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Kavango Resources #KAV – CEO Ben Turney talks to Alan Green, April 2023
Kavango Resources #KAV – CEO Ben Turney talks to Alan Green, April 2023. We discuss the latest developments at the Ditau Farms lode gold project, and Ben covers upcoming developments that investors can look forward to in the coming months.
#KAV Kavango Resources – KSZ JV Search: Financial Adviser Appointment
Kavango Resources plc (LSE:KAV) (“Kavango”), the exploration company targeting the discovery of world-class mineral deposits in Botswana, is pleased to announce the appointment of Tamesis Partners LLP (“Tamesis”) to lead the Company’s efforts in seeking a partner or partners for the Kalahari Suture Zone Project (the “KSZ Project”).
Highlights
– Tamesis engaged to act as financial advisor to Kavango in respect of a possible corporate transaction involving the KSZ Project
– Tamesis will work with Kavango to assist with identifying potential partners and provide advice on transaction structures to maximise value for Kavango shareholders
– A data room (the “Data Room”) has been established to share data relating to the KSZ Project with interested parties under non-disclosure agreements
Ben Turney, Chief Executive Officer of Kavango Resources, commented:
“Following publication of the Technical Review of the Kalahari Suture Zone, Kavango is now ready to engage formally with potential partners for future development of this large-scale exploration project.
We are particularly excited to be working with Tamesis Partners LLP, given their strong track record of transactions in the mining sector. The Tamesis team has extensive financial and technical expertise, which we expect will prove to be a significant help in our search for a partner.
In parallel to this our exploration will continue on the ground in the KSZ. We have full confidence in our exploration model and ability to scale up. Our main focus in the coming months will be to act on the recommendations made in the Technical Review and build on the project’s growing momentum. We have a number of leads to pursue immediately and will continue advancing the B1, B3 and B4 conductors to drill ready status .”
Tamesis engagement
A corporate transaction for the KSZ could involve a joint venture, an earn-in, direct investment or other similar mechanism with a view to maximising Kavango’s exposure to the value of the project while minimising dilution to shareholders. Kavango has in place a number of NDAs with interested parties and intends to advance discussions with additional parties now that the Data Room is set up.
A modest monthly retainer fee will be paid by Kavango to Tamesis during the term of the agreement. An advisory success fee, part of which may be paid in shares, will be due upon Kavango entering into definitive documentation in respect of any transaction, and in return for equity funds or other consideration received by Kavango pursuant to an investment or transaction consideration.
In consideration for the provision of the transaction services, Tamesis will also be awarded with 8,333,334 warrants, exercisable for two years from the date of issuance and with an exercise price of 3p per share.
KSZ Project B ackground
The KSZ Project is located at the western margin of the Kaapvaal Craton. This is a geologically favourable geodynamic location for mafic-ultramafic mineralisation as deep-seated structures are repeatedly activated and may enable ascent of fertile mantle derived magma to surface. Kavango’s licences comprising the KSZ Project cover a combined 8,813km2. The exploration targets are for massive Ni-Cu-PGE sulphide associated with the Karoo Large Igneous Province (LIP), and/or for low-sulphide PGE or massive Ni-Cu-PGE sulphide associated with the regionally extensive Proterozoic (Tshane Complex) that extends over a length of 650km parallel to the craton margin.
A report completed recently by Richard Hornsey, a leading authority on nickel sulphide and platinum group element exploration, concluded that Kavango’s programmes to date have Provided geochemical proof of magmatic Ni-Cu-PGE mineralising processes (depletion and enrichment) throughout the KSZ, for both the Karoo and Proterozoic (Tshane Complex) intrusions and identified previously unrecognised PGE potential in the KSZ South. Deposit models including Norilsk, Insiswa, Eagle, Tamarack and Uitkomst are being followed, enabling Kavango to vector towards the right host rocks and upgrade future targeting.
Contact details
Parties interested in gaining access to the Data Room should please contact Kavango’s Chief Operating Officer, Brett Grist (bgrist@kavangoresources.com ) or Tamesis Partners LLP at the following contact details:
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Richard Greenfield rgreenfield@tamesispartners.com +44 203 882 0712
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Mitch Limb +44 203 882 2868
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Further information in respect of the Company and its business interests is provided on the Company’s website atwww.kavangoresources.com and on Twitter at #KAV.
For additional information please contact:
Kavango Resources plc
Brett Grist
b grist@kavangoresources.com
+44 203 633 1037
First Equity (Joint Broker)
+44 207 374 2212
Jason Robertson
SI Capital Limited (Joint Broker)
+44 1483 413500
Nick Emerson
Kavango takes major step towards JV partnership at key KSZ project – Will Schafer
NB: This article is written by Brand Comms contributor Will Schafer
Please note the Brand UK Ltd Disclosure Policy here
Kavango Resources (LSE:KAV) took a major step towards opening the door for joint venture partners at its flagship Kalahari Suture Zone (“KSZ”) project today.
In an update, the explorer released a comprehensive “Proof of Concept” report authored by industry veteran Richard Hornsey that concludes its drilling programme for the Botswana-based asset.
The company was not only able to provide geochemical proof of mineralising processes for magmatic nickel, copper, and platinum group elements (“PGEs”), but it was also able to identify previously unrecognised PGE potential at the south of its project.
The KSZ is a 450km-long anomaly in Botswana where Kavango is searching for nickel, copper, and PGE-rich orebodies across a land package spanning nearly 9,000km2. Signs of the project’s prospectivity are by no means new, with work previously outlining a number of highly prospective targets.
However, in today’s report, which follows a drilling campaign that concluded earlier this year, Kavango has been able to introduce new deposits that will allow it to vector towards the right host rocks and upgrade future targeting.
Not just that, but it has also been able to confirm it is using the appropriate geophysical technologies and data analysis techniques to isolate potential mineral-bearing targets in a scalable programme.
The company will now make Hornsey’s reports, of which there are three, available to potential joint venture partners and other parties interested in the KSZ project. A detailed executive summary can be viewed here.
As highlighted by CEO Ben Turney earlier today, the company Kavango has now completed “the most comprehensive and successful exploration programme ever” at the KSZ.
Indeed, the KSZ was first investigated by explorers back in the 1980s. However, the depth of sand, or “Kalahari cover”, overlying the project was so extreme it precluded further work. Using modern-day exploration techniques, Kavango is now mapping out and drilling the trend to an unprecedented degree.
“When Kavango first set out on this project it was purely conceptual in nature. Today, we have assembled a significant data set that validates the discovery potential,” said Turney.
“We are the first company to demonstrate that mineralising processes have occurred throughout the KSZ, based upon evidence of nickel, copper and PGE depletion and enrichment. This suggests there is a high likelihood that potentially economic magmatic mineralisation may exist, both within the Karoo and the Proterozoic Tshane Complex. The main questions to answer now are where and at what depth.”
Included in today’s report were recommendations for improvements to Kavango’s exploration programme. Using these, the company will now launch into two parallel streams of work.
One of these will focus on deploying CSAMT and TDEM surveys in the field to learn more about the “B conductors” it is preparing to drill. Meanwhile, the other will involve Kavango stepping up its efforts to search for JV partners, with today’s report representing a substantial piece of work that contextualises the KSZ based on the company exploration efforts to date.
As Turney states, this should enable the company to undertake “much more informed discussions with interested parties.”
Today’s report refers specifically to the “Norilsk-style” mineralisation Kavango is proving at the KSZ. Norilsk is located 2,800km northeast of Moscow and accounts for 90% of Russia’s nickel reserves, 55% of its copper and virtually all of its PGMs, and the company’s licences display a geological setting with some similarities to the project.
But it’s worth remembering that, beyond this Norilsk potential, the KSZ also offers a second mineralisation target type.
Indeed, Kavango’s drill holes over the KSZ’s Great Red Spot anomaly at the project appear to support a late 1990’s theory that the area could host a form of Iron Oxide-Copper-Gold, or “IOCG”, style mineralisation.
IOCG systems can host highly valuable copper, gold and uranium ores. The large size and relatively simple metallurgy can produce extremely profitable mines. Specifically, the Great Red Spot exhibits similar geophysical signatures to the world-renowned Olympic Dam IOCG ore deposit in Australia.
Kavango is currently investigating the KSZ’s IOCG potential by way of further AMT surveying and reporting ahead of drill testing.
#KAV Kavango Resources – KSZ – Proof of Concept Drill Campaign Final Report
Botswana focussed metals exploration company Kavango Resources plc (LSE:KAV) (“Kavango”) has successfully concluded its “Proof of Concept” exploration programme in the Kalahari Suture Zone (“KSZ”). This is the most comprehensive exploration programme ever undertaken in the KSZ and the results will guide the Company’s future commercial strategy.
Kavango is pleased to announce that the Proof of Concept exploration programme has:
§ Provided geochemical proof of magmatic Ni-Cu-PGE mineralising processes (depletion and enrichment) throughout the KSZ, for both the Karoo and Proterozoic (Tshane Complex) intrusions
§ Identified previously unrecognised PGE potential in the KSZ South
§ Introduced new ore deposit models (Norilsk, Insiswa, Eagle, Tamarack, and Uitkomst), which will allow Kavango to vector towards the right host rocks and upgrade future targeting
§ Confirmed Kavango is using appropriate geophysical technologies and data analysis techniques to isolate potential mineral bearing targets in a scalable programme
Richard Hornsey, a leading authority on nickel sulphide and platinum group element (PGE) exploration, has completed a comprehensive review of all available exploration data on the KSZ on behalf of Kavango.
Mr Hornsey has provided the Company with three detailed reports on the exploration undertaken, drill core review, intrusion lithogeochemistry, and implications for prospectivity of the KSZ, with suggestions for optimising future exploration strategy (the “Reports”). The Reports will be made available to potential Joint Venture partners and other interested parties, subject to non-disclosure agreement (“NDA”).
