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#BRES Blencowe Resources PLC – Corporate Presentation Updated
Blencowe Resources (BRES: LON) wishes to advise it has updated its corporate presentation which can be found on the Company’s website (www.blencoweresourcesplc.com).
The corporate presentation provides and up to date overview of the Company, its assets and strategy. The Company will be updating its presentation regularly in the forthcoming months and will notify interested parties upon each material update.
A direct link to the presentation: https://blencoweresourcesplc.com/presentation/
For further information please contact:
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Blencowe Resources Plc Sam Quinn (London Director) |
+44 (0)1624 681 250 |
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Investor Enquiries Sasha Sethi |
Tel: +44 (0) 7891 677 441 sasha@flowcomms.com |
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Tavira Financial Jonathan Evans |
Tel: +44 (0)20 7100 5100 jonathan.evans@tavira.group |
Twitter https://twitter.com/BlencoweRes
LinkedIn https://www.linkedin.com/company/blencowe-resources/
Background
Orom-Cross Graphite Project
Orom-Cross is a potential world class graphite project both by size and end-product quality, with a high component of more valuable larger coarse flakes within the deposit.
A 21-year Mining Licence for the project was issued by the Ugandan Government in 2019 following extensive historical work on the deposit. Blencowe completed a successful Pre-Feasibility Study on the Project in July 2022 and is now completing the Definitive Feasibility Study prior to commencing production of graphite concentrate.
Orom-Cross presents as a large, shallow open-pitable deposit, with an initial JORC Indicated & Inferred Mineral Resource of 24.5Mt @ 6.0% TGC (Total Graphite Content). This Resource has been defined from only ~2% of the total tenement area which presents considerable upside potential ahead. Development of the resource is expected to benefit from a low strip ratio and free dig operations together with abundant inexpensive hydro-electric power off the national grid, thereby ensuring low operating costs. With all major infrastructure available at or near to site the capital costs will also be relatively low in comparison to most graphite peers.
#BRES Blencowe Resources PLC – CEO Video Interview
Blencowe Resources (BRES:LON), is pleased to share two recent interviews with CEO Mike Ralston on the Focus Communications IR and Mining News platforms:
Interview with Focus IR:
“Mike Ralston, CEO of Blencowe, outlines plans to become one of the world’s largest graphite producers”
https://www.youtube.com/watch?v=JnnCkdCPfT0
Interview with Mining News:
“Blencowe building on mining-to-battery plan at the Orom-Cross graphite project”
Executive Chairman Cameron Pearce commented:
“Blencowe recently recorded video interviews on the media platforms linked above to provide investors with further detail following a successful management trip to Asia. In China we visited Jilin Huiyang New Material Technology Company which is currently undertaking processing of a 600 tonne bulk sample of small flake graphite from Orom-Cross. This effort aims to produce commercial scale processed samples for a range of tier-1 offtakers in both China and South Korea, who have shown significant interest in high-quality processed product from Orom-Cross, especially smaller sized flakes suitable for SPG processing for the battery industry, including Electric Vehicles. Investors should note that prequalification of product with industry buyers is a crucial step for any serious graphite miner, and Blencowe is well advanced on this route.
In addition to the small flake graphite, we have received positive feedback on large flake graphite samples from Orom-Cross from other potential offtake parties, with larger flake graphite typically commanding premium prices.
During our trip, we also met with various EPC groups and Chinese strategics to advance our in-country downstream SPG processing strategy. We believe that adding local Ugandan downstream SPG processing facilities will enable us to capture more of the downstream value chain and significantly enhance Orom-Cross’s already compelling economics. This will also substantially differentiate Blencowe from its graphite peers. So far, test work in China has been progressing positively, as have discussions regarding potential offtake MOUs and strategic partnerships for downstream SPG processing.
We anticipate further updating the market on the progress of our test work and the interest from potential offtakers in the coming weeks.“
For further information please contact:
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Blencowe Resources Plc Sam Quinn (London Director) |
+44 (0)1624 681 250 |
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Investor Enquiries Sasha Sethi |
Tel: +44 (0) 7891 677 441 sasha@flowcomms.com |
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Tavira Financial Jonathan Evans |
Tel: +44 (0)20 7100 5100 jonathan.evans@tavira.group |
Twitter https://twitter.com/BlencoweRes
LinkedIn https://www.linkedin.com/company/blencowe-resources/
Background
Orom-Cross Graphite Project
Orom-Cross is a potential world class graphite project both by size and end-product quality, with a high component of more valuable larger coarse flakes within the deposit.
A 21-year Mining Licence for the project was issued by the Ugandan Government in 2019 following extensive historical work on the deposit. Blencowe completed a successful Pre-Feasibility Study on the Project in July 2022 and is now within the Definitive Feasibility Study phase as it drives towards first production.
Orom-Cross presents as a large, shallow open-pitable deposit, with an initial JORC Indicated & Inferred Mineral Resource of 24.5Mt @ 6.0% TGC (Total Graphite Content). This Resource has been defined from only ~2% of the total tenement area which presents considerable upside potential ahead. Development of the resource is expected to benefit from a low strip ratio and free dig operations together with abundant inexpensive hydro-electric power off the national grid, thereby ensuring low operating costs. With all major infrastructure available at or near to site the capital costs will also be relatively low in comparison to most graphite peers.
#SVML Sovereign Metals Ltd – Kasiya Optimisation Advances to Pilot Phase
Sovereign Metals #SVML – KASIYA OPTIMISATION ADVANCES TO PILOT PHASE
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Sovereign to immediately commence a pilot mining and land rehabilitation program (“Pilot Phase”) at Kasiya as part of the ongoing Optimisation Study |
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Empirical data generated from the Pilot Phase will assist towards determining optimal excavation, material handling, processing, backfilling and rehabilitation approaches |
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Sovereign will excavate approximately 150,000 bench cubic metres of ore from a test pit over a three-month period using a combination of dry and hydraulic mining techniques |
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Excavated material will be processed on-site and at Sovereign’s laboratory in Malawi and will also provide additional bulk samples for graphite product qualification |
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The test pit will be backfilled, and multiple rehabilitation strategies will be implemented to demonstrate successful restoration of agricultural land |
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Demonstrates strong support for mining projects in Malawi with all required approvals and community permissions for the Pilot Phase obtained within three months |
Figure 1: Natural concentration of heavy minerals at surface at Kasiya (Source: C12 Consultants)
Managing Director Frank Eagar commented: “Advancing to a Pilot Phase is an important milestone for Kasiya. This covers the full spectrum of engineering and design, logistics, materials handling, water and environmental approvals, stakeholder engagement, livelihood restoration, tailings management and land rehabilitation. The successful permitting is a testament to the strong owner’s team we have assembled. We are progressing Kasiya into a totally new phase of development. The scale and results from this phase will significantly enhance our knowledge base from the previous laboratory-based studies. I want to thank the Malawi Government for an efficient approvals process, demonstrating just how important Kasiya is to all stakeholders.”
