Metal Tiger Plc
24 April 2017
Metal Tiger Plc
("Metal Tiger" or the "Company")
Botswana Copper/Silver Project – T3 Drilling & IP Geophysics Results
Metal Tiger plc (LON: MTR) the London Stock Exchange AIM listed investor in strategic natural resource opportunities is pleased to provide an update regarding the Company’s Joint Venture (“JV”) project with partners MOD Resources (ASX: MOD) in the Kalahari Copper Belt in Botswana (70% MOD Resources / 30% Metal Tiger).Metal Tiger also holds 81,102,302 MOD shares, equivalent to 4.4345% of MOD’s issued share capital and 1,541,667 MOD warrants at an exercise price of 6 cents (Australian). Activities in Botswana are conducted under the JV’s local operating company Tshukudu Metals Botswana (Pty) Ltd.
Assay results from a further 4 diamond drill holes (MO-G-63D, MO-G-64D, MO-G-66D & MO-3R-07D) have confirmed intersections of the recently discovered Zone 2 and Zone 3 copper mineralisation which is directly below the current T3 Resource (Zone 1). Assays are awaited from an additional 11 T3 Resource holes and 8 geotechnical holes.
- Assay results from a further 4 drill holes received, confirming significant intersections from all three zones of copper mineralisation at T3
- Zone 3 (300m below the current T3 Resource) may be part of a more extensive mineralised contact.
- Induced Polarisation (IP) geophysics study has identified two significant anomalies north of T3, now high priority drill targets.
- Airborne Electromagnetics (EM) geophysics survey to target other potential T3 type deposits along T3 Dome.
- Soil surveying underway over extensive regional areas including >40km long T20 Dome.
Michael McNeilly Chief Executive Officer of Metal Tiger commented:
“With the closing of the £4.85m fund raising last week, and the institutional support for our Botswana JV, Metal Tiger is now in a strong position to move the T3 project and the surrounding exploration portfolio up the value curve.
The recent drill assays continue to build out potential depth extensions to the T3 deposit whilst the findings of the recent IP geophysics study have identified a further two geophysical anomalies worthy of high priority drill testing.
We are also excited by the prospect of trialling helicopter-borne electromagnetics geophysics to rapidly delineate conductive sulphide and structural related drill targets in the wider T3 Dome.”
For further images and diagrams that may assist readers in the visualisation of the mineralisation and the reported drill collar locations, we would refer to the announcement released today by MOD Resources. This announcement can be viewed through the following link:
Shareholders should note that the timing of MOD announcements are outside the control of MTR, however MTR does its utmost to announce the drill results and important updates as soon as practicable after MOD makes its announcement to the ASX. MTR are only made aware of drill results and important updates immediately prior to the MOD release.
Zone 2 Copper Mineralisation
Assay results (see below) from the T3 infill and extension drilling programme have yielded 3 new significant intersections in Zone 2 and have confirmed the lateral extent of the Zone 2 copper mineralisation, located directly beneath the T3 Resource (initially reported 17 February 2017).
Note, the 3 new Zone 2 intersections are from MO-G-63D & MO-G-66D, the Zone 2 intersection in hole MO-G-64D was announced on 30 March 2017.
Current understanding at Zone 2:
- Current assay data confirms the continuity of the Zone 2 mineralisation, comprising wide intervals of locally veined and disseminated copper sulphide mineralisation, over a 300m strike length.
- Preliminary interpretation of core from 11 additional drill holes drilled along 3 long sections at Zone 2 suggest Zone 2 extends along ~700m strike length and is centred around a central core of veined and disseminated copper sulphides. Assays are awaited to confirm this interpretation.
- Located directly below existing T3 Resource mineralisation (Zone 1).
- Currently defined to a maximum vertical depth of approximately 300m.
- Several previous T3 Resource holes (Zone 1) will be deepened to potentially extend the area of Zone 2 and the underlying Zone 3 mineralisation.
- Once sufficient drill hole assay data is available it is anticipated that a Resource will be estimated for Zone 2. With that Zone 2 Resource being fed into the T3 Prefeasibility Study (PFS), with a view to enhancing the project economics.
Zone 3 Copper Mineralisation
Zone 3 is the lowest (deepest) copper mineralisation which has yet been intersected at the T3 Deposit. It is circa 300m below the current T3 (Zone 1) Resource.
- Zone 3 has now been intersected by 7 deep drill holes to date including 4 recent holes (MO-G-66D, MO-G-67D, MO-G-68D, MO-G-71D). Assays for MO-G-66D and MO-3R-07D are outlined below.
- Zone 3 intersections consist reasonable consistent, disseminated copper mineralisation consisting chalcocite and bornite up to 1% Cu.
- Interpreted to extend >800m across strike (north to south), to be flat lying and remaining completely open.
- Interpretation suggests that Zone 3 is associated with a near horizontal, regional scale, structural contact.