Highlights
In summary, the Reports detail:
§ Geochemical proof of magmatic mineralising processes (metal depletion and enrichment) throughout the entire KSZ:
§ Potential for Nickel-Copper-(Platinum Group Element) (“Ni-Cu-(PGE)”) massive sulphide associated with the Karoo Large Igneous Province (“LIP”) in the KSZ North
§ Potential for low sulphide Platinum Group Element-(Nickel-Copper) & Ni-Cu-(PGE) massive sulphide associated with the regionally extensive Proterozoic (Tshane Complex) encompassing KSZ North and KSZ South
§ Confirmation that Kavango is using appropriate geophysical exploration technologies to discover economic metal deposits should they exist within discovery range; including Controlled Source Audio Magnetotellurics (“CSAMT”) and Surface Large Loop Time Domain Electromagnetics (“TDEM”)
§ The new data has enabled assessment of potential variations of intrusion style and geochemical processes associated with the KSZ Project. Ongoing data collection will further focus model definition
§ Recommendations for improvements to Kavango’s exploration programme
Mr Hornsey has provided a detailed executive summary of his review (the “Executive Summary”), which the Company will make available on its website via the following link:
https://kavangoresources.com/media-library/technical-reports
Ben Turney, Chief Executive Officer of Kavango Resources, commented:
“Kavango has now completed the most comprehensive and successful exploration programme ever conducted on the Kalahari Suture Zone (KSZ).
When Kavango first set out on this project it was purely conceptual in nature. Today, we have assembled a significant data set that validates the discovery potential.
This is a regionally extensive project, but thanks to Richard Hornsey’s detailed work we will be able to focus our programme. Specifically, we now have several exploration vectors to enable us sharpen future targeting.
We are the first company to demonstrate that mineralising processes have occurred throughout the KSZ, based upon evidence of nickel, copper and PGE depletion and enrichment. This suggests there is a high likelihood that potentially economic magmatic mineralisation may exist, both within the Karoo and the Proterozoic Tshane Complex. The main questions to answer now are where and at what depth?
Encouragingly, Richard’s work confirms we are using the right remote sensing technologies (CSAMT & TDEM) to identify potentially mineralised targets. If mineralised nickel, copper and/or PGE deposits exist within range of detection and economic exploitation, we are utilising techniques that would identify them. Our objective will then be to rank any targets in order of priority and to drill them.
Meanwhile, the previously unrecognised PGE potential of the Tshane Complex is an intriguing development, especially considering regional variations in PGE endowment. This is an area Kavango will focus on in the coming months.
Our strategy in the KSZ will now involve two parallel streams of work. In the field, we will continue deploying CSAMT and TDEM surveys, while preparing to drill the B Conductors. At the corporate level, we will step up our efforts in search of potential JV partners. The technical review is a substantial piece of work that contextualises the project based upon our exploration results and enables Kavango to undertake much more informed discussions with interested parties.”
Review of the Proof of Concept Exploration Programme
The 2021/22 exploration programme objectives (the “Proof of Concept Drill Campaign”) were to drill selected targets to provide proof of concept results in providing “hard” data to enable other work to be undertaken (geology logging, lithogeochemistry); assess the accuracy and efficacy of the geophysical strategy; and to demonstrate operational effectiveness.
This work has been substantively completed, with the primary objectives achieved.
This review of the Proof of Concept Drill Campaign has included:
§ Initial review of the project data, provided by Kavango, including petrography reports, drillhole data for 13 exploration boreholes in the region, including 7 drilled by the Company (2019 and 2021/22), and limited GIS information
§ A site visit to the Hukuntsi core shed over a two-day period to examine drill core from Kavango holes KSZDD001 and TR2DD002 that intersected both the Karoo sills and Tshane Complex
§ Report 1 “Kalahari Suture Zone Review” (56 pages) on the exploration setting and technical analogues, petrography, drill core review and initial observations
§ Report 2 “Lithogeochemistry Review of the Karoo and Tshane Complex” (173 pages) based upon the routine and detailed lithogeochemistry sampling dataset using ioGAS software and a dedicated proprietary template for igneous intrusion analysis
§ Report 3 “Kalahari Suture Zone Drill Sections and Spatial Dataset Interpretation” (74 pages) outlining review of the data using Micromine software to examine and describe the spatial variation and assess whether prospectivity trends are present
§ The Reports are commercial in confidence, and will be made available to potential Joint Venture partners and other interested parties, subject to NDA.
Report Highlights & Key Actions
§ Technical confirmation of major large-scale targets:
o Potential for Nickel-Copper-(Platinum Group Element) (“Ni-Cu-(PGE)”) massive sulphide associated with the Karoo Large Igneous Province (“LIP”) in the KSZ North
o Potential for low sulphide Platinum Group Element-(Nickel-Copper) & Ni-Cu-(PGE) massive sulphide associated with the regionally extensive Proterozoic (Tshane Complex) encompassing KSZ North and KSZ South
§ Lithogeochemical indications of mineralising processes (metal depletion and enrichment) throughout the entire KSZ (both Karoo and Tshane Complex)
o Future Nickel-Copper (and possible PGE) (Ni-Cu-(PGE)) exploration focus to target more primitive, non-magnetic intrusions in the Karoo and the shallower Tshane Complex in KSZ South
o Future PGE (and possible Nickel-Copper) (PGE-(Ni-Cu)) exploration focus to target Tshane Complex in KSZ South
§ All Karoo sills appear to have been emplaced under similar conditions indicating metal depletion due to sulphur saturation has occurred, therefore ore-tenor mineralisation could exist within the system . Notable shared features of the sills include:
o Internal complexity indicates repeated periods of activation and sufficient hiatus periods that allowed the magma to lithify
o All Karoo sills are remarkably coarse-grained, suggesting emplacement closer to a source region
o All Karoo sills in KSZ North have experienced sulphur saturation and metal stripping, indicating the probability that metal-enriched intrusions exist
§ Evidence that chalcophile (e.g. Nickel-Copper-PGE) metal depletion exists in the Karoo. The Company has identified strong conductors that require drilling:
o Kavango’s strategy of using CSAMT to identify areas within the Karoo stratigraphy that relate to larger, more primitive, non-magnetic intrusions, and TDEM to identify conductive targets is valid
o Confirmation that drilling to date has not intersected any TDEM conductors
o Kavango has identified three very strong conductors in KSZ North, at the Great Red Spot, that are interpreted to be associated with Karoo intrusions (>>> see announcement 11 July 2022 )
§ Based on analogous Ni-sulphide mineralised intrusions (Insiswa, Norils’k, Eagle, Tamarack, Uitkomst) it is considered that mineralisation in the Karoo may be sourced from both large and relatively thin localised intrusions:
o Kavango will consider this during anomaly targeting and discrimination
o It is highly likely there will be more than one control on mineralisation location or style in the Karoo Large Igneous Province (“LIP”)
§ It is highly likely that intermediate and ultramafic rocks exist in the Tshane Complex that may host magmatic sulphide mineralisation:
o The Tshane intrusion layering dips either to the east or west indicating that target stratigraphy may subcrop beneath the Karoo at explorable depth
o Kavango can optimise exploration of the Tshane Complex in KSZ South, where the overlying stratigraphy is significantly thinner
§ A new regional 3D Magnetic Model to map stratigraphy and structure will help target potential mineralisation
o Combined use of CSAMT and TDEM surveys for 3D mapping and direct detection is optimal exploration solution to identify potential Ni-Cu-(PGE) targets
§ Previously unrecognised PGE potential across the entire Proterozoic (Tshane Complex) system:
§ Tshane 1 (encountered in the Great Red Spot) is strongly PGE depleted, suggesting mineralisation has occurred deeper in this system
§ Tshane 2 (encountered along the 30km strike) contains low to moderate PGE, suggesting mineralisation has occurred deeper in this system
§ Tshane 3 (across KSZ South) has elevated PGE content, suggesting mineralisation could be at a higher level in the intrusion could be closer to surface
§ Tshane 1 is geochemically distinct, while Tshane 2 and Tshane 3 exhibit more similar chemistry
§ PGE exploration presents different geophysical targets, therefore- Kavango will undertake a review of exploration strategy to focus on this mineralisation style
KSZ Background
The Kalahari Suture Zone (KSZ) is located at the western margin of the Kaapvaal Craton. This is a geologically favourable geodynamic location for mafic-ultramafic mineralisation as deep-seated structures are repeatedly activated and may enable ascent of fertile mantle derived magma to surface. The exploration targets are for massive Ni-Cu-PGE sulphide associated with the Karoo Large Igneous Province (LIP), and/or for low-sulphide PGE or massive Ni-Cu-PGE sulphide associated with the regionally extensive Proterozoic ( Tshane Complex) that extends over a length of 650km parallel to the craton margin.
A detailed conceptual, geological, and geochemical review of the Kalahari Suture Zone (KSZ) project has been undertaken for Kavango Resources plc (“Kavango” or “the Company”). This included a two-day core review at Hukuntsi, followed by data compilation into a standardised ioGAS template designed for mafic-ultramafic intrusions. Three detailed reports have been provided, on the drill core, lithogeochemistry, and spatial interpretation. The reports are commercially sensitive and are not for public distribution. They may be shared with parties under non-disclosure agreement with Kavango.
Report Technical Summary
The 2021/22 exploration programme objectives (the “Proof of Concept Drill Campaign”) were to drill selected targets to provide proof of concept results in providing “hard” data to enable other work to be undertaken (geology logging, lithogeochemistry); assess the accuracy and efficacy of the geophysical strategy; and to demonstrate operational effectiveness. This work has been substantively completed, with the main objectives achieved. The Executive Summary focusses on the geology and lithogeochemistry, providing an interpretation of the results and recommendations for ongoing exploration.