Classification 2.2: This announcement includes Inside Information
Sovereign Metals Limited (ASX:SVM; AIM:SVML) (the Company or Sovereign) is pleased to announce that the Company has initiated a Pilot Mining and Land Rehabilitation Program at its Kasiya Rutile-Graphite Project (Kasiya or Project) in Malawi.
The results will allow Sovereign to determine optimal excavation, backfill and land rehabilitation approaches. The Pilot Phase will be a demonstration to local communities of the successful rehabilitation of land for agricultural use post-mining. Results will also provide critical information for the upcoming Definitive Feasibility Study (DFS) and once commenced, it will shorten the time to its completion.
The objectives of the Pilot Phase include:
· Optimisation of mining methods by construction of a pilot-scale open pit close to the maximum depth of the current reserves at 20m;
· Scale-up of existing in-country processing capability by installation of commercial scale spirals to produce additional bulk samples for graphite product qualification;
· Optimising the tailings management and storage designs; and
· Optimising land rehabilitation, soil restoration and selection of revegetation species.
The commencement of the Pilot Phase follows the receipt within three months of all relevant approvals and permissions from the Malawi Environment Protection Authority (MEPA), National Water Resources Authority (NWRA), the Ministry of Mines, and the local community.
The Pilot Phase will be undertaken on a 9.9-hectare site and will include the following activities:
1. Test Pit: A test pit of 120m by 110m will be excavated to a depth of 20m, allowing optimisation of hydraulic and dry mining excavation methods.
2. Stockpiles: The excavated material will be temporarily stored in 4 stockpiles, namely all dry mining material, wet slimes (in a pond) and two sizes of sand fractions from the hydraulic mining.
3. Backfilling and Grading: The material will be placed back into the pit, and all areas will be graded.
4. Rehabilitation Demonstration: Sovereign will construct eight small rehabilitation demonstration pits covering a combined area of 100m by 130m. These will be used for water storage, excavated material storage, and demonstration of multiple rehabilitation approaches.
5. Temporary Laydown Areas: Four areas will be used as temporary laydown areas, offices, and associated infrastructure.
6. Communication: The Pilot Phase will be an educational opportunity for Project stakeholders. Sovereign will undertake a series of stakeholder visits and consultations for this purpose.
Kasiya is the world’s largest natural rutile deposit and the second-largest flake graphite deposit. Sovereign aims to develop a low-CO2 and sustainable operation to supply highly sought-after natural rutile and graphite to global markets.
Results of the PFS, released in late 2023, demonstrated Kasiya’s potential to become the world’s largest rutile producer at 222kt per annum and one of the world’s largest natural graphite producers (ex-China) at 244kt per annum.
The PFS delivered compelling economics with a post-tax NPV8 of US$1.6 Billion and a post-tax IRR of 28%. This long-life, multi-generational operation generates over US$16 Billion of revenue based on an initial 25-year life-of-mine and delivers an average annual EBITDA of US$415 Million per annum.
Pilot Phase Program Design
Activities have been designed to establish a 9.9-hectare site over the current Ore Reserve defined in the Kasiya PFS, covering a mineralised zone with soil conditions deemed representative of the overall Mineral Resource Estimate (MRE). Over approximately three months, Sovereign will excavate several test pits and collect geological and geotechnical samples. The main pit will be backfilled with dry material, while material from hydraulic mining will be used to fill the remaining pits as part of the rehabilitation phase.
Land rehabilitation will form an integral component of the DFS. Sovereign’s objective is to restore land after mining to conditions that achieve the same or better agricultural yields than existing land uses and crop yields. For this reason, the Company will undertake field-based demonstrations of rehabilitation showcasing drying times, soil recoveries, soil nutrients, growth variants, and including different soil inputs and revegetation methods.
Site Construction
Prior to the establishment of site infrastructure, eight boreholes have been permitted and drilled using a locally appointed drilling contractor. These boreholes will supply water to the site, which will be stored in a temporary water storage pond.
A perimeter fence will be erected around the site to maintain the necessary health and safety standards. Existing roads will be used for access to the site and, if required, improved through grading.
Temporary buildings such as offices and stores will be brought to the site on flatbed lorries and erected. To support pilot mining, two 1MW mobile diesel-powered electricity generators will be installed to provide the electricity required for high-pressure water monitors.
Pilot Mining
The main pit will be excavated using conventional load and haul to 20m depth to develop a sump to test hydraulic mining to the full depth of the current Ore Reserves. The excavated material will be temporarily stored in stockpiles.
On-Site Processing Facility
Material mined from the test pit will be processed on-site and at the Company’s laboratory facility in Lilongwe. As previously announced (Please refer to announcement dated 1 May 2024 entitled “Sovereign to Increase Bulk Sample Preparation Capacity”), as part of the Pilot Phase, a commercial-scale spiral plant will be installed at site in Malawi.
Rutile and graphite concentrate samples generated from the Pilot Phase will be shared with potential off-takers and end-users, and used for further testwork as part of the Company’s graphite commercialisation strategy.
Rehabilitation Phase
This phase will consist of establishing a strong soils baseline, backfilling of the test pit with different soil compositions, rehabilitation tests, revegetation with plants, and the improvement of soil conditions post-mining.
Regular monitoring and evaluation of the rehabilitation activities will be undertaken to assess the progress of vegetation growth and soil stabilisation. Following the conclusion of the rehabilitation, the proposed project site will be returned to farmland.
Figure 2: Site layout
Permitting
Permissions for the Pilot Phase were received following the successful submission of an Environmental and Social Management Plan to MEPA. Sovereign is committed to the responsible development of Kasiya. The Pilot Phase will be undertaken in accordance with Malawian Law and IFC Performance Standards, which will include protecting local communities and the natural environment.
ENQUIRIES
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Frank Eagar (South Africa/Malawi) +61(8) 9322 6322 |
Sam Cordin (Perth) |
Sapan Ghai (London)
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Nominated Adviser on AIM and Joint Broker |
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SP Angel Corporate Finance LLP |
+44 20 3470 0470 |
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Ewan Leggat Charlie Bouverat |
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Joint Brokers |
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Stifel |
+44 20 7710 7600 |
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Varun Talwar |
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Ashton Clanfield |
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Berenberg |
+44 20 3207 7800 |
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Matthew Armitt |
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Jennifer Lee |
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Buchanan |
+ 44 20 7466 5000 |
#SVML Sovereign Metals LTD – Downstream Testwork Shows High Quality Graphite
DOWNSTREAM TESTWORK DEMONSTRATES HIGH QUALITY GRAPHITE FOR LITHIUM-ION BATTERIES
· Spherical Purified Graphite (SPG) with world-leading specifications successfully produced from Kasiya
· Kasiya’s spherical graphite purification demonstrated exceptionally low levels of residual impurities achieving a 99.99% loss-on-ignition (LOI)
· Kasiya SPG demonstrated all required parameters within industry standards with spheronisation yields of up to 68% with further scope to optimise in future testwork
· Testwork was undertaken as part of the Company’s graphite strategy to qualify and commercialise graphite concentrate for use in the lithium-ion battery sector
Sovereign Metals Limited (ASX:SVM; AIM:SVML) (the Company or Sovereign) is pleased to announce the results of downstream testwork conducted at leading, independent consultancy ProGraphite GmbH (ProGraphite) in Germany.
