Kodal Minerals PLC (AIM: KOD) has reported a substantial 40% increase in the JORC mineral resource estimate for its Bougouni Mineral Project in southern Mali compared to previous figures.
This notable enhancement primarily concerns the Ngoualana and Boumou deposits, following drilling activities carried out in early 2023.
The updated figures for the Bougouni project show an addition of 10.6 million tonnes to the spodumene resource, bringing the total estimate to 31.9 million tonnes with a Lithium Oxide Li2O grade of 1.06%. This increase results from 3,230 meters of combined RC and diamond drilling conducted in 2023.
Kodal Minerals is preparing to launch another drilling campaign soon. This upcoming phase will concentrate on additional resource definition, infill, and exploratory drilling at the Boumou and Sogola-Baoule prospects. It will also extend to areas not yet included in the mineral resource estimate, such as Kola and Bougouni South, all located within the existing Bougouni mining license.
Highlights
· The 40% increase in Bougouni’s spodumene resource adds 10.6Mt to bring the overall MRE to 31.9Mt at 1.06% Li2O following 3,230 metres of RC/diamond drilling during 2023.
· New JORC Mineral Resource estimates have been prepared for the Boumou and Ngoualana prospects:
o Boumou: 13.1Mt at 1.04% Li2O, an increase of 236% from the 2019 estimate
(Boumou Resource reported using a 0.75% Li2O lower cut-off, no top cut-off)
o Ngoualana: 6.7Mt at 1.00% Li2O, an increase of 9% from the 2019 estimate
(Ngoualana MRE reported using 0.5% Li2O lower cut-off, no top cut applied)
The MRE update also improves Kodal management’s confidence in the previously defined resource at the Ngoualana prospect ahead of the proposed DMS mining development.
· Sogola-Baoulé prospect has a resource of 12.2Mt at 1.1% Li2O, which is unchanged from the 2019 resource estimate, and the next phase of drilling will include additional metres with potential to expand Sogola-Baoulé.
· Boumou prospect remains open along strike and drilling is planned to commence in late November 2023 to target an additional 750m strike length.
· Ngoualana resource is undergoing open pit optimisation and the mine design is being updated to capture the increased resources, and to support the final planning of the Ngoualana prospect’s DMS development.
· The next drilling campaign will commence imminently, focussing on further resource definition, infill and exploration drilling at Boumou and Sogola-Baoule prospects, as well as those not included in the MRE to date including Kola and Bougouni South, all within the current Bougouni mining licence.
Bernard Aylward, the CEO of Kodal Minerals, commented on the development, saying, “The significant boost in Bougouni’s lithium resources marks a major step in our journey to become a key spodumene producer in West Africa.”
Aylward expressed enthusiasm about initiating production at Bougouni by the end of 2024. He also highlighted plans to expand the drilling program to encompass infill and extension definition drilling, along with the exploration of new finds within their extensive mining license.
“We are actively planning the next stages of extension and definition drilling at the Bougouni Lithium Project, with a special focus on the Boumou prospect,” Aylward further stated.
