TIDMSML
RNS Number : 6041S
Strategic Minerals PLC
17 November 2021
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulations (EU) No. 596/2014 as imported into the
laws of England and Wales by virtue of the European Union
(Withdrawal) Act 2018 (as amended) and certain other enacting
measures ("UK MAR"). With the publication of this announcement via
a Regulatory Information Service ("RIS"), this inside information
is now considered to be in the public domain.
17 November 2021
Strategic Minerals plc
("Strategic Minerals", "SML" or the "Company")
Redmoor Update
More High-Grade Tin Results in Redmoor West Pit Sampling
Strategic Minerals plc (AIM: SML; USOTC: SMCDY), a profitable
producing mineral company, is pleased to announce that its 100%
owned subsidiary Cornwall Resources Limited ("CRL") has identified
further significant high-grade tin in four pit samples taken to the
west of its main Redmoor deposit ("Redmoor" or the "Project") as a
follow up of positive close-spaced auger sampling reported on 28
September 2021.
Highlights:
-- Significant, at or near surface, tin result in pit CRT04, peaking at 0.68% tin.
-- All four pit samples taken showed confirmed in-situ mineralisation.
-- Reinforces previous trenching and auger results identifying attractive exploration targets.
-- Updated internally estimated Project economics now show a
large uplift in NPV8 to US$163m with a 33.1% IRR.
A PDF of this release, including all maps and images referenced,
can be found on the Company website at
https://www.strategicminerals.net/investors/presentations.html
Exploration and Results
Following previous close-spaced auger sampling results (reported
28 September 2021), CRL conducted a short program of hand-excavated
pits on identified 'Target B' to verify the geology ahead of
potential future drilling.
Two pits were excavated, and both were channel sampled. Hand
pitting was utilised due to steep terrain. Four samples were taken
which were analysed by ALS Laboratories Loughrea using method
ME-MS89L*.
Pit Sample no. From (m) To (m) Interval Sn % Cu % W %
(m)
CRT04 CRL003618 0.00 1.00 1.00 0.68 0.03 0.05
------------ --------- ------- --------- ----- ----- -----
CRT04 CRL003619 1.00 2.00 1.00 0.27 0.06 0.03
------------ --------- ------- --------- ----- ----- -----
CRT04 CRL003620 2.00 2.60 0.60 0.43 0.04 0.04
------------ --------- ------- --------- ----- ----- -----
CRT05 CRL003621 0.00 1.00 1.00 0.17 0.04 0.01
------------ --------- ------- --------- ----- ----- -----
The pits contain decomposed shale, with blocky vein-style quartz
fragments containing clasts of wall-rock, in the pit base. The
results above confirm the presence of in-situ mineralisation, which
is considered by CRL to constitute a strong tin exploration target.
The CRT04 result with a 2.6m interval averaging 0.46% tin, 0.04%
copper and 0.04% tungsten, is a clear example of mineralisation
near-surface.
Future Exploration Targets
CRL is currently evaluating a potential 2022 exploration program
to test this highly prospective target's depth. Exploration of this
tin target and adjacent areas, is intended to verify the projected
westward continuation of the Redmoor Sheeted Vein System (SVS)
orebody. If confirmed, this has the potential to increase the
proportion of tin, and total tonnage of a future resource. The
proximity of the exploration area to surface is likely to enhance
project economics. The present status of the deposit is as a Mining
Scoping Study based on Inferred Resources. Higher category
resources are yet to be defined.
The Company is currently in discussions with parties about asset
level funding of future exploration and this is the preferred
approach. Interest in the Project has been increasing recently as
metal prices for tin, copper and tungsten remain strong.
Project Economics Update
Current resource prices are close to, or significantly exceed,
the levels previously employed in the Company's 16 May 2019 and 6
October 2020 RNS announcements on internally estimated Project
economics. The following table highlights the resource price
assumptions employed in the Company's announcements and current
prices along with the expected impact on key financial measures.
