TIDMSML

RNS Number : 1269N

Strategic Minerals PLC

28 September 2021

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.

28 September 2021

Strategic Minerals plc

("Strategic Minerals", "SML" or the "Company")

Redmoor Update

High Tin Grades Identified in West Exploration Program

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 successfully completed a trenching and auger exploration program, to investigate the possible presence of extensions of mineralisation to the west of the established Redmoor resource.

Highlights:

-- Significant tin result in trench CRT01, peaking at 0.38% tin over a 2m sample interval and with nearby mineralisation spanning an overall width of 20m.

-- Peak tin values of 0.87% and 0.20% tungsten generated from close-spaced auger sampling within a 60m long anomalous area of greater than 0.10% tin.

   --    Future new drill target areas identified. 
   --    Auger sampling and gravity work ongoing under the Deep Digital Cornwall collaboration. 

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

In February 2021, CRL announced the implementation of a trenching and auger exploration program aimed at testing the area to the west of its existing drilled resource. This work is now complete, and analyses have been received.

Sampling of material was undertaken in three stages;

   1.    10m spaced auger sampling (117 samples). 
   2.    Excavation of three trenches, which were then channel sampled and analysed (84 samples). 

3. Additional 1m spaced auger sampling, where topographic constraints meant that safe access for mechanical excavation of trenches was not possible (81 samples).

Summary of results:

   1.    Auger sampling. 

A total of 117 samples were taken using a Stihl powered auger, from an average depth of 50cm. Sampling targeted near-bedrock with samples analysed by ALS Loughrea using method ME-MS89L [1] , on a -250 um size fraction. This resulted in the identification of four anomalies that may present possible drill targets. Peak values were 0.7% tin, 880 ppm copper, and 512 ppm tungsten.

Maps of the anomalies identified can be viewed on the Company website.

   2.    Trenching. 

Three of the anomalies identified by the auger sampling were followed up by the excavation of three trenches, totalling 169m in length, to a depth of 1m. CRL's geologists sampled the trench wall material as channel samples, typically as 2m intervals. Samples were analysed by ALS Loughrea using method ME-MS89L.

A 20m wide zone, that includes values significantly anomalous for tin, was identified in trench CRT01. This zone is shown, as 2m sample intervals, in the following table.

 
 Trench    Sample       From    To (m)   Interval   Sn     Cu     W % 
            no.          (m)              (m)        %      % 
 CRT01     CRL004411    4.00    6.00     2.00       0.17   0.01   0.00 
          -----------  ------  -------  ---------  -----  -----  ----- 
 CRT01     CRL004410    6.00    8.00     2.00       0.03   0.01   0.00 
          -----------  ------  -------  ---------  -----  -----  ----- 
 CRT01     CRL004409    8.00    10.00    2.00       0.38   0.01   0.00 
          -----------  ------  -------  ---------  -----  -----  ----- 
 CRT01     CRL004408    10.00   12.00    2.00       0.01   0.01   0.00 
          -----------  ------  -------  ---------  -----  -----  ----- 
 CRT01     CRL004407    12.00   14.00    2.00       0.03   0.01   0.00 
          -----------  ------  -------  ---------  -----  -----  ----- 
 CRT01     CRL004406    14.00   16.00    2.00       0.02   0.01   0.00 
          -----------  ------  -------  ---------  -----  -----  ----- 
 CRT01     CRL004405    16.00   18.00    2.00       0.02   0.01   0.00 
          -----------  ------  -------  ---------  -----  -----  ----- 
 CRT01     CRL004404    18.00   20.00    2.00       0.27   0.01   0.00 
          -----------  ------  -------  ---------  -----  -----  ----- 
 CRT01     CRL004403    20.00   22.00    2.00       0.37   0.01   0.00 
          -----------  ------  -------  ---------  -----  -----  ----- 
 CRT01     CRL004402    22.00   24.00    2.00       0.06   0.01   0.00 
          -----------  ------  -------  ---------  -----  -----  ----- 
 

The other two trenches, CRT02 and CRT03, did not show significant tin, copper, or tungsten grades; however anomalous levels of pathfinder elements were seen, which may indicate the presence of a mineralising system.

   3.    Close-spaced auger sampling 

Close-spaced auger sampling was undertaken to test the fourth auger anomaly. This target could not be tested by mechanical backhoe due to steep topography associated with its location on the edge of the Target Tip Valley. CRL believes this area represents an extension of the sheeted vein system that hosts the resource at Redmoor.

