Premier African Minerals Ltd (AIM: PREM, OTC: PRMMF) has reported a substantial increase in mineral resources at its Zulu Lithium and Tantalum Project in Zimbabwe.
The latest update indicates a 23% rise in lithium resources and a 17% increase in tantalum compared to previous estimates. The company also highlighted an enhancement in the quality of the lithium ore.
According to the updated figures, which comply with JORC and SAMREC standards, the deposit is estimated to contain over 131,000 tonnes of lithium oxide (Li2O). This could potentially be processed into approximately 2.2 million tonnes of spodumene concentrate, a lithium-rich material used in battery production.
The deposit also contains approximately 1.2 million kilograms of tantalum, a rare metal essential for electronic components.
This update follows ongoing mining activities that have yielded more precise data on the quality of the extracted ore. The company anticipates further updates as mining progresses and additional analysis of the deposit is conducted.
George Roach, CEO commented: “This updated MRE represents a 23% increase in contained Spodumene, a 17% increase in contained tantalum and an improved grade at a 0% cutoff of 0.54% Li2O compared to the MRE published in February 2024. The increases are attributable to several reasons that include the fact that mining development and grade control indicates in situ grade estimates are understating the actual grades being mined, an adjustment in ore body density, and additional data now included. The updated MRE has been prepared on a depleted basis following mining conducted to date.
It should be noted that with ongoing mining activities, further sections of the ore body are expected to be reclassified into a measured category that will be supported by close-spaced in pit grade control assessments from time to time.
It is worth noting that this MRE is based on an assumed 80% of the total Li2O grade of the ore body being attributable to the SQI dominant style of mineralisation, which the Company believes is conservative and ongoing analysis of the mineral assemblage may support an increase in this percentage with potential increases in the contained spodumene. We have previously set out our expectation that Zulu is likely to produce spodumene concentrates with low iron and higher spodumene concentrate grades.
Certain necessary plant issues are being attended to and will be dealt with in a separate announcement to follow shortly”.
About Zulu:
Zulu comprises 14 mineral claims covering a surface area of 3.5 km² that are contained within a larger Exclusive Prospecting Order (EPO), and which are prospective for tantalum and lithium mineralisation. The project is located 80 km as east of Bulawayo. Fort Rixon is some 15 km further to the west of the project; the nearest village is Pioneer Village n°2, approximately 1 km to the south of the main deposits.
Geology
Bruce Cumming, a consulting geologist to Premier, has reviewed and approved this release to the extent that reference is made to the geology and mineralogy of the Zulu pegmatites. Mr. Cumming is a SACNASP and GSSA registered geoscientist with 48 years’ experience in exploration and project management, in multicommodity projects throughout Africa.