Sovereign provided Kasiya graphite concentrate to ProGraphite to produce and characterise coated spherical purified graphite (CSPG) active anode material for lithium-ion batteries. The overall program includes shaping and purification to produce SPG, coating of the material to produce CSPG and evaluation of the electrochemical performance of Kasiya CSPG in a battery. The initial steps of shaping and purification to produce SPG have now been completed with the results showing Kasiya SPG has world-leading specifications.
This SPG material is now undergoing coating and electrochemical testing to characterise CSPG active anode material for lithium-ion batteries.
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Table 1: Spherical Graphite Purification Results |
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SVM Spherical graphite <180 µm concentrate |
SVM Spherical graphite >180 µm concentrate |
Chinese |
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LOI Purity (%) |
99.99% |
99.99% |
>99.95% |
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Fe |
4.4 ppm |
3.3 ppm |
<30 ppm |
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Na |
<1.0 ppm |
<1.1 ppm |
<10 ppm |
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Cr |
1.1 ppm |
0.4 ppm |
<10 ppm |
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Cu |
0.7 ppm |
0.2 ppm |
<10 ppm |
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Ni |
<0.3 ppm |
<0.4 ppm |
<10 ppm |
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Al |
6.6 ppm |
8.8 ppm |
<10 ppm |
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Mo |
<0.3 ppm |
<0.3 ppm |
<10 ppm |
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Si |
7 ppm |
10 ppm |
<30 ppm |
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Ca |
4.3 ppm |
8.4 ppm |
<10 ppm |
1. National Standard of China – Spherical Graphite (GB/T 38887-2020)
The micronisation and spheronisation of Kasiya graphite concentrates achieved excellent yields to spherical graphite for the coarse concentrate and typical yields to spherical graphite for the fines concentrate, with room for further optimisation. The spherical graphite from the fine graphite concentrate in particular exhibited a narrow particle size distribution (D90/D10) ratio and both spherical graphite have reasonable Tap Density and typical BET for uncoated graphite. Coating of the graphite is expected to improve (increase) the tap density and improve (lower) the BET specific surface area.
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Table 2: Concentrate Shaping into Spherical Graphite Results |
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Kasiya Concentrate |
Kasiya Concentrate |
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D50 (microns) |
16.53 |
17.74 |
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D90/D10 Ratio |
2.29 |
2.96 |
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Yield to Spherical Graphite |
40% |
68% |
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Tap Density (g/cm3) |
0.93 |
0.93 |
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BET Specific Surface Area (m2/g) |
7.73 |
6.72 |
The spherical graphite products were purified with commercially proven acids purification and achieved excellent results with an exceptionally high LOI purity of 99.99%. Assays on key trace elements (Fe, Na, Cr, Cu, Al, Mo) show very low levels.
Further, the low Si and Ca results highlight that high quality Kasiya graphite is well-suited to single stage acids purification. Aggressive dosing in acids purification can result in elevated Ca levels due to precipitation of CaF2, necessitating multiple stages of purification to reduce both Si and Ca impurities. These initial purification results indicate that a single purification stage is sufficient for Kasiya graphite concentrate.
The SPG samples will undergo coating and electrochemical tests to provide baseline data for offtake discussions. The results of these tests are expected in the coming weeks.
Managing Director Frank Eagar commented: “These results clearly demonstrate that Kasiya has the potential to disrupt the China dominated graphite supply chain as a long term, secure source of high quality graphite ex-China. We believe Kasiya graphite will have industry low operating costs and is also one of the largest graphite resources globally holding a significant advantage over its graphite peers. We are very pleased to achieve these outstanding results at this stage of the program and will continue fast tracking our graphite product development and qualification campaign.”
Classification 2.2: This announcement includes Inside Information
ENQUIRIES
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Frank Eagar (South Africa/Malawi) +61(8) 9322 6322 |
Sam Cordin (Perth) |
Sapan Ghai (London)
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Nominated Adviser on AIM and Joint Broker |
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SP Angel Corporate Finance LLP |
+44 20 3470 0470 |
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Ewan Leggat Charlie Bouverat |
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Joint Brokers |
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Stifel |
+44 20 7710 7600 |
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Varun Talwar |
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Ashton Clanfield |
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Berenberg |
+44 20 3207 7800 |
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Matthew Armitt |
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Jennifer Lee |
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Buchanan |
+ 44 20 7466 5000 |
Competent Person Statement
The information in this report that relates to Metallurgical Testwork is based on information compiled by Dr Surinder Ghag, PhD., B. Eng, MBA, M.Sc., who is a Member of the Australasian Institute of Mining and Metallurgy (MAusIMM). Dr Ghag is engaged as a consultant by Sovereign Metals Limited. Dr Ghag 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’. Dr Ghag consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
The information in this report that relates to Exploration Results is based on information compiled by Mr Samuel Moyle, a Competent Person who is a member of The Australasian Institute of Mining and Metallurgy (AusIMM). Mr Moyle is the Exploration Manager of Sovereign Metals Limited and a holder of ordinary shares and unlisted performance rights in Sovereign Metals Limited. Mr Moyle has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken, 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’. Mr Moyle consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
Forward Looking Statement
This release may include forward-looking statements, which may be identified by words such as “expects”, “anticipates”, “believes”, “projects”, “plans”, and similar expressions. These forward-looking statements are based on Sovereign’s expectations and beliefs concerning future events. Forward looking statements are necessarily subject to risks, uncertainties and other factors, many of which are outside the control of Sovereign, which could cause actual results to differ materially from such statements. There can be no assurance that forward-looking statements will prove to be correct. Sovereign makes no undertaking to subsequently update or revise the forward-looking statements made in this release, to reflect the circumstances or events after the date of that release.
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 (‘MAR’). Upon the publication of this announcement via Regulatory Information Service (‘RIS’), this inside information is now considered to be in the public domain.
#SVML Sovereign Metals Ltd – Testwork Delivers Superior Quality Graphite
Graphite circuit feed prepared at Sovereign’s existing Lilongwe laboratory facility has produced high quality concentrates in benchtop and pilot-scale flotation and cleaning
· Four independent laboratories all successfully produced high-grade graphite concentrate averaging over 97% Total Graphite Content (TGC) with flotation recoveries exceeding 90%
· Flotation results demonstrated 1.44% TGC run-of-mine Kasiya ore upgrades to more than 55% TGC rougher concentrate without crushing or milling, process steps typically required for producing graphite concentrates from hard-rock deposits; contributing to the unique low cost characteristics of Kasiya’s saprolite hosted graphite
· Graphite concentrates indicate exceptionally low levels of sulphur compared to typical hard-rock graphite peers – a key metric to qualify as active anode material for lithium-ion batteries
· Results are part of ongoing testwork being undertaken as part of the Company’s graphite marketing and active anode qualification strategy, supervised by Dr Surinder Ghag
· Downstream testwork to produce and characterise Coated Spherical Purified Graphite (CSPG) active anode material continues at German graphite consultancy ProGraphite GmbH
Sovereign Metals Limited (ASX:SVM; AIM:SVML) (the Company or Sovereign) is pleased to announce the results of graphite testwork completed at multiple independent laboratories in Australia, Canada and South Africa.
