Premier African Minerals Limited Zulu Assay Results and Update (0747Z)

TIDMPREM

RNS Number : 0747Z

Premier African Minerals Limited

09 January 2024

9 January 2024

Premier African Minerals Limited

Zulu Assay Results and Update

Premier African Minerals Limited ("Premier" or the "Company"), is pleased to report an update including assay results at Premier's Zulu Lithium and Tantalum Project ("Zulu"). These results include both surface trenches and drill holes located within the area of the mineral claims block but outside of the existing mining operations and pit development.

George Roach, CEO commented , " Those surface trench and drill hole results originating from the Southeast pegmatite, represent very good potential for this pegmatite that is adjacent but discrete from the main mining and pit developments underway at present. More important is that geological logging indicates that the lithium mineralisation in this pegmatite is almost exclusively spodumene. For reference purposes, a grade of 1% Li2O when the mineralisation is all spodumene, is the equivalent of 12.5% of the ore body being made up of the mineral spodumene. Test work in our laboratory at Zulu has consistently confirmed that Zulu is able to produce SC6 at acceptable grades from a contained spodumene content in the ore body as low as 4%, representing a potential economic cut-off grade as low as 0.37% Li2O when the contained mineral is spodumene.

By way of general update, civils associated with the thickener and new mill installation are substantially complete and first materials are now at site with further loads on route. The new mill is expected to be the last component to be positioned at Zulu late in January 2024 with anticipated restart of operations as early in February as possible and the Board believes as previously reported that the Company is still on track to target revenue generating production by late-February 2024.

Mining operations are now well developed, and we anticipate no issues associated with ore delivery to Run of Mine pad in future. Whilst mining operations are a major cash cost at present, the future benefit when operations are underway at much reduced stripping ratios will more than offset this cost in the future.

Preliminary indications from the Company's internal budget (which has not been independently verified) at this time model an average mine gate cost of the order of $800 per ton for SC6 for the first 12 months, and which discounts any technical grade spodumene produced and sold and any sale of any lepidolite and other mica-rich concentrates or future tantalum production."

Drill Holes: Lithium & Tantalum Results

The table below sets out the composites determined, as per the outlined compositing routine in the text below the table, from analyses received from the independent external laboratory (SGS) for surface trenches ZT012, ZT016, ZT017, ZT018, ZT020, ZT022, ZT025, ZT026, ZT027 and core drill holes ZDD156, ZDD160 and ZDD161. Of the trench results, ZT025, ZT026 and ZT027 together with all the drill holes are from the Southeast pegmatite that is located approximately 350 meters southeast of current pit developments.

Table 1 -Assay Summary Results

 
  Hole      From    To (m    Width*   Li(2)     Ta(2)     Rb ppm 
             (m)               (m)      O%     O(5) ppm 
 Surface Trenches 
  ZT012    47.03    53.70     6.67    1.00       49        3909 
  Incl.    48.86    50.36     1.50    1.70       18        2404 
--------  -------  -------  -------  ------  ----------  ------- 
  ZT016    28.31    33.80     5.49    0.95       81        4690 
--------  -------  -------  -------  ------  ----------  ------- 
  ZT017     9.70    17.20     7.50    0.56       87        3561 
--------  -------  -------  -------  ------  ----------  ------- 
  ZT018    17.10    21.80     4.70    0.66       125       3875 
  ZT020    37.30    39.30     2.00    0.94       79        5301 
          -------  -------  -------  ------  ---------- 
  ZT022     4.40    12.45     8.05    0.87       49        1154 
   Incl.    5.40     9.40     4.00    1.38       58        1356 
--------  -------  -------  -------  ------  ----------  ------- 
  ZT022    14.30    20.80     6.50    0.89       45        1374 
   Incl.   18.30    19.30     1.00    1.61       38        634 
--------  -------  -------  -------  ------  ----------  ------- 
  ZT022    41.70    43.70     2.00    0.70       74        2563 
  ZT025     0.00     5.00     5.00    1.81       49        1029 
  ZT026     0.00     7.50     7.50    1.40       52        1116 
   Incl.    5.50     7.50     2.00    2.30       45        648 
--------  -------  -------  -------  ------  ----------  ------- 
  ZT027     0.00     3.00     3.00    1.15       37        1058 
   Incl.    1.00     2.00     1.00    2.30       22        1020 
--------  -------  -------  -------  ------  ----------  ------- 
 Drill holes 
-----------------  -------  -------  ------  ----------  ------- 
  ZDD156   294.30   296.3     2.00    0.78       91        2697 
--------  -------  -------  -------  ------  ----------  ------- 
  ZDD160   154.56   187.00   32.44    1.08       63        1265 
   Incl.   159.91   161.91    2.00    1.77       67        1035 
   Incl.   164.8    165.80    1.00    1.89       106       718 
   Incl.   166.80   167.80    1.00    1.63       41        1009 
   Incl.   173.98   175.98    2.00    1.60       38        969 
   Incl.   183.98   184.98    1.00    1.80       56        1596 
--------  -------  -------  -------  ------  ----------  ------- 
  ZDD161   165.73   174.08    8.35    1.53       54        1287 
   Incl.   167.73   168.80    1.07    2.31       41        979 
 