– The Kalahari Suture Zone (KSZ) is located at the western margin of the Kaapvaal Craton. This is a geologically favourable geodynamic location for mafic-ultramafic mineralisation as deep-seated structures are repeatedly activated and may enable ascent of fertile mantle derived magma to surface. The exploration targets are for massive Ni-Cu-PGE sulphide associated with the Karoo Large Igneous Province (LIP), and/or for low-sulphide PGE or massive Ni-Cu-PGE sulphide associated with the regionally extensive Tshane Complex that extends over a length of 650km parallel to the craton margin.
– The 2021/22 exploration programme objectives were to drill selected targets to provide proof of concept results in providing “hard” data to enable other work to be undertaken (geology logging, lithogeochemistry); assess the accuracy and efficacy of the geophysical strategy; and to demonstrate operational effectiveness. This work has been substantively completed, with the main objectives achieved. Report 1 focusses on the geology and lithogeochemistry, providing an interpretation of the results and recommendations for ongoing exploration.
– The Karoo sills are highly fractionated gabbros with internal variability and chilled margins indicative of repeated periods of emplacement. Lithogeochemistry indicates the Karoo sills are high Fe tholeiitic basalt with low – intermediate TiO2 possibly derived from E-MORB mantle. The most primitive intrusions are Karoo 4 (10.69% MgO), Karoo 5 (9.21% MgO), and KSZ Karoo 1 (8.54% MgO).
– Cu/Pd, Cu/Zr (PM) & Pd/Yb (PM) indicate that all sampled Karoo sills were emplaced under similar conditions. All sills have magma that has experienced sulphur saturation and metal stripping. This is proof of process. The Karoo sills are remarkably homogeneous in these ratios, indicating that metal accumulation occurred prior to emplacement of these metal-depleted sills.
– The Karoo Exploration Target is conduit-hosted Ni-Cu-PGE sulphide associated with Continental Flood Basalt volcanism. Process analogues include Norils’k-Talnakh (Siberian Traps, Russia), Eagle and Tamarack (Mid Continental Rift, USA), and Insiswa (Karoo, South Africa). These mineralised intrusions show variations of geology, morphology, and metal content. They are all associated with the most primitive intrusions within their respective terranes.
– It is necessary to identify the most magnesian Karoo intrusions, or more primitive intrusive centres that have accommodated greater magma flux. Lithogeochemistry can achieve this. Karoo intrusions may also be present within the Proterozoic stratigraphy, particularly the layered Transvaal Supergroup, these may include the deeper-seated, more primitive components of the LIP.
– Proterozoic age intrusion(s), collectively referred to as the Tshane Complex , form a 650 x 50km regional magnetic anomaly parallel to the Kaapvaal Craton margin. The Tshane Complex core indicates the intrusions are lithologically similar but have different textural relationships. The coarse grain sizes, layering, and variability are indicative of large plutonic complexes.
– The Tshane intrusions are fractionated, magnetite-bearing gabbros with approximately double the base metal and five times the precious metal endowment of the Karoo sills. The intrusions are high Mg and high Fe tholeiitic basalts with variable Ti content, from low Ti through intermediate then splitting into two high Ti trends. The REE plots also split the intrusions into two distinct groups, one with more alkaline character, derived from intermediate mantle depth at the komatiite-picrite boundary, the second a komatiite derived from shallower mantle. The REE indicate an E-MORB character, split into two groups. This indicates a more complex process of magma generation and limited mixing and that Tshane 1 may be a different intrusion to Tshane 2 and 3 , which are more similar in their chemistry.
– The Tshane Intrusions have variable PGE endowment, Tshane 1 is strongly PGE depleted, whereas Tshane 2 has low to moderate PGE and Tshane 3 has elevated PGE content. The intrusion was variably sulphur saturated and depleted, indicating proof of process, and that sulphur exerted a control on metal distribution.
– The Tshane Complex could be a large intrusion, or more likely a group of intrusions derived from complex mantle melting that has produced fertile magma with variable REE signatures. The intrusion could host either or both of low sulphide PGE-(Ni-Cu) and Ni-Cu-(PGE)-sulphide mineralisation.
– It is recommended that east-west cross sections should be drilled to provide a cross section through the Tshane Complex to enable mapping of chalcophile distribution, enrichment, and depletion.
– Physical property plots of magnetic susceptibility and conductivity indicate the intrusions are magnetically susceptible, with Tshane having significantly greater intensity than the Karoo sills. The conductivity plots show most host rocks are non-conductive apart from very thin zones within carbonaceous stratigraphy immediately adjacent to the upper and lower contacts of the Karoo sills. This indicates that the intrusions have contact metamorphosed carbon to form graphite. This is unlikely to impact upon exploration strategy.
– Exploration Strategy : KSZ is an early-stage project, exploring for one of the more technically challenging styles of mineralisation. The total coverage by younger stratigraphy adds a layer of complexity that precludes the use of first-pass regional techniques such as stream or soil geochemistry. Geophysics is therefore the only exploration option.
– Magnetics is an important tool for regional mapping of structure and geology and may be used to identify less fractionated parts of the intrusions that may have potential to be targets for Ni-Cu-PGE sulphide mineralisation.
– Kavango’s targeting strategy for Karoo exploration is to use a combination of Controlled Source Audio Magnetotelluric Surface (“CSAMT”) and Time Domain Electromagnetic (“TDEM”) geophysical surveys to map subsurface geology and structure and identify discrete conductive anomalies that may relate to Ni-Cu-PGE sulphide. Kavango employs an internally developed ranking system to prioritise potential drill targets.
– For Tshane , geophysical methodology will also vary dependent upon the style of mineralisation being targeted. Massive Ni-Cu-(PGE) will present a dense, conductive, magnetic target, best resolved using electromagnetic methods ( CSAMT , TDEM ). Reef-style PGE-Cu-Ni mineralisation may be more difficult to detect geophysically, but other deep mapping techniques ( CSAMT ) could be used to map and define target intervals once the stratigraphy is understood.
Report Conclusions
The Karoo Sill project was conceptual at inception. Kavango has compiled sufficient data to enable geochemical analysis that indicates sulphur saturation has occurred. This may have accumulated potentially economic Ni-Cu-PGE sulphide mineralisation within some parts of the system.
The KSZ is a valid geodynamic setting for ascent of mantle-derived magma and there are geochemical indicators of chalcophile element depletion (process). Although it has yet to be proven that intermediate to ultramafic intrusions are present, this will be further investigated by drilling the recently identified conductors (B1, B3 & B4).
The Karoo targeting strategy incorporates that the most prospective parts of the system are likely to be non-magnetic; whereas the most magnetic sills are likely to be fractionated and therefore have lower discovery potential. Therefore, CSAMT followed up by TDEM may be able to resolve areas within the Karoo stratigraphy that are related to larger, more primitive, non-magnetic intrusions.
Contact metamorphism of carbonaceous stratigraphy has been observed in drill core to upgrade carbon to moderately conductive graphite. Although the observed conductivities are too low to explain modelled TDEM conductors, target discrimination should consider potential for non-sulphide conductors.
The Tshane Complex is a very large, complex intrusion or set of intrusions that share some lithogeochemical parameters, but are lithogeochemically variable, derived from complex mantle melting. Some drillholes indicate sulphur saturation and removal of base metals and the PGE, indicating that these metals have been concentrated elsewhere in the system. Individual sub-intrusions may have experienced different evolution and therefore more direct data (drill intersections) are required to unravel the puzzle. The intrusions may be very thick, but core angles indicate they are moderately dipping, therefore stepping to east or west may enable drilling different stratigraphic sections and vector towards the base of the intrusion. Future drilling should provide oriented drill core.
It is concluded for the Tshane Complex that there is potential for both low-sulphide PGE-(Ni-Cu) reef and Ni-Cu-(PGE) mineralisation associated with basal ultramafic rocks. These contrasting styles of mineralisation present different geophysical targets, (IP and TDEM). It is necessary to map stratigraphy using CSAMT and regional drilling. This programme would be optimised in the south of the project, where the overlying stratigraphy is significantly thinner. This should consist of east-west sections to provide information on the full stratigraphy and lithogeochemistry of the Tshane Complex, which would define ongoing strategy.
The discovery potential of this project has been advanced by the 2021/22 programme, but it is important to revisit the exploration model(s) and implement the technical recommendations made in this report. The Karoo project is considered more challenging because no potential host intrusion has yet been identified, although evidence of chalcophile metal depletion exists and strong conductors have been identified that require drilling. The Tshane Complex has all the indications of being another large, geochemically complex Proterozoic intrusion into the Kaapvaal craton that has chalcophile element accumulation and depletion. Tshane is considered to have the lowest technical risk but is likely to require deeper drilling, dependent upon the intrusion orientation, and whether the deeper northern section or shallower south section is targeted.
Further information in respect of the Company and its business interests is provided on the Company’s website at www.kavangoresources.com and on Twitter at #KAV.
For further information please contact:
Kavango Resources plc
Ben Turney
+46 7697 406 06
First Equity (Joint Broker)
+44 207 374 2212
Jason Robertson
SI Capital Limited (Joint Broker)
+44 1483 413500
Nick Emerson
#KAV Kavango Resources – Agreed Acquisition of 50pc of Kanye Resources
Botswana focussed metals exploration company Kavango Resources plc (LSE:KAV) (“Kavango”) announces it has agreed terms with Power Metal Resources plc (AIM:POW) (“Power”) to acquire Power’s 50% of the Kanye Resources Joint Venture (“Kanye JV”) (the “Acquisition”).
The Kanye JV owns 100% working interests in:
– 10 prospecting licenses in the Kalahari Copper Belt (“KCB”), which cover 4,257km2
– 2 prospecting licences in the Ditau Camp Project that cover an area of 1,386km2
Kavango is the operator of the Kanye JV.
Ben Turney, Chief Executive Officer of Kavango Resources, commented:
“Today’s deal is a very important step forward for Kavango. After a period of considerable support from Power Metal Resources, we are now in a position to regain complete ownership of our crucial prospecting licences in the Kalahari Copper Belt (KCB) and at Ditau. On completion of the transaction, Kavango will become one of the largest landholders for copper exploration in Botswana.