Graphite flotation and cleaning testwork was conducted on graphite circuit feed from Sovereign’s Kasiya Rutile-Graphite Project (Kasiya or Project) at four different laboratories, which all successfully produced high-grade graphite concentrate (94.9%-97.8% TGC) at high flotation recoveries (91.2%-97.2%).
The testwork demonstrated excellent results using a conventional flowsheet that was consistent across all laboratories, thus confirming Sovereign’s ability to produce a high quality graphite concentrate.
Managing Director Frank Eagar commented: “Our ability to upgrade Kasiya ore at 1.4% graphite to a 55% rougher concentrate without any crushing or milling, highlights more of the unique qualities of Kasiya. There are very limited other graphite projects with these characteristics. The pilot-scale results also confirm that Kasiya produces high-grade concentrates with very low sulphur levels at high recoveries. Simply put, Kasiya will be a standout producer of high-quality graphite concentrate at industry low operating costs.”
Classification 2.2: This announcement includes Inside Information
ENQUIRIES
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Frank Eagar (South Africa/Malawi) +61(8) 9322 6322 |
Sam Cordin (Perth) |
Sapan Ghai (London)
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Nominated Adviser on AIM and Joint Broker |
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SP Angel Corporate Finance LLP |
+44 20 3470 0470 |
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Ewan Leggat Charlie Bouverat |
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Joint Brokers |
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Stifel |
+44 20 7710 7600 |
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Varun Talwar |
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Ashton Clanfield |
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Berenberg |
+44 20 3207 7800 |
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Matthew Armitt |
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Jennifer Lee |
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Buchanan |
+ 44 20 7466 5000 |
The graphite circuit feed provided to the various laboratories was produced at the Company’s existing laboratory facility in Lilongwe, Malawi, where it was screened and separated over a wet shaking table.
Figure 1: Holman Wilfley 2000 wet shaking table in action demonstrating clear separation between Rutile HM, waste and Graphite
The graphite feed grades of 3.5%-4.0% TGC to the graphite circuit are significantly higher than the Mineral Resource Grade of 1.44%, highlighting the ~2.4-2.8-fold upgrading of graphite grades when ROM ore passes through the front-end rutile gravity separation circuit.
This demonstrates the ease of separating the rutile heavy mineral and graphite streams from the front end of the Kasiya Pre-feasibility Study process flowsheet. Subsequently, the two product streams pass into distinct, industry-standard, final product flowsheets. This further highlights the commercial benefits of having both rutile and graphite mineralisation co-existent in the same soft saprolite-hosted orebody.
The first stage of upgrading the graphite feed, rougher flotation, achieved very high rejection (>90%) of waste materials to rougher tails, producing a rougher concentrate with more than 55% TGC and very high recoveries (94%-98%) in laboratory scale testing consistently across all four laboratories. Upgrading the graphite feed at very high recoveries and rejection of non-graphitic minerals without run-of-mine milling is another of Kasiya’s significant advantages, supporting the lowest cost graphite production.
The rougher concentrate was further upgraded through laboratory scale flotation, cleaning and polishing stages, producing high-grade concentrates at high graphite circuit recoveries.
Figure 2: High-level process flowsheet for rutile and graphite production at Kasiya
Pilot-scale testwork confirmed the laboratory-scale results with >90% TGC recovery to high-grade graphite concentrates (<180-micron concentrate at 96.9% TGC and >180-micron concentrate at 97.2% TGC).
Figure 3: Graphite flotation test work at Australia-based ALS Global
HIGHLY FAVOURABLE IMPURITY PROFILE
Kasiya concentrates have very low levels of sulphur. Sulphur can be difficult to remove in the purification processes required to produce anode materials. Other major impurities important for anode material purification processes are iron (Fe), silicon (Si) and aluminium (Al). The Kasiya material has exceptionally low levels of all of these impurities. Benchmarked against the Chinese Standard (China dominates the supply of graphite for battery anodes) this could potentially lead to significant commercial advantages during purification and Kasiya’s potential as a long term secure source of graphite ex-China.
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Kasiya |
Benchmarks |
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Concentrate |
Concentrate |
Combined |
China |
Example Chinese Product 2 |
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Graphite (TGC%) |
96.9% |
97.2% |
97.0% |
>94% |
96.0% |
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Sulphur (S) (%) |
<0.02% |
<0.02% |
<0.02% |
<0.5% |
0.23% |
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Iron (Fe) (%) |
0.48% |
0.46% |
0.47% |
<1.00% |
0.55% |
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Silicon (Si) (%) |
0.60% |
0.80% |
0.68% |
n/d |
1.25% |
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Aluminium (Al) (%) |
0.24% |
0.28% |
0.26% |
n/d |
0.38% |
1. National Standard of China – Flake Graphite (GB/T 3518-2023)
2. Asbury Carbons – A Study Comparing the Performance of Natural Flake Graphite from Two Different Geographical Regions (https://asbury.com/media/1170/a-study-comparing-the-performance-of-natural-flake-graphite.pdf)
CONTINUING DOWNSTREAM TEST WORK
Kasiya concentrate has been sent for downstream testwork at respected graphite consultancy ProGraphite to produce and characterise CSPG active anode material for lithium-ion batteries. ProGraphite is conducting shaping, purification, and coating testwork to produce CSPG and evaluate the electrochemical performance of Kasiya CSPG. This will provide baseline data for further optimisation and engagement with off-takers. Initial outcomes of this test work are expected to be released in the coming weeks.
Competent Person Statement
The information in this report that relates to Metallurgical Testwork is based on information compiled by Dr Surinder Ghag, PhD., B. Eng, MBA, M.Sc., who is a Member of the Australasian Institute of Mining and Metallurgy (MAusIMM). Dr Ghag is engaged as a consultant by Sovereign Metals Limited. Dr Ghag 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’. Dr Ghag consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
The information in this report that relates to Exploration Results is based on information compiled by Mr Samuel Moyle, a Competent Person who is a member of The Australasian Institute of Mining and Metallurgy (AusIMM). Mr Moyle is the Exploration Manager of Sovereign Metals Limited and a holder of ordinary shares and unlisted performance rights in Sovereign Metals Limited. Mr Moyle has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken, 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’. Mr Moyle consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
The information in this announcement that relates to the Mineral Resource Estimate is extracted from an announcement dated 5 April 2023 entitled ‘Kasiya Indicated Resource Increased by over 80%’ which is available to view at www.sovereignmetals.com.au and is based on, and fairly represents information compiled by Mr Richard Stockwell, a Competent Person, who is a fellow of the Australian Institute of Geoscientists (AIG). Mr Stockwell is a principal of Placer Consulting Pty Ltd, an independent consulting company. The original announcement is available to view on www.sovereignmetals.com.au. Sovereign confirms that a) it is not aware of any new information or data that materially affects the information included in the original announcement; b) all material assumptions included in the original announcement continue to apply and have not materially changed; and c) the form and context in which the relevant Competent Persons’ findings are presented in this announcement have not been materially changed from the original announcement.