Shareholders should note that these assumptions have not been
independently verified:
RNS 16 May RNS 6 October Current Pricing
2019 2020
Tin (Sn) Price Assumption US $22,000 US $22,000 US $37,660
/t
----------- -------------- ----------------
Tungsten (W) Price Assumption US $330 US $330 US $313
/mtu
----------- -------------- ----------------
Copper (Cu) Price Assumption US $7,000 US $7,000 US $9,748
/t
----------- -------------- ----------------
Project IRR 19.4% 28.6% 33.1 %
----------- -------------- ----------------
Project After Tax NPV US $91m US $128m US $163m
at 8%pa
----------- -------------- ----------------
Commenting, Peter Wale, Executive Director of Strategic Minerals
and Director of CRL, said :
"These pit samples provide an important in-situ confirmation of
the mineralisation identified earlier in the year at Redmoor West.
This bodes well for further exploration as CRL's experience to date
at Redmoor suggests that grades often significantly increase at
depth and when approaching the granite source.
"Accordingly, to find tin grades of this tenor close to surface
is very encouraging both for Project economics and for the resource
tin/tungsten mix.
"CRL is currently formalising its next exploration plans to
explore the depth extensions of this target and of the potential
for a westward continuation of the main Redmoor (SVS) orebody."
Competent Person's Statement
The information in this announcement that relates to exploration
results is based on information compiled and/or reviewed by Paul
Gribble C.Eng., a Fellow of the Institute of Materials, Minerals
and Mining (FIMMM), and who is Principal Geologist of Geologica UK
(Geologica). Paul Gribble has sufficient experience which is
relevant to the style of mineralisation and type of deposit under
consideration and to the activity which he is undertaking to
qualify as a Competent Person as defined in the 2012 Edition of the
'Australasian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves'. Paul Gribble is also a Competent
Person "as defined in the "Note for Mining and Oil & Gas
Companies" which form part of the AIM Rules for Companies". Paul
Gribble has reviewed and consented to the inclusion in the
announcement of the matters based on his information in the form
and context in which it appears.
* ALS Laboratories ME-MS89L Super Trace method combines a sodium
peroxide fusion with ICP-MS instrumentation utilising
collision/reaction cell technologies to provide the lowest
detection limits available.
For further information, please contact:
+61 (0) 414 727
Strategic Minerals plc 965
John Peters
Managing Director
Website: www.strategicminerals.net
Email: info@strategicminerals.net
Follow Strategic Minerals on:
Vox Markets: https://www.voxmarkets.co.uk/company/SML/
Twitter: @SML_Minerals
LinkedIn: https://www.linkedin.com/company/strategic-minerals-plc
+44 (0) 20 3470
SP Angel Corporate Finance LLP 0470
Nominated Adviser and Broker
Matthew Johnson
Ewan Leggat
Charlie Bouverat
Notes to Editors
Strategic Minerals plc:
Strategic Minerals plc is an AIM-quoted, profitable operating
minerals company. It has operations in the United States of America
and Australia along with a development project in the UK. The
Company is focused on utilising its operating cash flows, along
with capital raisings, to develop high quality projects aimed at
supplying the metals and minerals the Board considers likely to
benefit from future supply and demand factors.
In September 2011, Strategic Minerals acquired the distribution
rights to the Cobre magnetite tailings dam project in New Mexico,
USA, a cash-generating asset, which it brought into production in
2012 and which continues to provide a revenue stream for the
Company. This operating revenue stream is utilised to cover company
overheads and invest in progressing the Company's development
projects.
In May 2016, the Company entered into an agreement with New Age
Exploration Limited and, in February 2017, acquired 50% of the
Redmoor Tin and Tungsten project in Cornwall, UK. The bulk of the
funds from the Company's investment were utilised to complete an
initial drilling programme that year. This programme resulted in a
significant upgrade of the resource. This was followed in 2018 with
a 12-hole drilling programme which resulted in the resource update
announced in February 2019. In March 2019, the Company entered into
arrangements to acquire the balance of the Redmoor Tin and Tungsten
project. This was completed on 24 July 2019.
In March 2018, the Company completed the acquisition of the
Leigh Creek Copper Mine situated in the copper rich belt of South
Australia and brought the project into production in April
2019.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
DRLDKABBKBDBBDD
(END) Dow Jones Newswires
November 17, 2021 02:00 ET (07:00 GMT)
Strategic Minerals (LSE:SML)
Gráfica de Acción Histórica
De Feb 2024 a Mar 2024
Strategic Minerals (LSE:SML)
Gráfica de Acción Histórica
De Mar 2023 a Mar 2024