The Strategic Joint Venture has served both Kavango and Power well. It has demonstrated the success of Power’s incubation model in the exploration space, while has provided Kavango with innovative and effective financing to develop its projects more quickly. This has enabled us to drill our recent campaign at Ditau and also to bring our interests in the KCB to the point of drill readiness.
From a commercial perspective, the deal with Power significantly strengthens Kavango. We are adding a supportive strategic investor to our shareholder register, at this crucial point in the wider market cycle.
With the operational progress we have made over the last two years, the talented people we have recruited to our team, and the financing measures we have put in place, we have significantly raised Kavango’s chances of exploration success. We now have near-complete control of 16,000km2 of highly prospective ground in Botswana and an exciting future ahead of us.”
Headline Terms of the proposed Agreement (Subject to and conditional upon the publication of a new prospectus by Kavango):
– The issue to Power Metal of 60 million new ordinary shares of Kavango at a deemed issue price of 3p per ordinary share, subject to a 12-month lock-in agreement
– The issue to Power of 60 million warrants, divided into two separate tranches:
– 30 million warrants with the right to subscribe for new ordinary shares in Kavango at an exercise price of 4.25p for a period of 30 months
– 30 million warrants with the right to subscribe for new ordinary shares in Kavango at an exercise price of 5.5p for a period of 30 months
– The issue to Power of 15 million variable price warrants (“VP Warrants”) with a six-month life to expiry, with a minimum exercise price of 3p and an actual exercise price at a 15% discount to the volume-weighted average share price on the date of exercise
– Power Metal will receive a 1% Net Smelter Return (“NSR”) (“Royalty”) across all Kanye licence areas
In the event that Kavango sells all or part of Kanye for in excess of £7.5 million, Power Metal will be paid a proportion of the gross excess received by Kavango above £7.5 million.
Detailed Transaction Terms:
The Kanye JV owns 100% working interests in:
– 10 prospecting licenses in the Kalahari Copper Belt (“KCB”), which cover 4,257km2. The PL numbers are PL108/2020, PL109/2020, PL110/2020. PL111/2020, PL046/2020, PL49/2020, PL052/2020, PL053/2020, PL036/2020 and PL037/2020.
– 2 prospecting licences (PL169/2012 & PL010/2019) in the Ditau Camp Project that cover an area of 1,386km2.
Kavango is the operator of the Kanye JV.
Subject to and conditional upon the publication of a new prospectus by Kavango including provision for this Acquisition (the “Prospectus”) Kavango will acquire Power Metal’s 50% interest in the Kanye JV.
Consideration:
Shares:
The issue to Power Metal of 60 million new ordinary shares of Kavango, credited as fully paid at a deemed issue price of 3p per ordinary share (Share Value £1,800,000 at 3p) (“Consideration Shares”). The Consideration Shares will be subject to a lock-in agreement whereby they may not be sold within 12 months without Kavango’s written approval.
Warrants:
The issue to Power Metal of 60 million warrants, divided into two separate tranches (Tranche 1 and Tranche 2)(“Consideration Warrants”). The two tranches of warrants include the following terms:
– Tranche 1 comprises 30m warrants with the right to subscribe for new ordinary shares in Kavango at an exercise price of 4.25p for a period of 30 months from execution of the agreement
– Tranche 2 comprises 30m warrants with the right to subscribe for new ordinary shares in Kavango at an exercise price of 5.5p for a period of 30 months from execution of the agreement
The issue to Power Metal of 15 million variable price warrants (“VP Warrants”) with a six month life to expiry from execution of the agreement, with a minimum exercise price of 3p and an actual exercise price at a 15% discount to the volume-weighted average share price on the date of exercise. Should all VP Warrants be exercised within 6 months from execution of the agreement, Power Metal will receive 15 million replacement warrants, on the same exercise terms and with a 12-month life to expiry from issue date (“Super VP Warrants”).
Royalty:
Power Metal will receive a 1% Net Smelter Return (“NSR”) (“Royalty”) across all Kanye licence areas save in respect of any such licences which, at its sole discretion, Kanye Botswana allows to lapse. Costs for the preparation of a suitable separate Royalty Agreement shall be shared by the parties. In the event that Kavango is able to secure, within 2 years of execution of the agreement, a greater than 2% NSR or other royalty on any of the Kanye properties the total royalty above 2% would be split equally Power Metal/Kavango (e.g. a 3% NSR would see KAV/POW each receive a total 1.5% royalty), with Kavango retaining the balance.
Sale Premium:
In the event that Kavango sells all or part of Kanye for in excess of £7.5 million, Power Metal will be paid a proportion of the gross excess received by Kavango above £7.5 million (the “Sell-On Premium”). (e.g. if Kanye is sold for £50 million in month 15, POW would receive £4.25million). The Sell-On Premium is 20% for 6 months from execution of the Agreement, 15% for 7-12 months from execution of the agreement, 10% for 13-18 months from execution of the agreement and 5% for 19-24 months from execution of the Agreement, after which the Sell-On Premium will lapse.
Further information in respect of the Company and its business interests is provided on the Company’s website at www.kavangoresources.com and on Twitter at #KAV.
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF REGULATION 2014/596/EU WHICH IS PART OF DOMESTIC UK LAW PURSUANT TO THE MARKET ABUSE (AMENDMENT) (EU EXIT) REGULATIONS (SI 2019/310) (“UK MAR”). UPON THE PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION (AS DEFINED IN UK MAR) IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.
For further information please contact:
Kavango Resources plc
Ben Turney
+46 7697 406 06
First Equity (Joint Broker)
+44 207 374 2212
Jason Robertson
SI Capital Limited (Joint Broker)
+44 1483 413500
Nick Emerson
#KAV Kavango Resources – Kanye Resources Operational Update
Botswana focussed metals exploration company Kavango Resources plc (LSE:KAV) (“Kavango”) provides an operational update on its Kanye Resources (“Kanye”) Joint Venture with Power Metal Resources (AIM:POW).
Highlights
– Ditau
– Drill programme complete
– 4 holes successfully drilled on Targets i1, i8 and i10, totalling 1,623.60m of diamond core drilling
– Three of twelve targets tested in the search for carbonatites and mineralised intrusives
– High and low frequency Controlled Source Audio Magnetotelluric completed over Targets i1, i8 and i10, with the aim of providing lateral definition of the geology intersected in each hole
– All holes geologically logged and three of the four holes sampled, the fourth is being cut. Magnetic Susceptibility, Conductivity and Specific Gravity measurements have been completed on all core
– Samples from Hole DITDD004 currently being analysed at an internationally accredited laboratory
– Samples from two of the remaining three holes now in transit, with the fourth being cut
– Final drill report being prepared, with recommendations for next steps of exploration
– Kalahari Copper Belt (“KCB”)
– 3,478 soil samples collected of current 8,000 soil sample campaign
– Kavango has identified and located the Ngwako Pan-D’kar formational contact across several of the company KCB licences
– The Ngwako Pan-D’kar contact is a crucial lithological control for copper/silver mineralisation in the KCB
– Kavango’s geologists have completed an extensive mapping exercise over the majority of the Kanye KCB prospecting licences (“PLs”)
– Kavango has deployed a seismic-based Tromino unit to map overburden and subsoil layers, using resonance frequencies
– The Tromino assists subsurface mapping to help design appropriate soil geochemistry sampling techniques across various areas with different transported overburden thickness, and to enable “domaining” of geochemical data to assist interpretation of the same
– Preliminary discussions with RC drill contractors for a planned programme in H2 2022
– This will target structural features in the vicinity of and above Ngwako Pan-D’kar formation contacts.
– Maps of its progress in the Kalahari Copper Belt
– https://www.kavangoresources.com/media-library/news-release-media/rns8july2022
Ben Turney, Chief Executive Officer of Kavango Resources, commented on Ditau:
“We have come a long way with Ditau in a very short period of time. These are complex targets, in an area where there was almost no prior geological data. Kavango’s application of systematic modern exploration methodologies is starting to unlock the complex geological history of this area.
We are particularly encouraged by what we’ve seen from the CSAMT technology we are using. Armed now with drill core to enhance our interpretation of the survey results, we believe this will prove to be an extremely powerful exploration tool as we pursue a more comprehensive programme across the 12 targets at Ditau.
Our new approach will enable us to map with confidence the underlying stratigraphy at Ditau. This is particularly important when exploring for buried mineralised intrusives. The more accurately we can model the Ditau targets in future, the greater the confidence we will have in drill targeting.
I would like to thank our team and our drillers, Mindea, for successfully completing the current drill programme quickly and safely. This was a challenging task, as the site is remote. Issues such as a limited water supply and drilling through deep sand cover were successfully overcome. Core recovery was again at 99%.
Once again, Kavango is proving it is up the task of effective, modern exploration in difficult terrain.
All holes have been logged and sampled, a wide range of geological units were seen, including sediments, intrusive bodies, and in hole DITDD004, zones tens of metres thick with locally abundant shearing, veining and alteration, including significant sulphide mineralisation. This is an area in which there was almost no prior geological information due to the depth of sand cover, and as a result this drilling has proved instrumental in better understanding the geology of the area.
This has included placing the individual targets within a regional stratigraphic setting as well as their relative positions in the same. The relevance of this is to understand the geological framework, from variations within the original sedimentary environment, to later deformation and structural histories, to assist the evaluation of the economic potential, and aid further exploration efforts.
Using the results of our AMT surveys we are now able to translate the intersected geology across the subsurface. We await the results of chemical assays and petrological work in order to evaluate any economic potential and plan future work for the area.
We are now preparing plans for the next stage in exploration of this challenging and exciting project.”
And on the Kalahari Copper Belt:
“In the Kalahari Copper Belt we have built a head of steam in our exploration programme in the first half of 2022. With the changes we made to Kavango in the second half of last year and the new team members we recruited, we are now seeing the results coming in from the field.