The information in this announcement that relates to Production Targets, Ore Reserves, Processing, Infrastructure and Capital Operating Costs, Metallurgy (rutile and graphite) is extracted from an announcement dated 28 September 2023 entitled ‘Kasiya Pre-Feasibility Study Results’ which is available to view at www.sovereignmetals.com.au. Sovereign confirms that: a) it is not aware of any new information or data that materially affects the information included in the original announcement; b) all material assumptions and technical parameters underpinning the Production Target, and related forecast financial information derived from the Production Target included in the original announcement continue to apply and have not materially changed; and c) the form and context in which the relevant Competent Persons’ findings are presented in this presentation have not been materially modified from the original announcement.
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Ore Reserve for the Kasiya Deposit |
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||||||
|
Classification |
Tonnes |
Rutile Grade |
Contained Rutile |
Graphite Grade (TGC) (%) |
Contained Graphite |
RutEq. Grade* |
|
|
Proved |
– |
– |
– |
– |
– |
– |
|
|
Probable |
538 |
1.03% |
5.5 |
1.66% |
8.9 |
2.00% |
|
|
Total |
538 |
1.03% |
5.5 |
1.66% |
8.9 |
2.00% |
|
* RutEq. Formula: Rutile Grade x Recovery (100%) x Rutile Price (US$1,484/t) + Graphite Grade x Recovery (67.5%) x Graphite Price (US$1,290/t) / Rutile Price (US$1,484/t). All assumptions are taken from the PFS ** Any minor summation inconsistencies are due to rounding
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Kasiya Total Indicated + Inferred Mineral Resource Estimate at 0.7% rutile cut-off grade |
|||||
|
Classification |
Resource |
Rutile Grade |
Contained Rutile |
Graphite Grade (TGC) (%) |
Contained Graphite |
|
Indicated |
1,200 |
1.0% |
12.2 |
1.5% |
18.0 |
|
Inferred |
609 |
0.9% |
5.7 |
1.1% |
6.5 |
|
Total |
1,809 |
1.0% |
17.9 |
1.4% |
24.4 |
Forward Looking Statement
This release may include forward-looking statements, which may be identified by words such as “expects”, “anticipates”, “believes”, “projects”, “plans”, and similar expressions. These forward-looking statements are based on Sovereign’s expectations and beliefs concerning future events. Forward looking statements are necessarily subject to risks, uncertainties and other factors, many of which are outside the control of Sovereign, which could cause actual results to differ materially from such statements. There can be no assurance that forward-looking statements will prove to be correct. Sovereign makes no undertaking to subsequently update or revise the forward-looking statements made in this release, to reflect the circumstances or events after the date of that release.
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 (‘MAR’). Upon the publication of this announcement via Regulatory Information Service (‘RIS’), this inside information is now considered to be in the public domain.
#SVML Sovereign Metals LTD – Increased Graphite Bulk Sample Capacity
Industrial scale spiral concentrator to be installed at Sovereign’s expanded laboratory and testing facility in Lilongwe in coming weeks
· Spiral throughput capacity of up to 10 tonnes per hour of ore for graphite and rutile sample preparation
· Installation and commissioning led by Sovereign’s Head of Project Development, Mr Paul Marcos, who previously worked for Base Resources on their Kwale and Toliara projects and for Iluka Resources across various mineral sands operations
· Final graphite concentrate for bulk sample battery anode testwork and qualification advancing under the supervision of Sovereign’s Chief Technology Officer – Graphite, Dr Surinder Ghag
· Sovereign is targeting a market-leading position as the world’s largest and lowest-cost producer of rutile for the titanium industry, and flake graphite for the lithium-ion battery market
Sovereign Metals Limited (ASX:SVM; AIM:SVML) (the Company or Sovereign) is pleased to announce that following the appointment of graphite specialist Dr Surinder Ghag as Chief Technology Officer – Graphite, the Company will be increasing graphite pre-concentrate sample preparation from its existing testing facility in Lilongwe, Malawi.
In the coming weeks, Sovereign will install and commission a spiral concentrator containing industrial-scale MG12 spiral equipment at the Company’s laboratory and testing facility in Lilongwe, enabling the preparation of rutile concentrate and graphite circuit feed from its Kasiya Rutile-Graphite Project (Kasiya or Project) at a bulk scale. The graphite circuit feed will be sent to specialised laboratories where flotation, purification, spheronisation and coating testwork for the battery anode segment will take place in line with Sovereign’s strategy to commercialise Kasiya’s graphite by-product.
Managing Director Frank Eagar commented: “The intellectual property that Dr Ghag and Mr Marcos bring to Sovereign has meant that we can expand and expedite our graphite commercialisation strategy significantly. The infrastructure, along with the ability to provide large amounts of graphite concentrate to the lithium-ion battery industry for battery anode product qualification, offers Sovereign a big advantage. With a world-class team in place and alongside our strategic investors, Rio Tinto, Kasiya is moving ahead at a considerable pace.”
The spiral concentrator is currently in its final stages of testing at engineering consultancy Paterson & Cooke’s Cape Town laboratory, after which it will be dispatched to Lilongwe, Malawi. The spiral is identical size and scale to that designed in the Pre-feasibility Study flowsheet for the Kasiya Rutile-Graphite Project and will have a throughput capacity of up to 10 tonnes of ore per hour for sample preparation.
Sovereign’s Head of Project Development, Mr Paul Marcos, has led the spiral installation project. Mr Marcos has 30 years of mineral sands operations, engineering, and consulting expertise. Before joining Sovereign in July 2021, Mr Marcos spent over ten years working on Base Resources Limited (Base) projects both in a design role with Ausenco and then on Base’s owner’s team.
Mr Marcos was involved with the original Kwale Project and then Kwale North and Kwale Phase 2 Projects in Kenya and also the Toliara Project’s Scoping, Pre-Feasibility and Definitive Feasibility Studies in Madagascar. Between 1996 and 2004, Mr Marcos worked at major mineral sands producer Iluka Resources Limited in a number of production, mineral processing and project development roles.
Sovereign’s newly appointed graphite specialist Chief Technology Officer – Graphite, Dr Surinder Ghag, will be responsible for graphite testwork programs and product qualification. A highly qualified metallurgist, Surinder brings over 25 years of industry experience, including developing graphite test work programs, ore-to-anode graphite strategies, anode plant feasibility studies, and project development and commissioning.