- The structural contact may extend well beyond the T3 deposit and constitutes an exploration target elsewhere along the T3 Dome, especially where this contact is coincident with structures identified from ground and airborne geophysics.
- Zone 3 may represent the same contact that hosts the large structurally related deposits in the eastern part of the Kalahari Copper Belt, up to 150km east from T3.
- Further drilling and higher copper grades are required to determine the significance of Zone 3.
Drilling Progress & Assay Results
Recent assay results from Zone 2 and Zone 3 comprise significant intersections from 3 holes (MO-G-63D, MO-G-66D & MO-3R-07D) drilled on 100m spacing along strike from previous drill hole MO-G-65D which intersected vein and disseminated mineralisation and assayed 72.6m @ 1.5% Cu & 27g/t Ag (reported 6 March 2017). The Zone 2 intersection for MO-G-64D was previously reported, its Zone 1 intersection is outlined below.
MO-G-66D is located 100m east of MO-G-65D, MO-G-63D is 200m to the west of MO-G-65D and MO-G-64D is 100m to the west of MO-G-65D.
Details of the latest drill hole assays are summarised below. Depths given are down hole depths.
- Key assay results for new down-hole intersections include:
- Hole MO-G-63D
- 8.4m @ 1.9% Cu & 22g/t Ag from 173.0m (Zone 1, vein mineralisation)
- 5.6m @ 1.4% Cu & 20g/t Ag from 242.5m (Zone 2, vein mineralisation)
- 8.9m @ 1.7% Cu & 29g/t Ag from 292.0m (Zone 2, vein mineralisation)
- Hole MO-G-64D
- 23.0m @ 0.9% Cu & 11g/t Ag from 169.0m (Zone 1, vein mineralisation)
- Hole MO-G-66D
- 33.0m @ 1.1% Cu & 11g/t Ag from 149.0m (Zone1, disseminated sulphides)
- 13.0m @ 1.0% Cu & 18g/t Ag from 220.0m, (Zone 2, disseminated sulphides)
- 13.0m @ 0.8% Cu & 9 g/t Ag from 460.0m including
- 6.0m @ 1.0% Cu & 11g/t Ag from 417.7m (Zone 3, disseminated & vein)
- Hole MO-3R-07D
- 5.3m @ 1.0% Cu & 11g/t Ag from 417.7m (Zone 3, disseminated sulphides)
Assays are currently awaited from 11 resource holes.
The infill/deepening drilling results will potentially enable the upgrade of the T3 Resource (Zone 1) as well as a new Resource estimate for Zone 2; both of which will feed into an enlarged T3 Prefeasibility Study (“PFS”).
Drill holes are orientated with an azimuth of 160deg and dip of 60deg (except MO-3R-07D with azimuth 340deg / dip 60deg). Attained down-hole depths are MO-G-63D: 352.6m, MO-G-65D: 349.6m, MO-G-66D: 499.4m, MO-G-67D: 493.6m, MO-G-68D: 484.7m, MO-G-71D: 451.17m and MO-3R-07D: 478.5m. A table of drilling parameters is set out in the MOD news release, of today, referenced above.
Geophysics Survey Updates
The results of the 3D Induced Polarisation (IP) geophysics survey completed over T3 during Q1 2017 have now been interpreted.
- Spectral Geophysics of Gabaronne, Botswana have issued a report on their interpretation of the 3D IP survey data collected over the T3 Resource area with extensions to the NW and SE.
- Distinctive IP chargeability anomalies correlate well with the known T3 Resource mineralisation.
- Two additional IP chargeability anomalies have been identified to the north of T3, these will be drill tested as soon as approvals are granted.
- MOD’s consulting geophysicist is optimistic that a body with similar IP characteristics to the T3 Resource should be easily detectable to a depth of >400m below surface using airborne Electromagnetic (“EM” or “AEM”) geophysics.
- A trial airborne EM survey is planned to commence in May 2017. This will be flown by helicopter and will cover 100km2, equivalent to 10% of the T3 Dome. The trial survey will seek to establish that AEM is a viable technique for the rapid identification of T3 type targets.
- If successful, the AEM survey will be extended over the entire T3 Dome.
Airborne EM surveying is an active detection method which measures the conductivity of underlying ground. Through modelling of the conductivity data 3D models of the differential conductivities can be created, helping to locate metallic conductors, such as copper sulphides, located within the less conductive bed-rock. The technique provides information of the geological structure and arrangement of potential deposits at depth, thus helping in the rapid recognition of potential drilling targets.
T3 Prefeasibility Study (PFS) Progress
The T3 open-pit prefeasibility study works are progressing to schedule.
- Geotechnical drilling complete.
- Metallurgical testwork samples in transit.
- Stakeholder engagement process underway.
- Pump testing for process water expected to commence soon.