Auger samples were taken at a 1m spacing from an average depth of 50cm using a Stihl powered auger.

These samples identified unexpectedly high tin grades, and local elevated tungsten values. The work identified a widespread anomalous level of tin across the north flank of the Target Tip Valley, defining a 60m long anomaly greater than 1,000 ppm (0.1%) tin, and with peak value of 0.87% tin. Tungsten featured a peak value of 0.20%. These results are shown in the following table:

 
 Traverse    Sample       East        North      RL m     Sn     Cu     W % 
              no.                                          %      % 
 Traverse 
  1          CRL003731    234883.61   70618.87   113.26   0.35   0.03   0.04 
            -----------  ----------  ---------  -------  -----  -----  ----- 
 Traverse 
  1          CRL003732    234883.15   70619.68   113.49   0.56   0.05   0.06 
            -----------  ----------  ---------  -------  -----  -----  ----- 
 Traverse 
  1          CRL003733    234882.75   70620.45   113.78   0.87   0.05   0.08 
            -----------  ----------  ---------  -------  -----  -----  ----- 
 Traverse 
  1          CRL003734    234882.38   70621.33   114.10   0.70   0.05   0.06 
            -----------  ----------  ---------  -------  -----  -----  ----- 
 Traverse 
  1          CRL003735    234881.95   70622.21   114.45   0.44   0.05   0.20 
            -----------  ----------  ---------  -------  -----  -----  ----- 
 

The high tin levels identified were followed up by hand-pitting. Two sites with peak values were excavated, to verify the soil profile and seek any evidence of disturbed ground or surface contamination. CRL's geologists observed the presence of decomposed shale, believed in-situ, with blocky vein-style quartz fragments containing clasts of wall-rock, in the pit base. Strike extensions from this location align with a man-made cutting in the hillside, interpreted by CRL as past small-scale open-cut mining.

As a result of this work, the area is considered by the CRL team to be a tin-tungsten drill target, for future follow-up.

Deep Digital Cornwall

As previously reported, CRL are a delivery partner in the MHCLG/ERDF Deep Digital Cornwall ("DDC") project. CRL's work within DDC, which utilises the Redmoor exploration licence as a digital laboratory, is progressing well. Four field assistants have been recruited and are currently implementing an extensive auger sampling program and high-resolution gravity survey. As of early September, 532 auger samples had been collected and 269 gravity stations recorded. This is some of the most detailed exploration to be carried out in this part of the UK, and has potential to identify new mineralisation. Results from this work are expected in the first half of 2022.

Commenting, Peter Wale, Executive Director of Strategic Minerals and Director of CRL, said :

"The results of the auger and trench sampling, located around 1,000m to the west of the known Redmoor mineralisation, appear to support CRL's view of a potential further westward extension of the Redmoor resource. This may have important implications for the size of a future resource. Furthermore, the strong tin results fit well with CRL's hypothesis that the western mineralisation is likely to be richer in tin, in line with known metal distribution at Redmoor.

"With the tin price currently hitting new all-time highs, having more than doubled over the last year, it's particularly rewarding to now share these results indicating new high tin grades at Redmoor. Furthermore, our strategy of investing in assets with the potential for long term commodity price appreciation is being reinforced. Latest tin prices are substantially higher than the price assumptions used in our October 2020 Scoping Study, this further strengthens our project economics.

"This process has de-risked future drilling plans and is expected to be supplemented by additional valuable information from the ongoing DDC project.

"CRL has successfully identified new drill target areas which are anticipated to offer significant upside for the Redmoor project."

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.

 
 
  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.

[1] Lowest detection limit multi-element super trace method utilizing sodium peroxide fusion and hydrochloric acid digest on 0.2 g sample. Analysis via ICP-MS and ICP-AES.

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

MSCDKOBBABKDFCB

(END) Dow Jones Newswires

September 28, 2021 01:59 ET (05:59 GMT)

Strategic Minerals (LSE:SML)
Gráfica de Acción Histórica
De Oct 2021 a Nov 2021 Haga Click aquí para más Gráficas Strategic Minerals.
Strategic Minerals (LSE:SML)
Gráfica de Acción Histórica
De Nov 2020 a Nov 2021 Haga Click aquí para más Gráficas Strategic Minerals.