The momentum is highly encouraging and we are quickly moving towards defining drill targets for a campaign later this year.
The exploration model in the KCB is well-established, but I am pleased to report Kavango is also innovating in the area. Our use of the Tromino was a simple idea, but so far appears to be effective, in helping us quickly estimate the depth of sand cover in our prospecting licenses this has guided our decision-making both in terms of where to take soil samples and how to interpret them.
We are particularly happy to have identified and located several key Ngwako Pan-D’kar formational contacts across our several of our license areas. This is an important step towards validating our original exploration hypothesis that the western half of the KCB in Botswana was both prospective for copper/silver mineralisation and overlooked because the sand cover obscured much of the regional geology.
I would like to thank our teams in the field for their hard work and we look forward to the results of further soil sampling, which will hopefully lead to clearly defined drill targets a little later in 2022.”
Ditau drilling overview
Kavango has successfully completed the current diamond drilling programme at the Ditau Camp Project (“Ditau”), in southwestern Botswana. The programme targeted three geophysical structures/targets, prospective for possible carbonatites and/or intrusive complexes that may host carbonatites. A total of four holes were drilled, for 1,623.60 m.
Samples from Hole DITDD004 are presently being analysed at an internationally accredited laboratory in South Africa. Samples from two holes are in transit to the same laboratory while core from the fourth hole is being cut.
Additional Controlled Source Audio Magneto Telluric (“CSAMT”) geophysical surveys and modelling have been carried out to further aid interpretation of the geological units intersected.
Kavango is now preparing the next steps for exploration of the twelve targets at Ditau, building on the geological knowledge gained from this programme.
– Four diamond drillholes successfully completed, funded on a part cash, part equity basis with the drillers, Mindea Drilling and Exploration Services
– Drillhole DITDD003 completed; final depth 300.14m.
– Drillhole DITDD004 completed; final depth 393.29 m
– Drillhole DITDD005 completed; final depth 343.90 m
– Drillhole DITDD006 completed; final depth 586.27 m
– Three (of twelve) targets have been tested so far. These are complex, buried features, over which Kavango are starting to gain a detailed geological knowledge, through the combination of drilling and cutting-edge geophysical techniques.
– High and low frequency CSAMT surveys have been completed over each of the targets, with the aim of providing lateral definition of the geology intersected in each hole.
– Drillholes DITDD003 and DITDD004 both targeted Target i10. DITDD005 targeted Target i1, and DITDD006 targeted Target i8.
– DITDD003 and DITDD004 were drilled in close proximity (600 m) yet showed very different geology, with DITDD004 showing evidence of brecciation, veining, alteration and significant sulphide mineralisation.
– DITDD005 has helped enhance the Company’s understanding of the stratigraphy of Target i1 (the largest anomaly at Ditau). Data from this hole will guide follow up CSAMT work.
– DITDD006 was drilled to a deeper depth than the other three holes to test a possible intrusive body, as identified by the recently completed CSAMT survey over Target I8.
– All holes have been geologically logged and sampled, with regular Magnetic Susceptibility and Conductivity readings, and Specific Gravity/Density measurements taken of all the drilled core.
– Assays are now pending, together with petrology samples. Results from these will define any potential of the intersected geology for carbonatite and/or base/precious metal mineralisation.
Final drill report currently being prepared, with recommendations for next steps of exploration.
Ditau completed holes
A table summarising the holes completed at Ditau under the 2022 programme is provided below. Analytical results will be provided once assays are complete.
|
Target |
Drillhole |
Planned |
Planned |
Planned azimuth |
Planned inclination |
Final depth |
|
i10 |
DITDD003 |
640350 |
7231118 |
000 |
-80 |
300.14 m |
|
i10 |
DITDD004 |
640350 |
7230498 |
000 |
-80 |
393.29 m |
|
i1 |
DITDD005 |
650000 |
7246516 |
000 |
-80 |
343.90 m |
|
i8 |
DITDD006 |
654098 |
7233400 |
180 |
-80 |
586.27 m |
Ditau targets and intersected geology
Kavango has identified, using combined and integrated Airborne Magnetics, Ground Magnetics and CSAMT surveys, 12 geophysical structures/targets at Ditau (targets i1 through i12), which the Company believes could be possible carbonatites and/or intrusive complexes that may host carbonatites. 9 of these targets are particularly well defined.
There are two target types at Ditau:
1) Discrete kilometre-scale carbonatite pipe targets, and
2) Larger multi-kilometre scale intrusive complex targets that may also be host to carbonatite intrusives and/or mafic associated mineralisation styles prospective for base metals
In the current drill programme, Kavango evaluated three of these targets; i10, i1, and i8. In parallel with the drilling, additional AMT work was implemented to further aid interpretation, given the high-quality sub-surface imagery achieved early in the programme, and increasing confidence in interpretation of data using this technique.
Ditau Target i10
Two drillholes, DITDD003 and DITDD004 were drilled into this target, a discrete circular anomaly of 2.2 km diameter. The two holes are 600m apart and yet show very different geology, which highlights the high level of geological variability of the area, which Kavango’s geologists consider could result from structural disturbance or major changes in sedimentary depositional environment. The intersected lithologies are described briefly below.
DITDD003
This hole passed through 83.90 m of Kalahari sands, before intersecting units including a breccia of 20.44 m from 83.90 m, and a dolomitic carbonate rock from 154.89 m. In addition, a 7.16 m intrusive, considered to be a dolerite, was intersected from 247.73 m.
DITDD004
This hole passed through 105.91 m of Kalahari sediments before intersecting dolomitic carbonates, a mafic intrusive (from 109.50 m to 227.14 m), and mudstone units interbedded with cm sandstone beds. Shearing, brecciation, veining, and haematitic alteration were observed to varying degrees within the mudstones over tens of metres thickness. Locally the hematite alteration is extremely intense with several phases of sulphide generation, in mm/cm scale veins and, most prominently, as a later phase that appears to overprint all earlier alteration. Variations in the geology between these holes are considered to be due to variations in the original sedimentary environment, or later structural deformation within a permit scale southwest-northeast structural corridor that underlies the Ditau project.
Ditau Target i1
One hole, DITDD005, was drilled into the i1 target, to investigate this possible large 7 km x 18.5 km magmatic intrusive complex, within which are circular structures indicative of potential carbonatite intrusives.
This hole passed through 31.00 m of sands before passing into units consisting of matrix and clast-supported conglomerate. The conglomerate shows metre-scale bedding with variable clast percentage and composition within these beds indicative of a high energy environment with material derived from variable sources. The clasts correspond to some of the units drilled in the other Ditau project holes, and include mudstones, some with a high magnetic content, silicified dolomites and minor mafics. The matrix is generally a medium-coarse, siliceous sand. Minor pyrite veining was seen. This unit is interpreted to be stratigraphically part of the Segwagwa Group, part of the Transvaal Supergroup.
Ditau Target i8
One hole, DITDD006, was drilled into the i8 target, to evaluate whether this could represent an intrusive dome structure as indicated by the lates AMT interpretations, that is approximately 4 km in diameter. This hole was planned to 400 m depth, and was extended to 586 m in order to ensure that the geophysical target as outlined on a newly implemented high-frequency AMT survey was thoroughly investigated.
This hole passed through 125.34 m of Kalahari sediments, before entering a series of mudstones and siltstones to 229.73 m, with an intruded dolerite from 161.77 m to 227.95 m. The remainder of the hole comprises tillite, siltstones and mudstones, interpreted to be of the Dwyka stratigraphic unit. No significant veining or alteration were seen.
Kalahari Copper Belt Overview
Kavango Resources has identified an important lithological/structural control of copper/silver mineralisation in the KCB, across several of its prospecting licenses held within the Kanye Resources Joint Venture. The Ngwako Pan-D’Kar formational contact zone is closely associated with multiple copper-silver deposits and discoveries elsewhere in the KCB.
This formational contact represents areas where the two rock formations meet, with the shallower D’Kar lithologies overlying the deeper Ngwako Pan sediments. Economic grades of mineralisation can be found along and close to these zones where concentrated through later shearing, folding, and tensional failure between the rock layers.
Kavango is pleased to announce that it has successfully mapped the Ngwako Pan-D’kar contact across a number of its own licences.
The discovery of the key control on mineralisation came as part of an extensive programme of geological mapping and soil sampling launched by the Company earlier this year. The goal of this ongoing work is to identify and rank a complete range of drill targets after previous efforts identified multiple Airborne Electromagnetic and geochemical targets over Kanye’s KCB licences.
Kavango will now work to advance discussions with RC drill contractors for its planned Kalahari Copper Belt drill programme later in 2022. This will target structural features in the vicinity of and above the Ngwako Pan-D’kar formational contacts.
Alongside this, the Company has continued extensive soil sampling and is midway through an 8,000 sample campaign, aimed at widening coverage in existing licences, as well as starting new work on licences such as the Mamuno package, located adjacent to the Botswana-Namibia border.
In addition, the Company is using a Tromino tool to estimate overburden thickness. This is being used to support interpretation of the geochemical data, in what is complex terrain.
Kalahari Copper Belt geology and geological mapping
All available historical maps and information, including relogging of local water boreholes, have been compiled and used to define priority areas based on known/inferred geology. The relogging also included Magnetic Susceptibility readings and, in selected holes, the use of a pXRF unit. Geological compilation has been augmented with extensive company geological mapping over areas defined as priority taking account of favourable stratigraphic horizons and known mineralised systems in the KCB. This has successfully identified the presence of the Ngwako Pan-D’kar formational contact on multiple licences.
Following the geological mapping, traverses across areas of known outcrop and collection of rock samples for lithogeochemical “fingerprinting” have been carried out. The results of this exercise are expected to assist in determining stratigraphy in areas of poor exposure and during drilling, in particular when dealing with drill chips.
The benefit of this detailed mapping is that inliers of Ngwako Pan Formation have been mapped within D’kar units – some of these are not shown on any existing maps and are to be confirmed through drilling. As the contact between the two formations is the primary target for KCB copper/silver mineralisation, the results of this mapping are considered very encouraging.