   Incl.   169.80   170.80    1.00    2.37       37        836 
--------  -------  -------  -------  ------  ----------  ------- 
  ZDD161   180.46   186.00    5.54    1.06       97        997 
   Incl.   180.46   180.46    2.00    2.14       98        892 
--------  -------  -------  -------  ------  ----------  ------- 
 

*Not True Width but drilled width

**0.50% Li(2) O cut-off applied.

The following compositing routine has been applied:

 
   --   0.50% Li(2) O cut-off was applied to the pegmatitic 
         intersections only. 
   --   <2m standalone composites at the cut-off grade but with 
         an overall weighted average grade of >0.5% Li(2) O are 
         not reported. 
   --   Within any composite of >2m thickness, high-grade intersections 
         of 1m and greater are reported provided the high-grade 
         intersection is a multiple of x 1.5 of the overall weighted 
         composite grade, and 
   --   Within any composite, inclusions of country rock of 
         <2m thickness are included within the composite provided 
         the overall grade of the composite is not <0.50% Li(2) 
         O. 
 

The following Table 3 sets out the drill hole collar coordinates for the drill holes reported in Table 1 above:

Table 2 - Drill Holes/Trench Collar Coordinates - This RNS

 
 Dhole      UTM 35S*     UTM 35S*     Elevation    Azimuth    Collar   EOH/Trench 
             Easting      Northing      (AMSL)     TN ( deg     Dip      length 
                                                      )        ( deg       (m) 
                                                                 ) 
 ZT012     751199.571   7782684.17     1326.97       290        0         80.5 
          -----------  ------------  ----------  ----------  -------  ----------- 
 ZT016     751145.295   7782608.551   1321.542       290        0          70 
          -----------  ------------  ----------  ----------  -------  ----------- 
 ZT017     751130.097   7782555.182   1319.398       290        0         40.5 
          -----------  ------------  ----------  ----------  -------  ----------- 
 ZT018     751121.216   7782503.35     1314.89       290        0          29 
          -----------  ------------  ----------  ----------  -------  ----------- 
 ZT020     751102.666   7782450.664    1311.78       290        0         100 
          -----------  ------------  ----------  ----------  -------  ----------- 
 ZT022     751400.394   7782157.056   1310.307       225        0          86 
          -----------  ------------  ----------  ----------  -------  ----------- 
 ZT025     751392.43    7782146.19    1310.207     216.47       0          5 
          -----------  ------------  ----------  ----------  -------  ----------- 
 ZT026     751401.075   7782144.871   1310.218     210.51       0         7.5 
          -----------  ------------  ----------  ----------  -------  ----------- 
 ZT027     751409.526   7782139.956   1309.893     207.54       0          3 
          -----------  ------------  ----------  ----------  -------  ----------- 
 ZDD156    751483.703   7782138.713   1312.707      218.7     -59.84     325.89 
          -----------  ------------  ----------  ----------  -------  ----------- 
 ZDD160    751480.699   7782205.707   1312.555     226.26     -49.84     300.35 
          -----------  ------------  ----------  ----------  -------  ----------- 
 ZDD161    751415.084   7782206.843   1310.687     217.76     -59.86     282.33 
          -----------  ------------  ----------  ----------  -------  ----------- 
 * ARC1950 Datum (10m local datum shift) 
 