Figure 1: Final stages of assembling the spiral plant at Paterson & Cooke, South Africa
Classification 2.2: This announcement includes Inside Information
ENQUIRIES
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Frank Eagar (South Africa/Malawi) +61(8) 9322 6322 |
Sam Cordin (Perth) |
Sapan Ghai (London)
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Nominated Adviser on AIM and Joint Broker |
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SP Angel Corporate Finance LLP |
+44 20 3470 0470 |
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Ewan Leggat Charlie Bouverat |
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Joint Brokers |
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Stifel |
+44 20 7710 7600 |
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Varun Talwar |
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Ashton Clanfield |
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Berenberg |
+44 20 3207 7800 |
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Matthew Armitt |
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Jennifer Lee |
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Buchanan |
+ 44 20 7466 5000 |
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 (‘MAR’). Upon the publication of this announcement via Regulatory Information Service (‘RIS’), this inside information is now considered to be in the public domain.
Forward Looking Statement
This release may include forward-looking statements, which may be identified by words such as “expects”, “anticipates”, “believes”, “projects”, “plans”, and similar expressions. These forward-looking statements are based on Sovereign’s expectations and beliefs concerning future events. Forward looking statements are necessarily subject to risks, uncertainties and other factors, many of which are outside the control of Sovereign, which could cause actual results to differ materially from such statements. There can be no assurance that forward-looking statements will prove to be correct. Sovereign makes no undertaking to subsequently update or revise the forward-looking statements made in this release, to reflect the circumstances or events after the date of that release.
Sovereign Metals #SVML – Graphite Expert Appointed to Kasiya Development Team
Sovereign Metals Limited (ASX:SVM; AIM:SVML) (the Company or Sovereign) is pleased to announce the appointment of consultant Dr Surinder Ghag to Sovereign’s owner’s team as Chief Technology Officer – Graphite. Dr Ghag will assist Sovereign’s graphite strategy in qualifying the graphite product from its Kasiya Rutile-Graphite Project (Kasiya or Project) for lithium-ion battery anodes.
A highly qualified metallurgist, Dr Ghag brings 25 years of industry experience including developing graphite test work programs, ore-to-anode graphite strategies, anode plant feasibility studies, and project development and commissioning. Recently, Dr Ghag was instrumental in developing an environmentally friendly and commercially viable method for purifying graphite, working alongside the Australian Government scientific research entity CSIRO (Commonwealth Scientific and Industrial Research Organisation). Prior to his work in graphite, Dr Ghag’s work included process engineering at various Australian mineral sands operations.
A major component of graphite sales agreements is customer qualification. As Chief Technology Officer- Graphite, Dr Ghag will be responsible for designing and delivering graphite downstream test work programs to be aligned with graphite product development and qualification as Sovereign continues discussions with battery anode processors, end-users, and potential future offtake partners.
Upon the appointment, Managing Director Frank Eagar commented:
“I am pleased to welcome Dr Ghag as we continue to strengthen our owner’s team in preparation for project execution. Kasiya will deliver the world’s lowest cost, lowest carbon footprint graphite. Dr Ghag joining Sovereign will significantly enhance our graphite metallurgical expertise and understanding of the downstream market to translate Kasiya’s bottom-of-the-cost curve advantage into significant active anode market capture.”
Previously reported initial characterisation test work on Kasiya’s graphite has indicated excellent suitability for use in lithium-ion batteries with high purity and high crystallinity being the key features (see ASX announcement from 8 June 2023: Kasiya Graphite Shows Excellent Suitability For Use in Lithium Ion Batteries,https://www.investi.com.au/api/announcements/svm/fe3830af-843.pdf).
Additional spheronisation and purification testwork is presently underway at a leading German graphite laboratory to validate key parameters at a larger scale with results imminent.
Furthermore, Sovereign is currently undertaking a graphite bulk sampling program to produce large quantities of flake graphite product for further downstream test work and initial product qualification to support ongoing discussions with battery anode processors, end-users, and potential future offtake partners.
BACKGROUND TO KASIYA’S MARKET-LEADING GRAPHITE POTENTIAL
Kasiya is the world’s largest known rutile (titanium) deposit hosting a JORC-Compliant Mineral Resource Estimate (MRE) of 17.9Mt. It is also one of the largest known flake graphite resources with a MRE of 24.4Mt.
Sovereign’s Prefeasibility Study (PFS) confirmed Kasiya as a potential major critical minerals project with an extremely low CO2footprint delivering significant long-term volumes of natural rutile (the highest-grade, purest, natural titanium feedstock) and graphite (a key component of an electric vehicle battery) while generating significant economic returns. Both titanium and natural graphite are critical to several of the world’s economies as well as crucial to decarbonisation solutions required to meet “Net-Zero” and other targets set by policymakers.
The PFS confirmed Kasiya’s potential to be the world’s largest natural graphite producer at 244kt per annum of graphite concentrate. On an incremental cost basis, Kasiya would also be the world’s lowest-cost graphite producer at US$182 per tonne (FOB Nacala).
In June 2023, downstream test work on Kasiya’s graphite demonstrated it to have superior qualities, showing excellent suitability for use in lithium-ion batteries. In July 2023, Rio Tinto invested A$40.4 million in Sovereign resulting in an initial 15% shareholding. Under the Investment Agreement, Sovereign and Rio Tinto will work together to qualify Kasiya’s graphite product with a particular focus on supplying the spherical purified graphite segment of the lithium-ion battery anode market.
ENQUIRIES
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Frank Eagar (South Africa/Malawi) +61(8) 9322 6322 |
Sam Cordin (Perth) |
Sapan Ghai (London)
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Nominated Adviser on AIM and Joint Broker |
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SP Angel Corporate Finance LLP |
+44 20 3470 0470 |
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Ewan Leggat Charlie Bouverat |
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Joint Brokers |
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Stifel |
+44 20 7710 7600 |
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Varun Talwar |
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Ashton Clanfield |
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Berenberg |
+44 20 3207 7800 |
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Matthew Armitt |
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Jennifer Lee |
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Buchanan |
+ 44 20 7466 5000 |
#SVML Sovereign Metals LTD – Follow-Up Drilling Initiated North of Kasiya
FOLLOW-UP DRILLING INITIATED NORTH OF KASIYA RESOURCE AREA
· Wide-spaced regional follow-up drilling for the Kasiya Project underway focusing on the region to the north of the current resource footprint, with results from the drill program expected in the coming weeks
· Recently reported reconnaissance drilling to the south identified an 8km extension of mineralisation which remains open along strike and at depth
· Kasiya is already the largest natural rutile deposit and second-largest flake graphite deposit in the world
· Kasiya’s current MRE of 1.8 Billion tonnes at 1.0% rutile and 1.4% graphite comprises broad and contiguous zones of high-grade rutile and graphite that occur across an area of over 201km2
· Optimisation program for the Kasiya Project continues in conjunction with our strategic investor, Rio Tinto
Sovereign Metals Limited (ASX:SVM; AIM:SVML) (the Company or Sovereign) is pleased to report that the Company has initiated a follow-up 400 metre spaced drill program at its tier one Kasiya Rutile-Graphite Project (Kasiya) in Malawi. The program will focus on determining the boundaries and extent of mineralisation north of the known Mineral Resource Estimate (MRE) area.
