Vanadium producer Bushveld Minerals Limited (LON: BMN) provided its maiden Mineral Resource estimate for the Brits Vanadium Project (the “Brits Project”). The Brits Project is located in South Africa and is directly along strike from the Bushveld Vametco Alloys Mine (Bushveld-Vametco), which as this update revealed, contains a higher grade of vanadium than this latest Project.
The Company reported aggregate inferred and indicated mineral resources across all seams of 66.8Mt at an average grade of 1.58% vanadium in magnetite; this was at a cut-off grade of 20% in whole rock for 175,400 tonnes of contained vanadium.
Indicated Mineral Resources tonnages stand at 44.9Mt with an average grade of 1.59% for 115,600 tonnes of contained vanadium across all three seams.
The Lower Seam has a cut-off grade of 20%, with 55.5Mt at an average grade of 1.58% vanadium in magnetite for 1237,000 tonnes of contained vanadium. This makes up approximately 83% of the total Mineral Resource.
The Company’s statement continued,
“A geological trend of decreasing grade in vanadium for magnetite-rich layers from west to east in the Bushveld Complex accounts for the lower grades on the Brits Project in comparison to the grades at the operating Vametco Mine.”
“The Mineral Resource is reported up to a depth of 150m below surface and based on the drilling on the western and central blocks of the farm Uitvalgrond Portion 3 which extends over a strike length of approximately 1.65km to the most eastern fault where the last line of drilling was completed. As such there is potential to increase the resource on the remaining eastern unexplored portion of the farm on a strike length of 1km.”
Fortune Mojapelo, CEO of the Company, commented,
“We are pleased to be able to report solid results confirming that we have a high-quality asset at the Brits Project, where its average grade of 1.58% V2O5 in magnetite is among the highest in the world.”
“This represents an important step in the development of Brits – as we recently detailed our path to producing over 8,400 mtV per annum and Brits provides the optionality for additional ore feed for the Vametco plant and, if required, concentrate feed for the Vanchem plant.”
The Company’s shares are trading down 0.48% or 0.11p to 23.88p a share 16/07/19 10:56 BST. Analysts from Peel Hunt reiterated their ‘Buy’ stance on Bushveld Minerals stock.
Elsewhere in the mining and minerals sector, recent updates have come from; Kavango Resources PLC (LON: KAV), Anglo Asian Mining plc (LON: AAZ), Anglo Asian Mining plc (LON: AAZ) Pan African Resources (LON: PAF), Keras Resources PLC (LON: KRS), Jubilee Metals Group PLC (LON: JLP), Ariana Resources plc (LON: AUU) and Caledonia Mining Corporation Plc (TSE: CAL).