes:   1) intercept lengths are expressed in drilled widths

2)The results are reported for mineralised intersections greater than 3 meters in     length, greater than 0.5 g/t Au in grade and allowing for up to 3 meters of internal dilution.

3) The information in Table 1 above is based on information provided by Casa. Premier has not independently verified the drill results. 

 

 

 

 

 

Quality Assurance/Quality Control (QA/QC)

The drilling was conducted using diamond core drilling with samples being collected at one metre intervals and half core sample of approximately 2-4kg was sent to SGS Laboratory Services in Mwanza, Tanzania. The sample was fully pulverised and analyses for gold using a 50g lead collection fire assay and an atomic absorption spectrometry finish to 0.01ppm Au detection limit. Full analytical QA/QC is achieved using a suite of certified standards, laboratory standards, field duplicates, repeats, blanks and grind-size analysis.

 

The spatial location of the samples is derived using GPS collar survey pickups and Reflex single shot downhole surveys taken every 40m down hole. True widths have not been determined as the level of detail required to calculate accurate true widths is not yet available, as a result down hole widths have been reported. However true widths are not expected to differ significantly from the down hole widths reported.

 

Qualified Person

The information in this announcement that relates to Exploration Targets, Exploration Results (including drilling results) and Mineral Resources or Ore Reserves is based on information compiled by Mr Thomas Rogers (BSc. Hons, MSAIMM, MEIZ) of African Mining Consultants (AMC). Mr Rogers has sufficient experience in the activity which he is undertaking to qualify as a Competent Person as defined under the JORC Code (2012).  AMC consents to the inclusion in this announcement of the matters based on this information, including the drilling results set out in Table 1 above, and the references to their name, in the form and context in which it appears. 

The information in this announcement is based on information provided and approved by Casa Mining Limited and AMC. The drill results have not been independently verified by Premier African Minerals Limited.

 

Casa Mining Limited

Casa has a 71.25% interest and is the operator of the Misisi Gold Project located in South Kivu, eastern DRC, approximately 350km south of Bukavu and 180km north of Kalemie.

 

In 2014, SRK Consultants (UK) Limited ("SRK") reported an Inferred Mineral Resource at the Akyanga deposit of 5.5 Mt at a grade of 1.5 g/t Au for approximately 272koz of contained metal. SRK has further reported an Inferred transition gold Mineral Resource of 16.2 Mt at a grade of 1.8 g/t Au for approximately 927koz of contained metal.

 

MDM Engineering Projects Limited ("MDM"), in conjunction with SRK, completed a scoping feasibility study for an 80,000 oz year heap-leach operation at the Akyanga deposit resulting in an ungeared net present value ("NPV") (at a discount of 8%) and internal rate of return ("IRR") of US$171 million and 35% respectively at a US$1,300/oz gold price. This assumes a contract mining scenario with an initial capital cost estimate of US$87.4 million and a total operating cost of US$628/oz.

 

African Mining Consultants Limited ("AMC") recently completed a review and re-interpretation of the geological model of the Akyanga deposit and reported a 1.05Moz JORC inferred resource at a grade of 2.27 g/t Au (using a 1.5 g/t Au cut-off) within a lower grade envelope of 1.57Moz at a grade of 1.65 g/t Au (using a 0.5g/t cut-off grade).

 

For more information, please visit www.casamining.com  

Enquiries:

Fuad Sillem

Premier African Minerals Limited

Tel: +44 (0)7734 922074

Michael Cornish / Roland Cornish

Beaumont Cornish Limited

(Nominated Adviser)

Tel: +44 (0) 20 7628 3396

Jerry Keen/Edward Mansfield

Shore Capital Stockbrokers Limited

Tel: +44 (0) 20 7408 4090

Jon Belliss

Beaufort Securities Limited

Tel: +44 (0) 20 7382 8300

Charles Goodwin/Harriet Jackson

Yellow Jersey

 

Tel: +44 (0)7544 275882

 

 

Notes to Editors:

Premier African Minerals Limited (AIM: PREM) is a multi-commodity mining and natural resource development company focused in Southern and Western Africa with production started at its flagship RHA project in Zimbabwe.

 

The Company has a diverse portfolio of projects, which include tungsten, rare earth elements, gold, lithium and tantalum in Zimbabwe and Benin, encompassing brownfield projects with near-term production potential to grass-roots exploration. In addition, the Company holds 5,010,333 million shares in Circum Minerals Limited ("Circum"), the owners of the Danakil Potash Project in Ethiopia, which has the potential to be a world class asset. At present those shares are valued at US$10.2 million based on the latest price at which Circum has accepted subscriptions. Premier also has an interest in Casa Mining Limited, a privately-owned exploration company that has a 71.25% interest in the 1.5 million ounces inferred resource Akyanga gold deposit in the DRC.

 

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

 

Glossary of Technical Terms:

 

"Assay"

The laboratory test conducted to determine the proportion of a mineral within a rock or other material. For copper, usually reported as percentage which is equivalent to percentage of the mineral (i.e. copper) per tonne of rock

"Au"

Gold

"g/t"

grams per tonne; equivalent to parts per million ('ppm').

"intercept"

Refers to a sample or sequence of samples taken across the entire width or an ore body or mineralised zone. The intercept is described by the entire thickness and the average grade of mineralisation

"Mineral Resource"

A "Mineral Resource" is a concentration or occurrence of diamonds, natural solid inorganic material, or natural solid fossilised organic material including base and precious metals, coal, and industrial minerals in or on the Earth's crust in such form and quantity and of such a grade or quality that it has reasonable prospects for economic extraction. The location, quantity, grade, geological characteristics and continuity of a Mineral Resource are known, estimated or interpreted from specific geological evidence and knowledge.

 

ENDS

 


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