TIDMALBA
RNS Number : 5736J
Alba Mineral Resources PLC
12 September 2016
12 September 2016
Alba Mineral Resources plc
("Alba" or the "Company")
Alba mobilises airborne electromagnetic survey
over Amitsoq project in southern Greenland
Alba Mineral Resources plc (AIM: ALBA) is pleased to announce
that it has commissioned an extensive airborne electromagnetic (EM)
survey at the Amitsoq graphite project in southern Greenland,
targeting graphite zones and extensions of the former graphite mine
at Amitsoq, nickel and platinum group elements to the north of the
former mine as well as potential gold targets on the mainland to
the south of Amitsoq island.
The contractor has now commenced mobilisation and the survey is
due to commence within the next few weeks.
Highlights
-- Mobilisation has commenced for an extensive EM survey over Amitsoq Project
-- The principal objective is to establish and prove up the
continuity of the known graphite deposit and former graphite mine,
both along strike and at depth
-- The EM survey will also target:
o known Nickel-Platinum Group Element anomalies on Amitsoq
island
o Gold targets further south along strike from a known gold
deposit and former gold mine
-- By the use of the deep penetration EM system selected, Alba
seeks to fast-track the exploration and development of the Amitsoq
Project
Survey details
The Company has commissioned a specialist airborne geophysical
survey company to carry out an airborne EM and magnetic survey at
Alba's Amitsoq Graphite project in southern Greenland.
The principal target of the survey covers the southern portion
of Amitsoq island, which hosts the former graphite mine, as well as
a target to the north of the mine which hosts the Nickel-Platinum
Group Element anomalies known as Amitsoq Dyke and Craig's Dyke.
The objective is to identify electromagnetic and magnetic
horizons within the survey area. Several known graphite horizons
(up to 16.58 metres in thickness) are present. The interpretation
of these horizons will help Alba to assess the continuity along
strike of the graphite horizon and/or horizons. It will also assist
us to identify additional structural geological elements which will
assist in the interpretation of the regional geology. The precise
location of the survey areas is shown on a map which is available
on the Alba website (under "Projects").
In relation to the Amitsoq Dyke and Craig's Dyke targets,
Amitsoq Dyke was first discovered by the Geological Survey of
Greenland ("GGU") in the early 1960s when boulder tracing
discovered a hornblende peridotite intrusion on Amitsoq Island,
about 10 km northeast of the old graphite mine. The GGU published a
summary of the economic geology of Greenland in 1973, which
mentions the nickel and platinum occurrence on Amitsoq Island. It
is described as an ultramafic, structurally related
hornblende-peridotite dyke-like body, 1.5 km long and up to 100 m
wide with sulphides thought to be early magmatic segregations. The
richest mineralisation contains up to 5% sulphides. A further
programme of exploration in the late 1980s discovered another
ultramafic intrusion called "Craig's Dyke", approximately 1.5 km to
the south on the western side of the island. Nine grab samples were
taken from the Craig's Dyke occurrence and these averaged 442 ppb
Pt, 418 ppb Pd, 85 ppb Au, 0.28% Ni and 0.48% Cu. The highest grade
grab samples returned values up to 3.8 g/t Pt+Pd+Au. In 1988,
magnetics and VLF-EM surveys were undertaken at Craig's Dyke and it
was interpreted that that the mineralisation may be hosted in a
steeply plunging "rod-like" pipe. The EM survey will assess not
only the known dykes but will also look at parallel structures,
looking for deep sulphide accumulations.
In addition to these survey areas on Amitsoq Island, which are
targeting graphite and Ni-PGE mineralisation, Alba is also
targeting two possible gold anomalies on the mainland to the south
of Amitsoq Island (but within the licence area) which have been
identified in the remote sensing studies Alba carried out in 2015
and which have previously been reported. These are located
respectively approximately three miles east and six miles
north-east of Nanortalik town. The two targets are approximately 20
kms along strike from a known former gold mine at Nalunaq (circa
340,000 ounces of gold produced to date).
The flight line spacing and direction will be 200 m for most of
the survey area, but 100 m for areas of known graphite and Ni-PGE
mineralisation. The benefit of the system selected is that it
should be able to deliver 400 m penetration, subject to any
difficult areas of terrain which may be encountered in parts of the
survey area.