Table 3 - Drilling & Trenching Progress

A summary of the number of drill holes & trenches completed both prior to and for the ongoing Mineral Resource Estimate:

 
 PROGRAMME                     No of Drill   Drill Metres   No of Surface    Trenched 
                                  Holes           (m)          Trenches      Metres (m) 
 RST (1958)                              7         903.90 
                              ------------  -------------  --------------  ------------ 
 ZULU - Initial Exploration              6       2,312.90 
                              ------------  -------------  --------------  ------------ 
 ZULU - PEA                             43       5,809.10 
                              ------------  -------------  --------------  ------------ 
 ZULU - Pilot Plant 
  /MRE                                 143      34,100.16              33      2,534.76 
                              ------------  -------------  --------------  ------------ 
 ZULU - MRE (in progress)                0              0 
                              ------------  -------------  --------------  ------------ 
 

Table 4 - Analytical Pipeline

A summary of the status of drill core & trench analyses is set out below:

 
 Results received to date (excluding 
  QA/QC samples)                              9,837 
 # QA/QC samples analysed - blanks, 
  duplicates & CRMs                          1,479* 
                                            ------- 
 Sample pulps at SGS Randfontein awaiting 
  analysis                                      350 
                                            ------- 
 Sample pulps ready to be shipped to 
  SGS                                           635 
                                            ------- 
 Ongoing sampling of drill cores/trench 
  samples at site**                               0 
                                            ------- 
 **Estimate 
 *QA/QC samples = 15% of total 
 

Quality Assurance/Quality Control (QA/QC)

The drill holes are initially sited using a hand-held GPS (Global Positioning System device) within the tenement areas. Accurate coordinates and elevations of drill holes collars are subsequently derived from a DGPS (Differential Global Position devices) survey upon completion of the drill hole.

Drill cores are geologically logged, intersections of interest are selected are marked-up with unique sample ID assigned before splitting and sampling. Cores are cut in half using a core cutter, individual samples bagged, and sent for analysis.

Alternating Certified Refence Materials (CRM), blank or duplicate samples are inserted every 10th sample into the sample stream sent to the laboratory to ensure QA/QC compliance. These QA/QC samples are assessed upon receipt of analyses, checked and, if acceptable, accepted into the analytical database. Follow-up with the laboratory is instigated in cases were any QA/QC sample fails the QA/QC parameters.

Currently, drill core samples are crushed and pulverised at the Antec Laboratory, Zimbabwe to 85% passing -75 microns. Sample pulps are couriered to the SGS Laboratory Services in Randfontein, South Africa where pulps are fused with sodium peroxide and analysed by ICP-OES and ICP-MS to report 51-elements. (SGS code ICP90A50 & IMS90A50).

The Geology of Zulu

The area, located in the Fort Rixon Greenstone Belt, is underlain by Archaean-aged meta-volcanics and meta-sedimentary sequences of the Bulawayan Supergroup, with serpentinites and banded iron formations at the base in the east and metamorphosed volcano-sedimentary sequences to the west. The greenstone belt is tear drop shaped measuring 30 km long and 19 km wide near the broad section at the top. Metamorphism is retrograded to Greenschist facies.

The Zulu Pegmatite is a LCT (Lithium-Caesium-Tantalum) pegmatite swarm which intrudes along the contacts between serpentine and metamorphosed volcano-sedimentary sequences over a strike length of several kilometres. Outcrop widths vary between 10 and 50m. The pegmatite bodies strike N20deg and dip 70deg to 90deg to the west.

The area was first pegged in 1955 by J.S. Willemse and intensely explored, under option, by mapping, trenching and drilling by Rhodesian Selection Trust Co. Ltd. ("RST") in 1958. In 1961 and 1962 a small quantity of petalite from the River Pegmatites (see below) was mined by W. Burchett in partnership with J.S. Willemse. Premier later acquired the claims in 2013.

Mapping and logging of drill cores within some pegmatites semi-quantitative powder X-Ray Diffraction (XRD)a has identified three distinct pegmatite classes in the Mineral claims block. Spodumene-rich, thick pegmatites named the Main Zone, South Pegmatite and SE Zone which are located north, south and SE of the Machakwe River; footwall low-spodumene pegmatites with associated tantalum and rubidium; and a suite of petalite-bearing pegmatites of short strike length, named the River Pegmatites.