The combination of all these geological datasets has been used to select priority areas for the soil sampling programmes, along with other field programmes.
Kalahari Copper Belt geochemical survey
Following on from the geology compilation and interpretation work, a programme comprising approximately 8,000 samples of detailed soil geochemical sampling is underway, to augment previous work. This uses the company’s in-house Vanta XRF Analyser in geochemistry mode with three beams switched on for a total analytical time of 120 seconds per sample. Analyses are done using a desk-top docking station to ensure a consistent presentation distance between the sample and analyser window. Quality Control measures include use of reference materials, which are used to generate user factors for normalising the analytical results prior to interpretation. This work is presently being undertaken on the four Mamuno licences, as well as PL036/2020, and PL082/2018.
Selected samples will also be sent to an independent, internationally accredited laboratory in South Africa for multi-element analyses by conventional methods.
|
PL |
Planned samples |
No. samples 20/6/22 |
Line |
Sample |
|
PL082/2018 (LVR) |
Up to 3,200 |
800m |
50m |
|
|
PL036/2020 (Kanye JV) |
4,000-5,000 |
3,478 |
400 & 2000m |
50m |
|
Mamuno (Kanye JV) |
Up to 1,500 |
800m |
50m |
Table 1: 2022 geochemical sampling programme status, June 2022
PL036/2020 (Kanye JV)
A total of 3,478 samples have so far been collected. At current production rates of +-150 samples/day, it is anticipated that the current phase of sampling on PL36/2020 will be completed by mid-July.
Mamuno Block: PL46, 49, 52, 53/2020 (Kanye JV)
Soil sampling is underway on these four licences. This block, located in the west, has seen little previous work. It lies on-strike with the main KCB trend.
Sampling is planned to cover the outcropping Ngwako Pan-D’kar Formation contact zone that has been mapped in detail by the company. A total of 1,319 samples at 50 m sample stations on 800 m spaced lines are planned, with some extensions across mapped Ngwako Pan Formation units to check for any structural repetition.
Kalahari Copper Belt Tromino surveys
In order to aid interpretation of geochemical data, a Tromino unit has been purchased. This seismic based unit is typically used in civil engineering applications for the characterisation of subsoils, using seismic waves. This maps subsoil resonance frequencies and has been identified by Kavango as ideal for reviewing overburden thickness such as the Kalahari Sands.
The Tromino is a small device that is being deployed along selected soil sample traverses. Given the proven attenuation of sand cover on geochemical values from both pXRF and conventional geochemical analyses, knowledge of the structure and thickness of the regolith profiles will be critical in both the design of the geochemical sampling programme as well as the domaining of the geochemical data during interpretation.
Three orientation surveys have been completed in PL036/2020. These were located across existing water boreholes with available geology logs, to enable a direct correlation of the Tromino data against known geology. Each location had varying depths of cover ranging from 6-40 m. Survey lines were 1 km long with the borehole at the centre. Sample points were 100 m apart.
The level of resolution achieved with this has exceeded Kavango’s expectations, and will now be used to aid in the interpretation of geomorphology for domaining of geochemical data, ensuring that a full understanding can be achieved of any geochemical anomalies identified.
Kalahari Copper Belt ongoing work programme (June to August 2022)
Work will continue to complete the activities currently in progress, integrating these with existing data sets and generating drill targets.
All KCB Licences
– Relogging of remaining, relevant historical drill holes – these are predominantly chips from water boreholes -this is planned to support the next stage of geophysical interpretations.
PL036/2020
– Completion of soil sampling over selected target zones defined from the preliminary geophysical interpretations.
– Continued geochemical analyses, including comparison of the data generated from the pXRF against conventional laboratory analyses.
– Completion of interpretation of previous detailed ground magnetic survey.
– Completion of Lithogeochemical “fingerprinting” of lithologies within the main formations.
Mamuno Licences
– Completion of soil sampling.
– Follow-up of identified targets from this, geophysics, and geological mapping.
In parallel with the above, discussions are underway with RC drill contractors for a planned drill programme later in 2022, aimed at targeting structural features in the vicinity of and above the Ngwako Pan-D’kar Formation contacts.
Further information in respect of the Company and its business interests is provided on the Company’s website at www.kavangoresources.com and on Twitter at #KAV.
For further information please contact:
Kavango Resources plc
Ben Turney
First Equity (Joint Broker)
+44 207 374 2212
Jason Robertson
SI Capital Limited (Joint Broker)
+44 1483 413500
Nick Emerson
Kavango Resources #KAV – KSZ drilling update
Kavango Resources plc (LSE:KAV), the exploration company targeting the discovery of world-class mineral deposits in Botswana, is pleased to announce the Company has successfully completed the first downhole electromagnetic (“DHEM”) survey on Hole KSZDD002 to a depth of 350m.
The measured DHEM response now indicates that the B1 Conductor Target (the “B1 Conductor”) has a conductance of 11,000 Siemens. This is an increase of 37.5% from the original modelled response, derived from a surface Time Domain Electromagnetic (“TDEM”) survey (announced 02 July), confirming this is a strong conductor.
To provide context, Kavango has provided a table on its website that presents an idealised resistivity and conductivity spectrum for rocks and mineralisation. The link to this table can be seen below:
According to the updated DHEM model, the B1 Conductor has more elongate dimensions of 600m by 350m, however the position and dip of the plate remain the same. The drill hole is therefore still positioned optimally to intersect this target when drilling resumes in January. The estimated depth to top is 420m, and the dip continues to indicate that the B1 Conductor is cross-formational. This suggests the B1 Conductor may have been emplaced by an as yet unspecified intrusive event and is unlikely to be formational.
As originally planned, Hole KSZDD002 is oriented towards the centre of the B1 Conductor. The Company estimates it will intercept the B1 Conductor between 525m and 575m.
The stratigraphy encountered so far in Hole KSZDD002 is analogous to the stratigraphy encountered in Hole KSZDD001, 1km away.
Kavango’s strategic partner, Spectral Geophysics (“Spectral”), completed the DHEM survey and the data has been separately independently analysed and verified.
Hole KSZDD002 has now been cased off to 350m with HQ casing as part of Kavango’s updated strategy to handle the drilling conditions and maintain hole stability. Equity Drilling and Mindea Exploration and Drilling Services (Pty) have paused drilling operations for the Christmas break and are scheduled to recommence early in the New Year.
Ben Turney, Chief Executive Officer of Kavango Resources, commented:
“We now have the clearest indication yet that Hole KSZDD002 is on course to intercept a major conductor. What that conductor is remains to be seen, but I am extremely grateful for the effort our partners have put into completing the first downhole EM survey.
This drilling campaign in the Kalahari Suture Zone has been a major engineering challenge. Completing downhole EM has proven to be particularly difficult, because we have had to case the boreholes to protect their integrity.
Given the importance of the B1 Conductor in testing our geophysical exploration methods, we knew we had to do everything we could to complete this first survey. Spectral went to great lengths to ensure we had equipment on site to perform the survey as soon as the drillers were ready.
This extra effort has paid off and we look forward to recommencing drilling early in the New Year.”
Further information in respect of the Company and its business interests is provided on the Company’s website at www.kavangoresources.com and on Twitter at #KAV.
For further information please contact:
Kavango Resources plc
Ben Turney
First Equity (Joint Broker)
+44 207 374 2212
Jason Robertson
SI Capital Limited (Joint Broker)
+44 1483 413500
Nick Emerson
Kavango Competent Person Statement
The technical information contained in this announcement pertaining to geophysics have been read and approved by Mr. Jeremy S. Brett, M.Sc., P.Geo., Senior Geophysical Consultant, Jeremy S. Brett International Consulting Ltd. in Toronto, Canada. Mr. Brett is a member of the Professional Geoscientists of Ontario, the Prospectors and Developers Association of Canada, the Canadian Exploration Geophysical Society, and the Society of Economic Geologists. Mr. Brett has sufficient experience that is relevant to geophysics applied the styles of mineralization and types of deposits under consideration to act as a Qualified Person as defined under the Canadian National Instrument 43-101, Standards of Disclosure for Mineral Projects.
Kavango Resources KSZ #KAV – distinctly magnetised 30km target identified
Kavango Resources plc (LSE:KAV), the exploration company targeting the discovery of world-class mineral deposits in Botswana, is pleased to announce the Company has identified 30km strike length of distinct magnetic Proterozoic gabbro (the “30km Strike Length”) within Target Area A of the Kalahari Suture Zone (“KSZ”) Project, in the vicinity of Hole TA2DD002.
The 30km Strike Length is now a high-priority exploration target for the detection of possible large-scale nickel/copper/platinum group element (Ni/Cu/PGE) mineralisation.
Spectral Geophysics (“Spectral”), the Company’s strategic partner, has produced an updated 3D magnetic susceptibility model (the “Updated Mag Sus Model”) of the Proterozoic gabbro in Target Area A. This maps the 30km Strike Length.
According to the Updated Mag Sus Model, zones of the 30km Strike Length can be intercepted as shallow as 500m. Given that the Updated Mag Sus Model has been constrained using stratigraphic data from Hole TA2DD002, the Company is confident in this depth prediction.
Kavango’s confidence in the Updated Mag Sus Model is based on:
I. Physical evidence seen in Proterozoic drill core from Hole TA2DD002 ( announced 14 September )
II. Initial results from the downhole electromagnetic (“DHEM”) survey of Hole TA2DD002 ( announced 29 October )
III. Spectral’s recognised technical experience and expertise
Highlights:
Ø Spectral inverted and reinterpreted ground magnetic survey data to create the Updated Mag Sus Model in the vicinity of Hole TA2DD002
– Spectral has prepared a report for the Company, which describes the analytical methods it used to produce the Updated Mag Sus Model. Kavango will publish this report on its website.
