Maiden Lithium Resource of 3.2Mt for the Mina do Barroso Lithium Project, Portugal
with Significant Expansion Potential
Savannah Resources plc (AIM: SAV) (‘Savannah’ or ‘the Company’), the AIM quoted resource development company, is pleased to announce a maiden Mineral Resource Estimate of 3.2 million tonnes for the Reservatorio Deposit, which is one of three targets currently being advanced as part of the ongoing exploration and development programme for the Mina do
Barroso Lithium Project (‘Mina do Barroso’ or the ‘Project’) in northern Portugal (Figure 1). Crucially further upside remains as the drill programme is ongoing, with the aim of further expanding the Reservatorio Mineral Resource and defining new JORC – 2012 compliant Mineral Resource Estimates at other deposits.
• Initial Inferred Mineral Resource of 3.2Mt at 1.0% Li₂O containing 32,000t of Li₂O for Reservatorio Deposit
• Reservatorio is one of at least eight pegmatite deposits on the Mina do Barroso Mining Lease and one of three deposits currently being drilled
• Further drilling is now planned both down dip and targeting the potential eastern extension of the deposit where higher lithium grades occur
• Mineral Resource updates are likely for Reservatorio during 2018 as the drilling programme continues
• A maiden Mineral Resource Estimate for the Grandao deposit is expected during Q1 2018
• Drilling is ongoing and will take a short break over Christmas before commencing again in early January at which time a second rig will be introduced to accelerate the drilling programme
Savannah’s CEO, David Archer said: “That we have an estimated 3.2 million tonne Resource from just one of at least eight pegmatite deposits at our Mina do Barroso Lithium Project gives an indication of the potential scale of this project. We are now focused on defining a significant aggregate Mineral Resource from the multiple pegmatites that sit within the major
lithium mineralised corridor that runs through our Mining Lease. The first to add to this aggregate Mineral Resource will be the high-grade (up to 2.1% Li₂O) Grandao deposit where we have completed extensive drilling and expect to deliver a Resource Estimate in the first quarter of 2018.
“The drilling results announced to date continue to underscore the potential of the Mina do Barroso Lithium Project to be a strategic upstream feature in the European lithium value chain. We believe Mina do Barroso is the closest European analogue to the very successful Australian hard-rock, open cut mine developments, which produce highly sought-after lithium spodumene concentrates for international markets. Our focus is therefore on rapidly advancing the project so that we can look to provide a European source of battery-grade lithium to supply the growing number of European battery manufacturers. With this in mind, we look forward to continuing to advance at pace our drilling and metallurgical test work programmes, which will be used to support an early scoping study around a potential mine development.”
Mineral Resource Estimate
A Mineral Resource Estimate for the Reservatorio lithium deposit (Table 1-2 and Figures 2-4) has been completed by Payne Geological Services Pty. Ltd, an external and independent mining consultancy. The Reservatorio deposit forms part of Savannah’s Mina do Barroso project in northern Portugal. The deposit largely comprises a single, tabular pegmatite dyke
with minor splays and the estimate is based entirely on results from 20 reverse circulation holes drilled by Savannah in 2017.
The deposit outcrops over a strike length of approximately 500m and remains open, particularly at depth. The Mineral Resource has been classified as Inferred Mineral Resource in accordance with the JORC Code, 2012 Edition.
Figure 3. Reservatorio Deposit – Mineral Estimate Model looking South
Full RNS Update: HERE
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