In general, the lithium minerals, occurring in varying quantities, are coarse grained with associated feldspars and quartz with only very minor sulphides being observed. In several contact zones, the lithium-bearing amphibole, holmquistite, has been observed.

Qualified Person

Bruce Cumming, geologist with Premier, has reviewed and approved this release to the extent that reference is made to the geology of the Zulu pegmatites. Mr. Cumming is a SACNASP and GSSA registered geoscientist with 48 years' experience in exploration and project management, in multicommodity projects throughout Africa.

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 it forms part of UK Domestic Law by virtue of the European Union (Withdrawal) Act 2018.

The person who arranged the release of this announcement on behalf of the Company was George Roach.

Enquiries:

 
                     Premier African Minerals     Tel: +27 (0) 100 
 George Roach         Limited                      201 281 
 Michael Cornish /   Beaumont Cornish Limited     Tel: +44 (0) 20 
  Roland Cornish      (Nominated Adviser)          7628 3396 
                    ---------------------------  ----------------- 
                                                  Tel: +44 (0) 20 
 Douglas Crippen     CMC Markets UK Plc            3003 8632 
                    ---------------------------  ----------------- 
 Toby Gibbs/Rachel   Shore Capital Stockbrokers   Tel: +44 (0) 20 
  Goldstein           Limited                      7408 4090 
                    ---------------------------  ----------------- 
 

Beaumont Cornish Limited ("Beaumont Cornish") is the Company's Nominated Adviser and is authorised and regulated by the FCA. Beaumont Cornish's responsibilities as the Company's Nominated Adviser, including a responsibility to advise and guide the Company on its responsibilities under the AIM Rules for Companies and AIM Rules for Nominated Advisers, are owed solely to the London Stock Exchange. Beaumont Cornish is not acting for and will not be responsible to any other persons for providing protections afforded to customers of Beaumont Cornish nor for advising them in relation to the proposed arrangements described in this announcement or any matter referred to in it.

Forward Looking Statements:

Certain statements in this announcement are or may be deemed to be forward looking statements. Forward looking statements are identi ed by their use of terms and phrases such as "believe" "could" "should" "envisage" "estimate" "intend" "may" "plan" "will" or the negative of those variations or comparable expressions including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding the Company's future growth results of operations performance future capital and other expenditures (including the amount, nature and sources of funding thereof) competitive advantages business prospects and opportunities. Such forward looking statements re ect the Directors' current beliefs and assumptions and are based on information currently available to the Directors. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements including risks associated with vulnerability to general economic and business conditions competition environmental and other regulatory changes actions by governmental authorities the availability of capital markets reliance on key personnel uninsured and underinsured losses and other factors many of which are beyond the control of the Company. Although any forward-looking statements contained in this announcement are based upon what the Directors believe to be reasonable assumptions. The Company cannot assure investors that actual results will be consistent with such forward looking statements.

Notes to Editors:

Premier African Minerals Limited (AIM: PREM) is a multi-commodity mining and natural resource development company focused on Southern Africa with its RHA Tungsten and Zulu Lithium projects in Zimbabwe.

The Company has a diverse portfolio of projects, which include tungsten, rare earth elements, lithium and tantalum in Zimbabwe and lithium and gold in Mozambique, encompassing brownfield projects with near-term production potential to grass-roots exploration. The Company has a ccepted a share offer by Vortex Limited ("Vortex") for the exchange of Premier's entire 4.8% interest in Circum Minerals Limited ("Circum"), the owners of the Danakil Potash Project in Ethiopia, for a 13.1% interest in the enlarged share capital of Vortex. Vortex has an interest of 36.7% in Circum .

In addition, the Company holds a 19% interest in MN Holdings Limited, the operator of the Otjozondu Manganese Mining Project in Namibia.

