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Spanish Tungsten Operational Review

RNS Number : 7873D
Metal Tiger PLC
29 October 2015
 

METAL TIGER PLC

29 October 2015

 



Metal Tiger plc

("Metal Tiger" or the "Company")

 

Spanish Tungsten Operational Review

 

Metal Tiger (LON:MTR), the natural resources investing company is pleased to announce completion of a detailed review of tungsten exploration progress at the Company's Logrosan Joint Venture project in Extremadura, Spain.

 

Highlights:

§ Significant strike length of tungsten mineralisation confirmed from 2015 drilling programme;

§ High grade tungsten intersections outlined with tungsten grades identified up to and exceeding the analytical detection limit of 0.63%;

§ Potentially significant tungsten deposits now identified at targets one and two at Logrosan;

§ Extent of further mineralisation along strike and at depth still to be determined, and will be the focus of next stage work;

§ Following success of the 2015 tungsten exploration programme Logrosan Project is now confirmed a key element of the Company's Direct Project division and plans going forward.

 

Cameron Parry, CEO of Metal Tiger commented: "We were delighted with the progress achieved during tungsten drilling at Logrosan over the pre-summer season and notably with the outlining of two potentially significant tungsten deposits.  The positive drilling season in 2015 has delivered extensive evidence of tungsten mineralisation with high-grade assays enhancing the attractiveness of this project.

The detailed review we have now completed has highlighted the potential for materially additional tungsten along strike.  Also, we are keen to determine the extent to which the mineralisation found continues at depth, another factor which can add considerably to resource potential.

The findings to date are significant and could build upon what is emerging as an extremely attractive and potentially high-grade tungsten deposit and lead into a resource development project that may hold considerable commercial value.

The findings from our work to date clearly indicate that Logrosan and the tungsten identified is a key asset for the Direct Projects division of Metal Tiger.  We are now working with our Joint Venture partners to scope out how we should continue our work and build the commercial value of this important asset."

 

Joint Venture Information:

Readers are advised to consult the Metal Tiger market announcement of 16 March 2015 which outline the terms of the Company's joint venture agreement with MEN (Finland) Limited and which provides for Metal Tiger to earn into a maximum 50% joint venture interest in the Logrosan project by investing up to €500,000.

 

Project Overview:

The exploration for tungsten (W) in the Logrosan Project is currently centred on two distinct target areas which were identified on the basis of previous soil geochemistry and ground magnetic surveys.  These targets are separated by a distance of 12km; Target 1 is near the centre of the Zorita Licence and Target 2 is located in the south-west of the Antonio Licence.

Between April - June 2015, as part of the Metal Tiger JV work programme, both targets were subject to first-pass rotary air blast (RAB) drilling to confirm the near surface tungsten mineralisation and grade.

The results of this preliminary drilling have been very encouraging, with significant strike length tungsten mineralisation and high grade tungsten intersections outlined.

 

Review - Tungsten Target 1:

Tungsten Target 1 contains the larger of the two tungsten-in-soil anomalies (up to 636ppm W), measuring 1.2km long by 200m wide and trending NNE-SSW. Drilling, consisting a total of 17 holes (268m) drilled, to an average depth of 16m, on two profiles drilled perpendicular to the anomaly strike at a 380m separation. Drill sample assays have confirmed high-grade tungsten mineralisation in the north and the centre of the target soil anomaly and the soil anomaly remains open (untested by drilling) for a distance of 700m to the south and for 120m to the north.

Drill assay results, conducted by ALS Laboratories, returned a maximum WO3 grade above the analytical detection limit of 0.63% (5000ppm) and an average grade across all Target 1, drill samples submitted, of WO3 0.09%.  The highest intersections in holes MW003 (10m WO3 > 0.24%, including 2m >0.63%) on profile 2 and MW010 (with total intersections of 10m >0.2% and 2m WO3 0.37%) on profile1, are separated by up to 400m of potentially continuous mineralisation. It should be noted that the tungsten concentration of workable ores typically starts from 0.10% WO3.

Target 1 requires further shallow drilling profiles to delimit the full extent of the tungsten mineralisation width and strike to the north and south, and deeper drilling to delineate mineralisation vertical depth extension, grade and thicknesses.

Table 1: Significant Tungsten Drill Hole Intersections, Logrosán Target 1

Hole ID

From (m)

To  (m)

Intersection Width * (m)

WO3 (%)

Notes

MW003#2

3.60

13.60

10.00

0.24

including 2m @ > 0.63% WO3 (above detection limit)

MW004#2

1.63

9.63

8.00

0.19

including 2m @ 0.34% WO3

MW005

1.63

3.63

2.00

0.10

 

MW009

7.63

9.63

2.00

0.20

 

MW010#1

1.54

3.54

2.00

0.31

Holes MW010 and MW011 were drilled to target the same structure from opposing directions.