The 70+ hole hand-auger drill program has been designed to target areas where mineralisation was identified in earlier wide-spaced regional hand-auger drilling. The target area is up to 20km north of the current MRE boundary. Drilling is currently underway and will be completed in the coming weeks. Four hand-auger teams have been deployed under the supervision of Sovereign’s in-country technical team.
Samples will be initially processed in the Company’s Lilongwe own lab facility and then shipped for final analysis at certified international laboratories. Results from the drill program are expected in the coming weeks.
SOUTHERN EXTENSION
In February 2024, the Company announced regional hand-auger drilling south of the Kasiya MRE footprint had identified significant strike extensions of approximately 8km across a number of parallel mineralised zones ranging from 400m to 2km in width.
All newly defined mineralisation in the south remains open at depth due to the limitations of the hand-auger drilling method but are expected to continue to the saprock boundary normally between 20 and 30 vertical metres from surface. The multiple mineralised zones identified remain open along strike both to the north and south.
These results indicate the potential to expand the already significant, high-grade rutile and graphite MRE at Kasiya.
Figure 1: Southern mineralised extensions at Kasiya
ENQUIRIES
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Frank Eagar (South Africa/Malawi) +61(8) 9322 6322 |
Sam Cordin (Perth) |
Sapan Ghai (London)
|
|
Nominated Adviser on AIM and Joint Broker |
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SP Angel Corporate Finance LLP |
+44 20 3470 0470 |
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Ewan Leggat Charlie Bouverat Harry Davies-Ball |
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Joint Brokers |
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Stifel |
+44 20 7710 7600 |
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Varun Talwar |
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Ashton Clanfield |
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Berenberg |
+44 20 3207 7800 |
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Matthew Armitt |
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Jennifer Lee |
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Buchanan |
+ 44 20 7466 5000 |
Competent Person Statement
The information in this announcement that relates to the Exploration Results is extracted from the announcement dated 1 February 2024 entitled ‘Extensions to Rutile & Graphite Mineralisation at Kasiya’. which is available to view at www.sovereignmetals.com.au. Sovereign confirms that a) it is not aware of any new information or data that materially affects the information included in the original announcement; b) all material assumptions included in the original announcement continue to apply and have not materially changed; and c) the form and context in which the relevant Competent Persons’ findings are presented in this announcement have not been materially changed from the original announcement.
The information in this announcement that relates to the Mineral Resource Estimate is extracted from an announcement dated 5 April 2023 entitled ‘Kasiya Indicated Resource Increased by over 80%’ which is available to view at www.sovereignmetals.com.au and is based on, and fairly represents information compiled by Mr Richard Stockwell, a Competent Person, who is a fellow of the Australian Institute of Geoscientists (AIG). Mr Stockwell is a principal of Placer Consulting Pty Ltd, an independent consulting company. The original announcement is available to view on www.sovereignmetals.com.au. Sovereign confirms that a) it is not aware of any new information or data that materially affects the information included in the original announcement; b) all material assumptions included in the original announcement continue to apply and have not materially changed; and c) the form and context in which the relevant Competent Persons’ findings are presented in this announcement have not been materially changed from the original announcement.
The information in this announcement that relates to Production Targets, Ore Reserves, Processing, Infrastructure and Capital Operating Costs, Metallurgy (rutile and graphite) is extracted from an announcement dated 28 September 2023 entitled ‘Kasiya Pre-Feasibility Study Results’ which is available to view at www.sovereignmetals.com.au and is based on, and fairly represents information compiled by . Sovereign confirms that: a) it is not aware of any new information or data that materially affects the information included in the original announcement; b) all material assumptions and technical parameters underpinning the Production Target, and related forecast financial information derived from the Production Target included in the original announcement continue to apply and have not materially changed; and c) the form and context in which the relevant Competent Persons’ findings are presented in this presentation have not been materially modified from the original announcement.
|
Ore Reserve for the Kasiya Deposit |
|
||||||
|
Classification |
Tonnes |
Rutile Grade |
Contained Rutile |
Graphite Grade (TGC) (%) |
Contained Graphite |
RutEq. Grade* |
|
|
Proved |
– |
– |
– |
– |
– |
– |
|
|
Probable |
538 |
1.03% |
5.5 |
1.66% |
8.9 |
2.00% |
|
|
Total |
538 |
1.03% |
5.5 |
1.66% |
8.9 |
2.00% |
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* RutEq. Formula: Rutile Grade x Recovery (100%) x Rutile Price (US$1,484/t) + Graphite Grade x Recovery (67.5%) x Graphite Price (US$1,290/t) / Rutile Price (US$1,484/t). All assumptions are taken from the PFS ** Any minor summation inconsistencies are due to rounding
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Kasiya Total Indicated + Inferred Mineral Resource Estimate at 0.7% rutile cut-off grade |
|||||
|
Classification |
Resource |
Rutile Grade |
Contained Rutile |
Graphite Grade (TGC) (%) |
Contained Graphite |
|
Indicated |
1,200 |
1.0% |
12.2 |
1.5% |
18.0 |
|
Inferred |
609 |
0.9% |
5.7 |
1.1% |
6.5 |
|
Total |
1,809 |
1.0% |
17.9 |
1.4% |
24.4 |
Forward Looking Statement
This release may include forward-looking statements, which may be identified by words such as “expects”, “anticipates”, “believes”, “projects”, “plans”, and similar expressions. These forward-looking statements are based on Sovereign’s expectations and beliefs concerning future events. Forward looking statements are necessarily subject to risks, uncertainties and other factors, many of which are outside the control of Sovereign, which could cause actual results to differ materially from such statements. There can be no assurance that forward-looking statements will prove to be correct. Sovereign makes no undertaking to subsequently update or revise the forward-looking statements made in this release, to reflect the circumstances or events after the date of that release.
#SVML Sovereign Metals LTD – Capabilities Strengthened with Key Appointments
Sovereign Metals Limited (ASX:SVM; AIM:SVML) (the Company or Sovereign) is pleased to announce three senior appointments and promotions across key legal, permitting, and technical functions in Malawi. The appointments have strengthened the Company’s in-country capabilities as it continues to advance its Kasiya Rutile-Graphite Project (Kasiya).
Mr Maxwell Kazako has been appointed Acting In-Country Manager following the promotion of Frank Eagar to Managing Director. Mr Kazako has a strong background in human resources management, general administration and government relations. He brings over 18 years of experience to the role, having worked across Malawian commerce and industry, including for First Merchant Bank and Malawian Airlines.
Ms Natasha Namisengo has been appointed General Legal Counsel. Ms Namisengo is a qualified lawyer with a Bachelor of Laws (Hons) and is admitted to practice in the Supreme Court of Malawi. She also holds a Master’s in Business Administration (MBA). Ms Namisengo has prior experience acting as legal counsel and in company secretary roles in Malawi.
