Kalahari Metals Limited Exploration Update

Kalahari Metals Limited Exploration Update

23 May 2019

Metal Tiger plc
(“Metal Tiger” or the “Company”)

Kalahari Metals Limited – Exploration Update

Metal Tiger plc (AIM:MTR), the London Stock Exchange AIM listed investor in strategic natural resource opportunities, is pleased to provide an exploration update for Kalahari Metals Limited (“KML”), in which Metal Tiger owns 50% of the issued share capital.

Following approval of the Environmental Management Plan (“EMP”) for KML’s Ngami Copper Project (“NCP”), by the Botswana Department of Environmental Affairs, gazetting of the EMP has now been completed, thereby allowing the commencement of diamond drilling at NCP.

A drilling contract has been awarded to OreZone Drilling of Botswana, with mobilisation scheduled for the first week of June 2019. This first phase of diamond drilling, with an initial 2,100m planned, will test priority fold hinge targets at NCP, after which the rig is planned to move onto KML’s Okavango Copper Project, subject to EMP approval (see announcement 3 April 2019).

Pursuant to the earn-in agreement with Triprop Holdings (Pty) Limited (“Triprop”), KML has now completed its first stage of exploration expenditure, which, subject to change of control approval from the Ministry of Mines of Botswana, will result in KML being awarded a 51% shareholding in Triprop.

Michael McNeilly, Chief Executive Officer of Metal Tiger plc, commented:

“We are delighted to report that KML is now in a position to commence drilling at the Ngami Copper Project, having received the requisite environmental permitting and appointed a Botswana drilling contractor. With Phase 1 drilling to commence in early June on three initial targets constituting prospective structural and geochemical anomalies, we are looking forward to moving the project up the value curve. Intersecting the mineralised contact in these early stage exploration holes will provide support for the target generation methodology, which we believe will justify a more aggressive follow-on drill programme to fully evaluate the potential of each of the targets.”

NCP Drill Plan

A series of holes have been designed to map the stratigraphy and composition of the underlying geology and to identify the mineralised D’Kar – Ngwako Pan contact, located below folded marker conductors modelled from recently completed airborne electromagnetic (‘AEM’) surveys. Three compelling targets have been identified in the AEM data, with support from high resolution magnetic data and low concentration partial digest geochemistry.

  • Target A: Easterly plunging anticline with tight hinge clearly defined in AEM modelling, with potential to host D’Kar – Ngwako contact mineralisation. A single stratigraphic hole is planned to test this target.
  • Target B: Easterly plunging fold hinge with preserved D’Kar – Ngwako contact modelled from AEM data. Results correlate well with magnetic data interpretations. Associated Cu, Pb and Zn anomalies in soil samples further prioritise this target. Three holes are planned to test this target.
  • Target C: Based on AEM modelling, lower D’Kar units and underlying mineralised contact appear to be preserved in an easterly plunging anticline along strike from drill tested Cu-Ag mineralisation. The anticline hinge provides an ideal trap-site for upgrading of drill-tested mineralisation on anticline limbs. Four holes are planned to test this target.

Project Background

KML holds interests in 12 highly prospective exploration licences covering a total area of 8,724km2 in the Kalahari Copper Belt, consisting of two 100% owned exploration licences, five exploration licences subject to a binding earn-in agreement with Triprop Holdings (Pty) Limited and five exploration licences subject to an agreement with Resource Exploration and Development Ltd (“RED”).

Under an investment agreement, announced on 6 June 2018, Metal Tiger owns 50% of KML, providing Metal Tiger with further exposure to a largely unexplored area, adjacent to significant recent discoveries in the highly prospective Kalahari Copper Belt. As announced on 10 April 2019, KML has entered into a binding agreement with RED to purchase 100% of Kitlanya Ltd (“Kitlanya”). Post completion of the acquisition, which is conditional upon approval of the change of control of Kitlanya being granted by the authorities in Botswana and receipt of an updated letter of good standing for the licences, Metal Tiger’s interest in KML will be diluted to approximately 43.9%. In addition, on completion of the acquisition, the previous agreement between RED and KML will terminate.

Competent Person's Statement

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 and acts as the Competent Person under the AIM Rules - Note for Mining and Oil & Gas Companies. Mr O'Reilly is a Principal 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
Mark Potter (Chief Investment Officer)
Richard Tulloch

James Dance

Jack Botros

Strand Hanson Limited (Nominated Adviser) Tel +44 (0)20 7409 3494
Nick Emerson SI Capital (Broker) Tel: +44 (0)1483 413 500
Gordon Poole

James Crothers

Monique Perks

Camarco (Financial PR) Tel: +44 (0)20 3757 4980

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 base, precious and strategic metals focus.

The Company’s target is to deliver a high return for shareholders by investing in significantly undervalued and/or high potential opportunities in the mineral exploration and development sector. The Company’s key strategic objective is to ensure the distribution to shareholders of major returns achieved from disposals. Metal Tiger has two investment divisions: Direct Equities and Direct Projects.

The Direct Equities division invests in undervalued natural resource companies listed on AIM, the ASX and the TSX. Through the trading of equities and warrants, Metal Tiger seeks to generate cash for investment in the Direct Projects division.

Metal Tiger’s Direct Projects division is focused on the development of its key project interests in Botswana, Spain and Thailand. In Botswana, Metal Tiger, through its 10.48% interest in MOD Resources Limited and related JV, and its interest in Kalahari Metals Limited, has a growing interest in the large and highly prospective Kalahari copper/silver belt. In Spain, 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 lead/zinc/silver mines as well as licences, applications and critical historical data covering antimony, copper, gold, lead, zinc and silver opportunities.

The Company actively assesses new investment opportunities on an on-going basis and has access to a diverse pipeline of new opportunities in the natural resources and mining sectors. For pipeline opportunities deemed sufficiently attractive, Metal Tiger may invest in the project or entity by buying publicly listed shares, by financing privately and/or by entering into a joint venture.

Metal Tiger plc