The continuing and planned exploration programme consists of:
- Botswana based environmental consultants Loci Environmental have now been appointed to consult with the Department of Environmental Affairs (DEA) and manage the permitting process relating to the ongoing exploration and the T3 PFS. Meetings are scheduled with the objective of down-grading the level of approval required for activities with have minimal environmental impact (i.e. drilling).
Expansion of regional exploration activities
- DEA have recently approved a substantial soil sampling programme across an area which has been called the T20 Dome, this structural feature is located 150km south-west of T3. The soil sample collection is currently circa 40% complete.
- Once the T20 sample collection is complete the sampling teams will move to cover the 60km long T3 Dome (DEA approval granted). The T3 deposit was discovered directly below a subtle soil anomaly (28ppm Cu) in March 2016, and minimal exploration was been carried out on the surrounding 1,000km2 of T3 Dome.
Tshukudu Licence Holding Status
- As part of the Sprott Capital Partners fund raising due diligence, the Botswana Department of Mines conducted a review of the status of 14 prospecting licences held by Tshukudu Metals and 2 prospecting licences which Tshukudu has an option to acquire. The Department confirmed in writing on 13 April 2017 that all these licences are in good standing.
The T3 Project is located on the Kalahari Copper Belt in northern Botswana and is part of the MOD/MTR joint venture Botswana Copper/Silver Project. T3 is located parallel to the same structural trend known as the Mahumo Structural Corridor, that hosts MOD’s Mahumo Project (circa 20km NE of T3) and Cupric Capitals’ Banana Zone Deposit (60km NE) and Zone 5 Project (120km NE).
The T3 deposit was discovered in March 2016 when a reverse circulation (“RC”) drill hole intersected 52m @ 2.0% Cu and 32g/t Ag from shallow depth. The maiden T3 JORC compliant Mineral Resource was announced on 26 September 2016. The results of a Scoping Study for an open pit mine at T3 with a 2Mtpa processing plant, an indicative mine life of 10 years and an average production rate of 21,800tpa of copper and 665,000tpa of silver was released on 6 December 2016. Work on a Pre-Feasibility Study (PFS) commenced in January 2017 and additional deeper copper mineralisation was discovered below the T3 Resource in February 2017.
MOD tabulate details of the current exploration procedures being employed on the project (JORC 2012 Table 1), in the appendix to their news release dated 24 April 2017.
The T3 Prospect geological data and exploration results have been reviewed and approved by Jacques Janse van Rensburg, BSc (Hons), Business Development Manager and Competent Person for MOD Resources Ltd.
The technical information contained in this disclosure has been read and approved by Mr Nick O'Reilly (MSc, DIC, MAusIMM, FGS), who is a qualified geologist who acts as the Competent Person under the AIM Rules - Note for Mining and Oil & Gas Companies.Mr O'Reilly has visited the T3 site and reviewed MOD’s drilling and sampling protocols and procedures. Mr O'Reilly is a consultant working for Mining Analyst Consulting Ltd which has been retained by Metal Tiger PLC to provide technical support.
For further information on the Company, visit: www.metaltigerplc.com:
|Michael McNeilly (Chief Executive Officer)||Tel: +44(0)20 7099 0738|
|Keith Springall (Finance Director & Company Secretary)||Tel: +44 (0)20 7099 0738|
| Sean Wyndham-Quin |
| Spark Advisory Partners Limited |
| Tel: +44 (0) 2033 683 555 |
| Nick Emerson |
| SI Capital |
|Tel: +44 (0)1483 413 500|
| Andrew Monk |
| VSA Capital Limited |
|Tel: +44 (0)20 3005 5000|
| Gordon Poole |
| Camarco |
|Tel: +44 (0)20 3757 4980|
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.
Notes to Editors:
Metal Tiger plc is listed on the London Stock Exchange AIM Market (“AIM”) with the trading code MTR and invests in high potential mineral projects with a precious and strategic metals focus.
The Company’s target is to deliver a very high return for shareholders by investing in significantly undervalued and/or high potential opportunities in the mineral exploration and development sector timed to coincide, where possible, with a cyclical recovery in the exploration and mining markets. The Company’s key strategic objective is to ensure the distribution to shareholders of major returns achieved from disposals.
Metal Tiger’s Metal Projects Division is focused on the development of its key project interests in Botswana, Spain and Thailand. In Botswana Metal Tiger has a growing interest in the large and highly prospective Kalahari copper/silver belt. In Spain Metal Tiger the Company has tungsten and gold interests in the highly mineralised Extremadura region. In Thailand Metal Tiger has interests in two potentially near-production stage silver/lead/zinc mines as well as licences, applications and critical historical data covering antimony, copper, gold, silver, lead and zinc opportunities.
The Company has access to a diverse pipeline of new opportunities focused on the natural resource sector including physical resource projects, new natural resource centred technologies and resource sector related fintech opportunities. Pipeline projects deemed commercially viable may be undertaken by Metal Tiger or by an AIM or NEX Exchange (formerly ISDX) partner with whom the Company is engaged.