Ø Spectral’s Updated Mag Sus Model:
– Accurately predicts the intersection of TA2DD002 with the Proterozoic gabbro at 650m
– Confirms that Proterozoic rocks are one set of causative bodies for the magnetic anomalies, identified from both aeromagnetic and ground surveys
– Confirms that the extent of the Proterozoic rocks can be mapped using both aeromagnetic and ground magnetic surveying
– Shows that Hole TA2DD002 appears to have clipped the western edge of the more magnetic Proterozoic rocks, which are hosted within the main body of Proterozoic. The main body of the more magnetic Proterozoic rocks appears to extend approximately 350m to the east
– Indicates the Proterozoic rocks could be intercepted at <500m depth to the NNW of TA2DD002
– Suggests the Proterozoic rocks are possibly shallower to the south on the same geological trend
Ø As with the Great Red Spot ( announced 22 November ), Kavango increasingly believes the 30km Strike has potential to host stacked Karoo-age and Proterozoic-age Ni/Cu/PGE mineralisation
– Based on visual inspection of core samples taken from TA2DD002 and KSZD001, the Company’s preliminary view is the Proterozoic rocks in these two areas experienced differing intrusive and/or metamorphosing events ( announced 16 November )
– Kavango will test this theory with detailed petrographic work and various assay techniques, performed by internationally accredited laboratories in South Africa.
Ø Kavango expects to use the Updated Mag Sus model to guide future exploration in the KSZ, specifically to position future Time Domain Electromagnetic (“TDEM”) surveys
Ø The Company will publish images from the Updated Mag Sus Model on its website ( www.kavangoresources.com ) and its Twitter feed ( @KavangoRes )
Ø Kavango will host a shareholder webinar in early December to present its future exploration strategy for the KSZ. Key members of Kavango’s technical team will participate in this event. Details will be published shortly.
Ben Turney, Chief Executive Officer of Kavango Resources, commented:
“Today’s news shows how the various threads of this year’s complex exploration efforts in the Kalahari Suture Zone are starting to tie together. We’ve used the latest remote sensing technology to identify distinct targets, have nearly completed a ground-breaking drill campaign and recovered physical evidence in core samples to support our upgraded geophysical modelling.
It very much feels like we are closing in on a scalable exploration strategy to crack the 5-decade challenge posed by the KSZ.
Spectral Geophysics’ updated magnetic susceptibility model of Target Area A illustrates the enormous prospective potential of our licence areas in this region.
The 30km-long magnetised body, within the Proterozoic gabbro, is just one possible host environment for large-scale nickel/copper/platinum group element mineralisation. Above that sits the Karoo, which still remains a core focus of ours.
The fact that we have at least four other sizeable target zones within 25km distance of of the 30km Strike Length (including the Great Red Spot) highlights how big this project is. The possibility of stacked plays overlying each other, simply adds to the overall promise.
Now that we are increasingly confident in our ability to explore our ground successfully, we look forward to running accelerated field programmes next year. We will present more detail about our updated strategy in our hosted webinar, early next month.”
Further information in respect of the Company and its business interests is provided on the Company’s website at www.kavangoresources.com and on Twitter at #KAV.
For further information please contact:
Kavango Resources plc
Ben Turney
First Equity (Joint Broker)
+44 207 374 2212
Jason Robertson
SI Capital Limited (Joint Broker)
+44 1483 413500
Nick Emerson
Kavango Resources #KAV – Operations Update
Kavango Resources plc (LSE:KAV), the exploration company targeting the discovery of world-class mineral deposits in Botswana, is pleased to provide an operational update.
Highlights
Ø Recruitment of new senior commercial and exploration personnel
– Tiyapo (Tipps) Ngwisanyi is the former and founding CEO of the Government owned Botswana Geoscience Institute. Tipps has joined the Company as Managing Director of Kavango Minerals (Pty) Ltd
– John Lauderdale is a Chartered Geologist and seasoned exploration professional, who has run large-scale exploration programmes across Africa. John has joined Kavango as Senior Consulting Geologist
– Jeremy S. Brett is an internationally recognised Professional Geoscientist who has worked previously in the Kalahari Suture Zone (“KSZ”). Jeremy is now working with Kavango as a Senior Consulting Geophysicist.
Ø Updated geophysical model of Target Area B
– Target Area B covers the “Great Red Spot” magnetic anomaly, which has been subject to previous exploration
– Historic exploration of the Great Red Spot was limited by the technology available at the time
– The Company now believes the primary source of the Great Red Spot’s magnetic anomaly is towards its northern edge
– This appears to be coincidental with Target B1 (announced 2 July 2021). Planned drilling to test this assessment.
– Target B1 is a 475m by 550m conductive anomaly, with a conductance reading of 8,200 Siemens and a decay constant estimated to be in excess of 350ms.
– Jeremy Brett and Kavango CEO Ben Turney have given a short video presentation about the updated geophysical model of Target Area B, which is available through the following link – https://youtu.be/0yQx_vLD8_Y
Ø Drilling update
– Downhole gyroscopic survey complete. TA2DD002 successfully drilled to within 1 degree of original target
– Drilling recommenced at TA2DD002, with target depth of 1,000m expected overnight on Wednesday 22 September
– On completion of operations in Target Area A, the rig will be mobilised to Target Area B
– Kavango will then drill one geological hole into the Great Red Spot and one borehole to intersect the conductor of Target B1
Ben Turney, Chief Executive Officer of Kavango Resources, commented:
“Our vision is to build a world-class minerals exploration firm in Botswana. These senior appointments are a significant step on our way to achieving this vision .
I am delighted to welcome Tipps, John and Jeremy on board. Each brings valuable skills, expertise and experience to Kavango. These senior appointments are the culmination of months of hard work and reflect the significant progress we have made as a business over the course of 2021.
We still have a lot to do to make our first discovery, but it feels like the pieces are falling into place.”
Recruitment of senior team members
Over recent months, Kavango has made the following appointments:
– Tiyapo (Tipps) Ngwisanyi (Managing Director, Kavango Minerals (Pty) Ltd))
Tipps is a geoscientist, who began his career at the Botswana Department of Geological Survey. In 2010 Tipps became Director of the Geological Survey and was then appointed as founding CEO of the Botswana Geoscience Institute in 2015, a position he held until he joined Kavango at the start of August.
As Managing Director of Kavango Minerals (Pty) Ltd, the Company’s local operating subsidiary in Botswana, Tipps is responsible for in-country commercial management and liaisons with all stakeholders, from the Department of Mines to local farmers and community representatives.
– John Lauderdale (Group Consulting Geologist)
John is a Chartered Geologist and seasoned exploration professional, who has been responsible for annual budgets of up to $80million and run teams of <350 personnel. During his career John has successfully worked on projects throughout Africa, from Morocco to South Africa.
Over the last three months John has been helping Kavango implement a comprehensive overhaul of the Company’s in-country operations. John works full time for Kavango and reports directly to the board of directors.
– Jeremy S. Brett (Senior Consulting Geophysicist)
Jeremy is an experienced geoscientist, with a strong geophysical, geological and project management background. Over the last 27 years Jeremy has designed, supervised, quality assured and interpreted geophysical and geological exploration programmes across many base and precious metal projects around the world.
Jeremy has specific relevant experience in exploring for Nickel-Copper-PGEs mafic/ultramafic complexes, having previously worked on the Kalahari Suture Zone for Canadian firms in the late 1990s and early 2000s. Jeremy was responsible for the siting of Hole GRS1, which targeted the centre of the “Great Red Spot” and was drilled to a depth of 934m in 2002.
Jeremy published a paper on the KSZ in the Journal of African Earth Sciences in 2002, titled “Geophysical exploration of the Kalahari Suture Zone”. He has been assisting Kavango since March this year and is now conducting a review of the Company’s geophysical strategy.
Geophysical update on Target Area B
Once current drilling operations are complete at Target Area A in the KSZ, Mindea Exploration and Drilling Services (Pty) (“Mindea”) will immediately mobilise the rig to Target Area B to commence drilling there.
Target Area B is in a distinct geological setting to Target Area A. It covers an area that is known as the “Great Red Spot”, thanks to its physical appearance on magnetic maps. The Great Red Spot is a previously identified large-scale magnetic anomaly that has been subject to limited historic exploration.
In 2002 a Canadian junior exploration company, Opawica Exploration Inc (“Opawica”), drilled Hole GRS-1 into the centre of the Great Red Spot. GRS-1 was drilled to a depth of 934m, encountering 17m of gabbroic rocks from 917m. However, the Company believes that limitations in available geophysical technology meant that accurate profiling of the Great Red Spot was not possible at that time.
Thanks to significant advances in geophysical technology and analytical software over the last two decades, Kavango believes it has now been able to create a more accurate geophysical model of the Great Red Spot (the “New GRS Model”). The New GRS Model combines historic data with data gathered by the Company in its exploration of the KSZ.
The New GRS Model estimates that the primary source of the magnetic anomaly of the Great Red Spot is positioned much closer to its northern boundary than previously recognised. Kavango believes this magnetic anomaly could be associated with a combination of Karoo and/or Proterozoic intrusions.
According to Kavango’s analysis, Target B1 appears to be coincidental with the edge of the magnetic anomaly. The Company will seek to confirm this interpretation through drilling.
Kavango’s Consulting Geophysicist Jeremy Brett and CEO Ben Turney have given a video interview to Alan Green, CEO of Brand Communications, to provide greater context about the Company’s modelling of Target Area B.
The link to this presentation can be viewed here:
Drilling update Hole TA2DD02
Drilling at Hole TA2DD002 was temporarily halted on Tuesday 21 September at 950m to allow for the downhole gyroscopic survey. A gyroscopic survey is used to measure the angle of a borehole. This survey was successfully completed and confirms Hole TA2DD002 has been drilled to within 1 degree of the original objective. Given challenging drilling conditions closer to surface and the depth Hole TA2DD002 has been drilled to, the Company regards this as a notable technical success by Mindea and Equity Drilling Ltd.