The survey involves three to four days of flying time and should
be completed by the end of September, weather permitting. Full
analysis of the data set from the survey will then be undertaken
and reported on. This will then allow us the time in Q1 2017 to
plan our follow-up field campaign for Q2/Q3 2017.
Work undertaken to date at Amitsoq
Alba's work to date at Amitsoq has confirmed the following:
-- Test work carried out on hand/grab samples collected during a
field expedition returned excellent results, showing graphitic
carbon contents varying from 20.5% to 35.4%, with an overall mean
graphitic carbon content of 28.7%, significantly higher than the
previously reported historic average grade of 20% and higher than
most reported advanced graphite projects globally.
-- Measurements of the discrete graphite flakes suggests that
the mean flake-size varies from 300-500 um, 'Jumbo' to 180-300 um
'Large', however the single most common flake size is in fact
'Super-Jumbo' (>500 um). The larger flake sizes attract a
premium in the market.
-- The results of a remote sensing study were highly
encouraging, highlighting several anomalies for a variety of
commodities. Numerous and continuous graphitic horizons were
suggested along strike and proximal to the Amitsoq graphite
mine.
-- Additional FeO anomalies are interpreted to be favourable
targets for platinum group metals, orogenic lode gold and intrusion
related copper-zinc mineralization.
-- Anomalies have been identified with geology similar to
economic gold mineralisation at the nearby Nalunaq gold mine (circa
340,000 ounces of gold produced to date). Nalunaq is only some 14
miles to the north-east of one of our own gold target areas and
other known gold areas occur some three miles to the north-east in
an adjacent licence.
-- A recent bulk sampling exercise (August 2016) took 179
kilograms of graphite ore sampled from a vein that had previously
been exploited when the Amitsoq mine was operational, which vein
was found to have a true thickness of 16.58 metres.
Mike Nott, Alba's CEO, commented:
"The use of the deep penetration system we have selected for
this EM survey represents another piece of the jigsaw which we are
using at Alba to seek to fast-track the Amitsoq project. In
particular, we hope to be able to use the physical property of
graphite as an excellent conductor to help establish and prove up
the continuity of the known graphite deposit, both along strike and
at depth."
"We look forward also to receiving the results of the EM and
magnetic survey over the potential gold, nickel and PGE target
areas that we have identified from previous work and in particular
from our own remote sensing study."
Qualified Person's Statement:
Michael Nott, aged 68, Alba's CEO, who has over 45 years'
relevant experience in the geological, mining, minerals, waste
disposal, industrial minerals, oil , drilling, mineral planning and
quarrying industries, has approved the information in this
announcement.
Mr Nott holds a BSc. degree in Geology from Queen Mary,
University of London, a MSc. Degree in Mineral Production
Management from the Royal School of Mines, Imperial College,
University of London, The Diploma of Imperial College in Mineral
Production Management and is a Chartered Engineer.
He is a Fellow of the Institute of Materials, Minerals and
Mining, a Fellow of the Minerals Engineering Society, a Fellow of
the Institute of Quarrying and an Associate of the Royal School of
Mines Association.
For further information please contact:
Alba Mineral Resources
plc
Michael Nott, CEO +44 20 7264 4366
Cairn Financial Advisers
LLP
James Caithie/Liam Murray +44 20 7148 7900
Dowgate Capital Stockbrokers
Limited
Jason Robertson / Neil
Badger +44 1293 517744
About Alba
Alba holds a 15 per cent interest in Horse Hill Developments
Limited, the company which has a 65 per cent participating interest
and operatorship of the Horse Hill oil and gas project (licences
PEDL 137 and PEDL 246) in the UK Weald Basin. Alba has also elected
to earn a 5% interest in Production Licence 235, which comprises
the producing onshore Brockham Oil Field.
Alba has the right to earn up to 70 per cent of the Amitsoq
Graphite Project in Southern Greenland. In addition, the Company
has recently renewed its Limerick base metal and gold licence in
the Republic of Ireland, and has applied for the reissue of a
uranium permit in northern Mauritania. The new Mauritanian permit
will be on a reduced area, and is centred on known uranium-bearing
showings.
Alba continues actively to review and discuss other project
opportunities which have value-enhancing potential for the Company
whether by acquisition, farm in or joint venture in a range of
jurisdictions around the world.
This information is provided by RNS
The company news service from the London Stock Exchange
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