 
 Glossary of Technical Terms: 
------------------------------------------------------------------------------- 
 "amphibole"          A class of rock-forming silicate or aluminosilicate 
                       minerals typically occurring as fibrous or columnar 
                       crystals. 
                     ---------------------------------------------------------- 
 "Banded Iron         A sedimentary rock consisting of alternating layers 
  Formation (BIF)"     of iron oxides and iron-poor chert. 
                     ---------------------------------------------------------- 
 "DFS"                Definitive Feasibility Study. 
                     ---------------------------------------------------------- 
 "Greenschist         The Greenschist facies is at low pressure and 
  facies"              temperature. The facies is named for the typical 
                       schistose texture of the rocks and green colour 
                       of the minerals chlorite, epidote and actinolite. 
                     ---------------------------------------------------------- 
 "feldspar"           An aluminosilicate mineral consisting of potassium, 
                       sodium, and calcium. 
                     ---------------------------------------------------------- 
 "Holmquistite"       A lithium-bearing amphibole related to hornblende 
                       with a formula as (Na,K,Ca)Li(Mg,Fe)(3) Al(2) 
                       Si(8) O(22) (OH)(2.) 
                     ---------------------------------------------------------- 
 "ICP-OES"            Inductively coupled plasma-optical emission spectroscopy. 
                     ---------------------------------------------------------- 
 "ICP-MS"             Inductively coupled plasma mass spectrometry. 
                     ---------------------------------------------------------- 
 "Lepidolite"         A pink to lavender coloured lithium bearing mineral 
                       (KLi 2 Al(Si 4 O 10 )(F,OH) 2 ). 
                     ---------------------------------------------------------- 
 "Li to Li2O"         x 2.153. 
                     ---------------------------------------------------------- 
 "Li"                 Lithium. 
                     ---------------------------------------------------------- 
 "Li(2) O"            Lithium Oxide (Lithia) - an inorganic lithium 
                       compound used to assess lithium minerals. 
                     ---------------------------------------------------------- 
 "m"                  Meters. 
                     ---------------------------------------------------------- 
 "meta-sediments"     Sedimentary rocks that have been metamorphosed. 
                     ---------------------------------------------------------- 
 "meta-volcanics"     Volcanic rocks that have been metamorphosed. 
                     ---------------------------------------------------------- 
 "PEA"                Preliminary Economic Study. 
                     ---------------------------------------------------------- 
 "Petalite"           A white coloured lithium bearing mineral (LiAl(Si 
                       4 O 10 )). 
                     ---------------------------------------------------------- 
 "ppm"                Parts per million. 
                     ---------------------------------------------------------- 
 "Rb"                 Rubidium. 
                     ---------------------------------------------------------- 
 "Run of Mine"        Ore that is mined and ready to be processed 
                     ---------------------------------------------------------- 
 "SC6"                Is a high-purity lithium ore with approximately 
                       6 percent lithium content being produced as a 
                       raw material for the subsequent production of 
                       lithium-ion batteries for electric vehicles 
                     ---------------------------------------------------------- 
 "serpentinite"       A dark, typically greenish metamorphic rock, consisting 
                       of serpentine or related minerals, formed when 
                       mafic igneous rocks are altered. 
                     ---------------------------------------------------------- 
 "Spodumene"          A white to pink coloured lithium bearing mineral 
                       (LiAlSi 2 O 6 ) containing up to 8.03% Li(2) O 
                     ---------------------------------------------------------- 
 "Ta to Ta2O5"        x 1.221. 
                     ---------------------------------------------------------- 
"Ta"                 Tantalum. 
                     ---------------------------------------------------------- 
"X-Ray Diffraction"  X-ray diffraction (XRD) is a widely used technique 
                      to assess the mineral assemblage, crystallinity 
                      and structure of rocks, cores etc. 
                     ---------------------------------------------------------- 
 

LITHIUM CLASSIFICATION AND CONVERSION FACTORS

Lithium grades are normally presented in percentages or ppm. Grades of deposits are also expressed as lithium compounds in percentages, for example as a percent lithium oxide (Li (2) O) content. The standard conversion factors are set out in the table below:

Table: Conversion Factors for Lithium Compounds and Minerals

 
 Convert from               Convert to   Convert to 
                             Li           Li (2) O 
---------------  --------  -----------  ----------- 
 Lithium          Li        1.000        2.153 
                  Li (2) 
 Lithium Oxide     O        0.464        1.000 
---------------  --------  -----------  ----------- 
 

Ends

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