5.54

9.54

4.00

0.20

11.54

13.54

2.00

0.37

15.54

17.54

2.00

0.23

MW011#1

5.68

7.68

2.00

0.10

 

11.68

13.68

2.00

0.25

* Note that drill intersection widths do not necessarily represent the true thickness of the mineralisation as insufficient drilling has been completed to calculate the actual dips of the veins/structures.

#2adjacent holes on profile 2.

#1adjacent holes on profile 1.

 

Review Tungsten Target 2:

Tungsten Target 2 is located over a central, distinct, tungsten-in-soil anomaly ranging up to 565ppm W and measuring 700m long by up to 150m wide.  This central soil anomaly is orientated in a NE-SW direction, and coincides with a 1.6km long geophysical structure. There are three further weaker anomalies associated with structures running parallel to it, one 250m to the north-west and two to the south-east, at 325m and 700m separation to the central anomaly.

Target 2 has been investigated with a total of 65 holes to an average of 20m depth, 1,300m in total. The central W anomaly has good drill coverage with a total of 26 holes on 8 profiles over a total strike length of 570m. Two further profiles have been drilled along strike at 560m NE and 500m SW of the outlying profiles (on the central zone drilling). Both these profiles are located on the same 1.6km geophysical structure, but coincide with continuous strong Cr, Cu, Sn, As and weak W anomalies.

Assays from all analysed drill samples on Target 2 average WO3 0.04% and a maximum of WO3 >0.63% (above upper detection limit) located in the central anomaly.  Significant tungsten intersections are outlined in Table 2.

There is a 400m on-structure strike distance between hole LM014 (on profile 3) with 2.70m WO3 >0.32% (including 2m @ > 0.63%) and hole LM08 (on profile 7) with 8m at WO3 0.32% (including 2m @ 0.49%WO3 & 0.1% SnO2).

Target 2 requires deep drilling to delineate tungsten mineralisation vertical depth extension, grade and thicknesses, and to establish the Resource potential of the area.

Table 2: Significant Tungsten Drill Hole Intersections, Logrosán Target 2

Hole ID

From (m)

To  (m)

Intersection Width * (m)

WO3 (%)

Notes

LM001#4

19.57

21.57

2.00

0.15

 

LM002#4

3.15

7.15

4.00

0.18

 

LM003

13.60

17.60

4.00

0.08

 

LM008

5.52

13.52

8.00

0.32

including 2m @ 0.49%WO3 & 0.1% SnO2

15.52

17.52

2.00

0.32

 

LM012#3

7.48

13.48

6.00

0.08

including 2m @ 0.11%WO3

LM014#3

11.30

14.00

2.70

>0.32

including 2m @ > 0.63% WO3  (above tungsten detection limit of 5000ppm)

* Note that drill intersection widths do not necessarily represent the true thickness of the mineralisation as insufficient drilling has been completed to calculate the actual dips of the veins/structures.

#4adjacent holes on profile 4.

#3adjacent holes on profile 3.

 

 

Mr Nick O'Reilly (MSc, DIC, MAusIMM, FGS), is a qualified geologist who meets the criteria of a qualified person under the AIM Rules - Note for Mining and Oil & Gas Companies, he has reviewed the technical information contained within this announcement.  Mr O'Reilly is a consultant working for Mining Analyst Consulting Ltd which has been retained by Metal Tiger PLC to review the work undertaken on the Logrosan JV.

 

For further information on the Company, visit: www.metaltigerplc.com:

 

Metal Tiger Plc

 

Cameron Parry (CEO)

Tel: +44 (0)207 099 0738

Paul Johnson (Executive Director)

Tel: +44 (0)7766 465 617

Spark Advisory Partners Limited (Nominated Adviser)

Sean Wyndham-Quin

Neil Baldwin

 

Tel: +44 (0) 2033 683 555

 

SI Capital (Sole Broker)

Nick Emerson

Andy Thacker

Tel: +44 (0) 1483 413 500

 

Notes to Editors:

 

Metal Tiger Plc is a natural resources focused investing company quoted on the London Stock Exchange AIM Market ("AIM") with the trading code MTR and two investment divisions, Direct Equities and Direct Projects. 

 

The Direct Equities division invests in quoted natural resource explorers and developers, with a combination of shares and warrants providing a potential non-debt financing instrument and enhanced return potential.

 

The Direct Projects division invests in operational mineral exploration projects with current investments in Spanish Gold & Tungsten, Thai Gold, Copper & Antimony, and Tanzanian Gold and Uranium.  The Direct Projects investment division also has working collaborations to identify new investment opportunities in Russia (platinum focus) and Turkey (gold focus), in association with experienced in-country partners.

 

Metal Tiger'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 timed to coincide where possible, with a cyclical recovery in the exploration and mining markets


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