Drilling has subsequently resumed and is expected to reach the final target depth of 1,000m overnight on Wednesday 22 September.
Kavango has used a TLB Loader to prepare a 20km roadway from Target Area A to Target Area B, so that the drill rig and accompanying equipment can be transported quickly and safely.
Kavango has also prepared drills pads and now plans to drill two boreholes:
– First, the Company plans to drill a geological hole to a depth of up to 1,000m, targeting what it believes to be the shallowest point of the magnetic high of the Great Red Spot. Kavango expects to encounter Karoo and Proterozoic gabbros in this hole.
– Second, the Company plans to drill a hole to intersect Target B1 to an estimated depth of up to 600m. Target B1 is a 475m by 550m conductive anomaly, with a conductance reading of 8,200 Siemens and a decay constant estimated to be in excess of 350ms. Kavango’s geophysical model estimates that Target B1 is positioned at the northern edge of the Great Red Spot.
The primary objective of both boreholes is to extract core samples for full sweep rock analysis.
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Further information in respect of the Company and its business interests is provided on the Company’s website at www.kavangoresources.com and on Twitter at #KAV.
For additional information please contact:
Kavango Resources plc
Ben Turney
+46 7697 406 06
First Equity (Joint Broker)
+44 207 374 2212
Jason Robertson
SI Capital Limited (Joint Broker)
+44 1483 413500
Nick Emerson
Kavango Competent Person Statement
The information in this press release that relates to “geological and/or geophysical results” for the KSZ Project is based on information compiled or reviewed by Mr Mike Moles BSc (Geology) & BSocSci (African Studies), a competent person who is a Member of the Australian Institute of Mining & Metallurgy. Mr Moles has sufficient experience that is relevant to the style of mineralisation and type of deposits 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’. Mr Moles consents to the inclusion in this release of the exploration results for the Project in the form and context in which it appears. Mr Moles is a beneficial shareholder of Kavango Resources plc.
Kavango Resources #KAV – KSZ Update & Expansion
Kavango Resources plc (LSE:KAV), the exploration company targeting the discovery of world-class mineral deposits in Botswana, is pleased to provide an update on its Kalahari Suture Zone (“KSZ”) Project.
Highlights:
Ø Update on Hole TA2DD002:
– TA2DD002 is the second hole in the planned 6-hole programme currently being undertaken to investigate the Karoo gabbros in the Hukuntsi section of the KSZ.
– Double shift drilling commenced on Friday 20 August
– As of 1800 on Sunday 22 August the Hole was at 137m
– Hole to test deeper Karoo gabbro “keel”, believed to be connected to the same gabbro encountered in Hole TA2DD001 (announced 16 August 2021), 1km to the west
– Additional objective to test potential contact between Karoo and Proterozoic gabbros, which might represent a possible ‘feeder zone’
– Hole to target western part of the same >1km geophysical anomaly (“Target A2”) drilled at Hole TA2DD001 (announced 20 April 2021)
– Anticipated target depth of 400m to 450m (though preparations in place to drill up to 800m depending on contact with any gabbro encountered)
Ø Downhole electromagnetic (“EM”) survey Hole TA2DD001
– Hole cased down to 393m from surface with steel casing, because of broken ground conditions
– EM probe run by Spectral Geophysics Ltd (“Spectral) from 394m to 560m
– According to analysis from Spectral, the A2 Time Domain Electromagnetic (“TDEM”) anomaly has been masked by the steel casing at 370m (i.e. the EM signal could not penetrate it)
– Results inconclusive, but alternative options being evaluated for future hole design and possible downhole EM surveys
Ø Award of two new PLs in the KSZ covering a combined 1,258km2
– Applied for in March 2021
– PL081/2021 covers 987.8km2 across the eastern edge of the KSZ
– PL080/2021 covers 270.4km2 and is contiguous with the Company’s existing PLs in the northern section of the KSZ
– Both are 3-year licences, with the option of two 2-year renewal periods
– £52,000 spending commitment in each PL over first 3 years
– Kavango now holds 14 PLs in the KSZ, covering 8,751.7km2
Ben Turney, Chief Executive Officer of Kavango Resources, commented:
“I’m very pleased at how quickly we’ve progressed to double shift drilling at Hole TA2DD002. We are now successfully moving through the gears of this drill campaign. The speed at which Equity Drilling/Mindea safely mobilised the rig to the new site is encouraging.
Core recovery continues to be consistent and of the highest standard.
Meanwhile, the inconclusive results of the downhole EM survey of Hole TA2DD001 emphasise some of the engineering challenges we face. Keeping a deep hole open to depth in the KSZ is tough. It’s a credit to the drillers that Spectral got the EM probe from 394m depth to 560m, but the steel casing from surface to 393m meant readings could not be taken below this depth. We now believe the primary A2 Conductor is at 370m.
While the cores we extract are by far the most important data source, it would have been helpful to see the EM response of the A2 Conductor at its base. The steel casing will be left in place for the time being, until the downhole survey (to confirm the orientation of the hole) is completed. At this point we will seek to remove the casing and possibly run another, shallower downhole EM survey. However, given what we have experienced so far with the ground closing in on itself, we have modest expectations about whether this will be possible.
Whatever the case, the results of the assays and the whole rock geochemical analyses should provide us with the most valuable evidence we need to guide future exploration.
With the award of 1,258km2 of new prospecting licences and working capital over £3million, Kavango is well-positioned to take full advantage of its strategic hold over this highly prospective region.”
Further information in respect of the Company and its business interests is provided on the Company’s website at www.kavangoresources.com and on Twitter at #KAV.
For further information please contact:
Kavango Resources plc
Ben Turney
First Equity (Joint Broker)
+44 207 374 2212
Jason Robertson
SI Capital Limited (Joint Broker)
+44 1483 413500
Nick Emerson
Kavango Competent Person Statement
The technical information contained in this announcement and the map of the A-C Corridor have been read and approved by Mr Mike Moles (BSc (Geology) & BSocSci (African Studies), who is a Member of the Australian Institute of Mining & Metallurgy (MAusIMM) and has sufficient experience that is relevant to the style of mineralisation and type of deposits under consideration 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 Moles is a beneficial shareholder of Kavango Resources plc.
Note to Editors:
THE KALAHARI SUTURE ZONE
Kavango’s 100% subsidiary in Botswana, Kavango Minerals (Pty) Ltd, is the holder of 14 prospecting licences covering 8,751.7km2 of ground, including 12 licences over a significant portion of the 450km long KSZ magnetic anomaly in the southwest of the country along which Kavango is exploring for Copper-Nickel-PGM rich sulphide ore bodies. This large area, which is entirely covered by Cretaceous and post-Cretaceous Kalahari Sediments, has not previously been explored using modern techniques.
The area covered by Kavango’s KSZ licences displays a geological setting with distinct similarities to that hosting World Class magmatic sulphide deposits such as those at Norilsk (Siberia) and Voisey’s Bay (Canada).
The Norilsk mining centre is about 2,800km northeast of Moscow and accounts for 90% of Russia’s nickel reserves, 55% of its copper and virtually all of its PGMs. Kavango’s licenses in the KSZ display a geological setting with distinct geological similarities to the magmatic sulphide deposits at Norilsk. Magma plumbing systems are a key feature of these deposits.
KSZ DEFINITIONS
EM Super Conductors: are bodies of highly conductive minerals such as graphite, magnetite and metal sulphides, which conduct electricity very rapidly provided the mineral grains are in contact with each other.
Gabbro/gabbroic: A coarse grained, medium to dark coloured rock, formed from the intrusion of mantle derived molten magma into the earth’s crust. Gabbroic rocks (or “gabbros”) are formed as the molten magma crystallizes and cools.
Gabbroic sills: Relatively thin, planar, horizontal bodies of solidified gabbroic magma that intruded into layers of sedimentary rock whilst still molten.
Karoo: The Karoo System covers 1.5 million km2 of the semi-desert region of Southern Africa. Rocks in this system formed 180-310 million years ago.
Massive sulphide: When a deposit consists almost entirely of sulphides it is termed “massive”. When it consists of grains or crystals of sulphide in a matrix of silicate minerals, it is termed “disseminated”.
Metal/Magmatic sulphide: Deposits of sulphide mineral concentrations in mafic and ultramafic rocks, derived from immiscible sulphide liquids. To view a video of how metal/magmatic sulphides form please visit –
https://twitter.com/KavangoRes/status/1316004057895645186?s=20
Norilsk Style: copper/nickel/PGE mineralisation associated with the intrusion into the upper parts of the Earth’s crust of mafic magma, which form magma chambers that sit below volcanic vents or fissures that extrude basaltic lava onto the surface (Hawaii is a possible modern equivalent). The Norilsk intrusions tend to have distinct morphologies, combining thin gabbro sills (wings) with deep keels (thought to be associated with feeder dykes) at the base.
Norilsk Model: a genetic geological model similar to that pertaining to the Norilsk/Talnakh deposits in Siberia. Traditionally, it was thought that, during emplacement, the magma incorporated sulphur rich country rock (e.g. coal measures) or evaporites into the melt, which allowed the molten magma to become sulphur saturated. The free sulphur would then combine, preferentially, with Cu/Ni/PGE metal ions to form metal sulphides, which, being heavy, tended to accumulate in traps or into the keel of the magma chamber. However, modern research suggests that the process might be more complex and may also involve changes of the chemical and physical properties of the magma during the introduction of new pulses of molten material from below. Such sudden changes may have caused rapid segregation of metal sulphides within and above the feeder dykes within the keel of the intrusion.
Sulphide mineralisation: If there is sufficient sulphur in the molten magma, it will tend to combine with metals (Cu, Zn, Ni, Co, Pb, PGEs etc.) to form metal sulphide complexes, which may coalesce to form massive sulphide deposits. If the melt is sulphide poor, the metals will be taken up into the silicate minerals that form as the magma cools and will not usually form economic deposits.