Jangada Mines plc, a natural resources company developing South America’s largest and most advanced platinum group metals (‘PGM’) project, is pleased to announce positive sampling and metallurgical test results from the vanadium deposit occurring at its Pedra Branca PGM project in north-eastern Brazil (‘the Project’), as part of its strategy to increase by-product credits.
Overview
· Results highlight high-grade vanadium-titanium-iron mineralisation
o Grades in outcrop samples from five locations average 0.33% vanadium, 5.0% titanium and 53% iron
o Grade and rock chemistry between samples showing consistent low variance
o Strong market dynamics for vanadium pricing
· Vanadium deposit associated with a large magnetic anomaly identified by Anglo American Platinum Exploration in 2015
· Company on track to complete Scoping Study in the near term, with a view to commencing trial mining early 2018
Brian McMaster, Executive Chairman of Jangada said,
“In addition to the already quantified PGM, cobalt, nickel, copper and chrome resources at Pedra Branca, the vanadium results demonstrate the significant exploration potential of the 44 exploration licenses over the 55,000 ha that Jangada holds in the area. The prospectivity of the Project’s tenements is highly encouraging: at least 11 other PGM targets have also been confirmed by drilling and forms the basis for our target to significantly increase resources from the current c.1 million ounces PGM+Au.
“We remain focused on executing our objective of developing South America’s largest and most advanced PGM resource, targeting trial production in early 2018, while systematically unlocking the additional regional upside. Vanadium is particularly exciting given its increasing usage in grid scale vanadium redox flow batteries for solar and wind energy storage and continuing traditional demand from the high technology and steel making industries. Accordingly, the price of vanadium pentoxide has increased 500% since January 2016 and is currently trading at c.$8.50/lb.”
Further Information
Jangada is developing the Pedra Branca PGM project, one of the largest undeveloped PGM projects outside of Africa. The Company announced on 9 October 2017 a significant upgrade in the Project’s mineral resource classification: 77% of the Project’s resources are now in the Indicated and Measured categories and are expected to be converted to economic Reserves during the finalisation of the Prefeasibility Study. Ahead of that, a Scoping Study is on track to be completed in the near term.
The Project currently has a JORC (2012) Compliant Resource of approximately 1 million ounces of PGM+Au, which it aims to increase significantly. Current work is focused on enhancing the in-situ value of the Project with the addition of by-product credits including cobalt, chrome, nickel, and copper. Today’s results now highlight high-grade vanadium-titanium-iron mineralisation at the Project. Grades in outcrop samples from five locations average 0.33% vanadium, 5.0% titanium and 53% iron, with grade and rock chemistry between samples showing consistent low variance. Test results demonstrate that the ore is amenable to simple magnetic separation and produced fractions rich in vanadium (0.8%), and iron (64%) – titanium was enriched to 46% in the non-magnetic fraction.
The vanadium deposit is associated with a large magnetic anomaly identified by Anglo American Platinum Exploration in 2015; geophysical modelling (3D inversion) of the data has shown the anomaly to be approximately 2km long, 1km wide with a depth 200m. Mineralisation has been mapped in outcrop for 520m directly above the anomaly. Two further 20kg samples have been submitted for metallurgical testing and characterisation at NOMOS Laboratories in Rio de Janeiro, Brazil.
Cautionary Statements
The reader is cautioned that a Mineral Resource is an estimate only and not a precise and completely accurate calculation, being dependent on the interpretation of the limited information on the location, shape, and the continuity of the occurrence and the available sampling results. Actual mineralisation can be more or less than estimated depending upon the actual geological conditions. Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. No Mineral Reserves are being stated.