Mr Pilirani Bangula has been appointed Legal Counsel – Compliance. Mr Bangula is a qualified lawyer with 12 years of experience as a legal practitioner, including five years specifically as in-house legal counsel. Mr Bangula has wide-ranging experience in compliance, project oversight and risk management, contract negotiation, and policy drafting.
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Figure 1: (left to right) Mr Maxwell Kazako, Acting In-Country Manager, Ms Natasha Namisengo, General Legal Counsel and Mr Pilirani Bangula, Legal Counsel – Compliance
The Company has also promoted Ms Tupoche Kayange to Laboratory Manager in line with its employee training and development program. Ms Kayange has been instrumental in developing and managing the Company’s laboratory facility in Lilongwe, Malawi. Recently, Ms Kayange led the facility’s expansion and commissioning of new equipment to support bulk sample programs that are currently underway.
Figure 2: Ms Tupoche Kayange, Laboratory Manager at the Company’s facility in Lilongwe, Malawi
Sovereign understands Kasiya’s significant potential to deliver material and long-lasting social and economic benefits for Malawi, including fiscal returns, job creation, skills transfer, and sustainable community development initiatives. Sovereign also recognises the importance of training programs to enhance the capabilities of its employees. The Company has structured training and skills transfer programs, covering on-the-job training for full-time employees and programs for local graduates and interns.
These appointments and promotions align with the Company’s initial targets, ensuring equal opportunity and fairness in employing a diverse workforce and Malawian nationals where possible. Sovereign employs over 80 individuals in Malawi, with at least 30% of the staff being women.
ENQUIRIES
|
Frank Eagar (South Africa/Malawi) +61(8) 9322 6322 |
Sam Cordin (Perth) |
Sapan Ghai (London)
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|
Nominated Adviser on AIM and Joint Broker |
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SP Angel Corporate Finance LLP |
+44 20 3470 0470 |
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Ewan Leggat Charlie Bouverat Harry Davies-Ball |
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Joint Brokers |
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Berenberg |
+44 20 3207 7800 |
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Matthew Armitt |
|
|
Jennifer Lee |
|
|
|
|
|
Buchanan |
+ 44 20 7466 5000 |
Forward Looking Statement
This release may include forward-looking statements, which may be identified by words such as “expects”, “anticipates”, “believes”, “projects”, “plans”, and similar expressions. These forward-looking statements are based on Sovereign’s expectations and beliefs concerning future events. Forward looking statements are necessarily subject to risks, uncertainties and other factors, many of which are outside the control of Sovereign, which could cause actual results to differ materially from such statements. There can be no assurance that forward-looking statements will prove to be correct. Sovereign makes no undertaking to subsequently update or revise the forward-looking statements made in this release, to reflect the circumstances or events after the date of that release.
Blencowe Resources #BRES – Subscription & Conditional Subscription
New Investor
The Company is pleased to report it has raised US$500,000 (£392,350) at 5 pence per share with a specialist African-based investor (“African Investor”) through the issue of 7,847,000 new ordinary shares. The investor has undertaken extensive due diligence over the last four months and the current investment is viewed as an initial entry into the project ahead of anticipated further investment as required. The shares have been issued to the African Investor under the Company’s existing headroom.
Additional Investor and the Issue of a Prospectus
In addition, the Company has conditionally raised a further £2,500,000 at 5 pence resulting in the issue of 50,000,000 new ordinary shares to an additional strategic investor (“Strategic Investor”). The Company is required to publish a prospectus on the basis that it will be issuing more than 20% of its issued share capital in a 12-month period. The Company and its advisers are in advanced stages of finalising the prospectus. The Company anticipates publishing the prospectus this month and will update shareholders prior to its publication.
Conditional Subscription
The Strategic Investor has received investment committee approval and made a firm commitment to subscribe. The subscription by the Strategic Investor is subject to the Company issuing the prospectus, a general meeting by the Company to approve certain resolutions relating to the issue of new ordinary shares, settlement of the investment and the issue and allotment of the new ordinary shares.
For the avoidance of doubt, the subscription by the African Investor is firm and not contingent on any investment by the Strategic Investor. The subscription funds have been received from the African Investor and the Company shall apply for the new ordinary shares to commence trading.
Admission
An application has been made for 7,487,000 new ordinary shares to be admitted to trading on the official list and the London Stock Exchange from 8.00 a.m. on Friday 9 February 2024 (“Admission”).
In accordance with the FCA’s Disclosure Guidance and Transparency Rules, the Company confirms that following Admission, the Company’s enlarged issued ordinary share capital will comprise 217,226,950 Ordinary Shares. The Company does not hold any Ordinary Shares in Treasury. Therefore, following Admission, the above figure may be used by shareholders in the Company as the denominator for the calculations to determine if they are required to notify their interest in, or a change to their interest in the Company, under the FCA’s Disclosure Guidance and Transparency Rules.
Mike Ralston, CEO of Blencowe Resources, commented: ‘I am pleased to provide this positive update with respect to our fundraising initiatives. As previously reported, we have already received US$2,000,000 in grant funding from the US International Development Finance Corporation (“DFC”) out of their approved US$5,000,000 grant. A further US$1,000,000 is expected from the DFC in the near term as the next milestones have been met.
We now welcome a new specialist African investor to the register following the fundraise of US$500,000 at 5 pence, which represents a healthy premium to the current market price and underlines their decision to invest for the long term after an extensive due diligence exercise. We reasonably believe that they will look to invest further as our relationship is built.
Moreover, we are now in the closing stages of a further subscription of £2.5m at 5 pence from another Strategic Investor and we are busily working with our advisers to finalise and issue the prospectus.
Both these investments at 5p underline the value proposition offered by Blencowe and will provide us with a good runway to complete the DFS this year. We are making rapid progress in de-risking the Orom-Cross project, especially following the recent letter of interest received from the DFC to provide a funding solution for the build and development of Orom-Cross. We will continue to work closely with the DFC as we complete the DFS to ensure construction can commence at Orom-Cross in a timely fashion.
I believe it is testament of the quality of the Orom-Cross project that we have been able secure funding partners like this at a time when the junior mining sector continues to face significant difficulties with respect to sourcing capital. We are hoping to deliver an NPV in the DFS significantly higher than the post-tax NPV of US$482M achieved in the Pre-Feasibility Study and will keep shareholders updated on our progress.’
For further information please contact:
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Blencowe Resources Plc Sam Quinn |
www.blencoweresourcesplc.com Tel: +44 (0)1624 681 250
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Investor Relations Sasha Sethi |
Tel: +44 (0) 7891 677 441
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Tavira Financial Jonathan Evans |
Tel: +44 (0)20 3192 1733
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First Equity Limited Jason Robertson |
Tel: +44(0)20 7330 1833 jasonrobertson@firstequitylimited.com
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Twitter https://twitter.com/BlencoweRes