Sovereign Metals Limited: Drilling Triples Mineralised Area at Kasiya

Sovereign Metals Limited (the Company or Sovereign) is pleased to announce Phase 7 drill results from Kasiya, the Company’s flagship, large, high-grade rutile deposit in Malawi. This substantial batch of drill-holes has tripled the rutile-mineralised footprint to ~66km2.

 

HIGHLIGHTS

-         Phase 7 drilling has substantially extended the strike length of the rutile-mineralised envelope to over 16km with widths of up to 6km (previously ~7.5km by up to 3km)

-         Mineralised envelope has tripled in footprint size to ~66km2 (previously ~22km2)

-         Numerous new areas of high-grade rutile defined (see highlight results on page 2)

 

 

Figure 1. Kasiya drill plan showing rutile-mineralised envelope with the new extended areas identified in the Phase 7 extensional drill-holes.

 

-         Key Phase 7 extensional and infill hand auger rutile drilling results include;

 

Extensional drill-hole results

-            9m @ 1.02% inc. 4m @ 1.30% rutile

-          13m @ 1.01% inc. 3m @ 1.32% rutile

-            8m @ 1.43% inc. 5m @ 1.60% rutile

-          10m @ 1.41% inc. 4m @ 1.88% rutile

-            8m @ 1.15% inc. 4m @ 1.73% rutile

-            9m @ 1.00% inc. 4m @ 1.25% rutile

-          14m @ 0.96% inc. 4m @ 1.66% rutile

-           

-          13m @ 1.02% inc. 5m @ 1.30% rutile

-           

-          12m @ 1.47% inc. 4m @ 2.00% rutile

-          11m @ 1.05% inc. 5m @ 1.36% rutile

-            8m @ 0.81% inc. 4m @ 1.08% rutile

-          12m @ 0.79% inc. 4m @ 1.15% rutile

-          14m @ 0.86% inc. 4m @ 1.24% rutile

-          12m @ 1.07% inc. 4m @ 1.63% rutile

-          12m @ 1.07% incl. 8m @ 1.18% rutile

-          12m @ 0.99% inc. 2m @ 1.30% rutile

 

 

Infill drill-hole results

-          12m @ 1.01% inc. 4m @ 1.24% rutile

-          16m @ 1.16% inc. 4m @ 1.60% rutile

-           

-            6m @ 1.17% inc. 2m @ 2.18% rutile

-          9m @ 1.27% inc. 2m @ 2.00% rutile

-          7m @ 1.27% inc. 2m @ 1.92% rutile       

-          10m @ 1.19% inc. 2m @ 1.31% rutile

-          8m @ 1.47% inc. 2m @ 1.60% rutile

-          13m @ 0.94% inc. 3m @ 1.76% rutile

-           

 

Sovereign’s Managing Director Dr Julian Stephens commented:

“This is an incredible outcome with a three-fold increase of the rutile-mineralised footprint to over 66km2. These new drill results show a step-change increase in the potential size of Kasiya and highlight that it could well develop into one of the largest rutile deposits in the world. In conjunction with the recent exceptional metallurgical outcomes, these results confirm our view that Kasiya is quickly becoming a globally significant rutile deposit.”

 

 

ENQUIRIES

Dr Julian Stephens (Perth)

Managing Director

+61(8) 9322 6322 

 

Sam Cordin (Perth)

+61(8) 9322 6322 

 

Sapan Ghai (London)

+44 207 478 3900

 

KASIYA DRILLING – PHASE 7

The Phase 7 results include extensional and infill drilling comprising a further 82 hand-auger holes (50 extensional and 32 infill) for a total of 819m. With the inclusion of Phase 7 the total number of holes reported from Kasiya to date is now 233 with 2,298m drilled.

 

This drilling has substantially extended the strike length of the rutile-mineralised envelope to over 16km and expanded the width to up to 6km (Figures 1, 2 and 3) from the previous 7.5km by up to 3km.

 

In terms of area, the mineralised envelope has approximately tripled in footprint size to ~66km2 from the previous ~22km2. The mineralised envelope continues to remain open along strike to the north and south, and laterally at its widest zone to the east.

 

A number of the extensional holes were drilled to the east, north and south-east of the core mineralised zone at a nominal 400m x 400m drill spacing and fall within the targeted area for the upcoming Mineral Resource Estimate (MRE) (Figure 2). These extensional holes have provided a significant expansion to the widest, central core zone of high-grade rutile mineralisation. A significant number of high-grade rutile drill intercepts from surface were encountered in these holes.

 

 

Figure 2. Close-up of the central zone of Kasiya showing the area designated for consideration in the maiden MRE.

 

The infill drilling results continue to show high rutile grades from surface, as expected, with the infill drill holes limited to the central portion of the main resource target area.

 

The Phase 7 drill results continue to show high-grade rutile from surface to as deep as 16m. Significant rutile enrichment is generally present in the 0-8m from surface range. In most cases, drill depth was restricted by the hand-auger drilling equipment capacity and it is assumed that free-dig rutile mineralisation should continue vertically to the base of saprolite estimated at approximately 25m depth from surface.

 

These results continue to validate the Company’s geological exploration model and provide a step-change in the potential size of Kasiya. It is now clear that Sovereign’s geological team has the ability to predict, with some accuracy, new areas of rutile mineralisation prior to any on-ground soil sampling or drilling. If the Company’s geological exploration model continues to hold true regionally, the rutile potential across Sovereign’s exploration licences in Malawi is immense.

 

 

Figure 3. Kasiya map outlining the extensional mineralisation outside of the area under consideration for the MRE and showing the considerable expansion of the mineralised footprint. 

 

CONCLUSIONS & FORWARD PLAN

In a step-change for Kasiya, this substantial batch of the Phase 7 drill results has increased the mineralised footprint area three-fold. The results continue to build on the previous phases of drilling with high-grade rutile consistently intercepted from surface across the now 66km2 mineralisation footprint.

 

The central zone of ~30km2, where the nominal drill spacing is 400m x 400m or closer, will be under consideration for the maiden MRE. The Company’s objective is to delineate a large rutile resource that could support a long-life, large-scale rutile operation. 

 

Additionally, Sovereign has recently achieved exceptional outcomes from its bulk scale metallurgy program. Premium chemical and sizing parameters were produced with over 98% recovery, via simple, conventional “off the shelf” processing methods. This continues to consolidate our view that we have discovered a potentially globally significant rutile deposit at Kasiya in Malawi that forms part of a new rutile province.

 

The ongoing work programs for Kasiya and the other prospects within the Company’s large ground package include;

-         Reporting of one further batch of mainly infill drill holes over the coming weeks ahead of the maiden Mineral Resource Estimate for Kasiya targeted for Q4 2020;

-         Step-out and extensional drilling at Kasiya and the broader surrounding area to identify extensions and discover new regional mineralised zones;

-         Push-tube drilling at Kasiya to twin hand-auger holes and to obtain cored samples for specific gravity (SG) determination and initial geotechnical and mining studies;

-         Mining and tailings studies continue and will feed into a future Scoping Study targeted for H1 2021;

-         Feedback from rutile product sample assessment by major industry end-users to be incorporated into marketing studies in support of the upcoming Scoping Study; and

-         Investigation of the potential for a coarse-flake graphite by-product from Kasiya.

 

 

Figure 4. Sovereign’s field team hand-auger drilling for rutile.

 

A NEW RUTILE PROVINCE

The Central Malawi Rutile Project (Project) features two confirmed, discrete rutile mineralisation styles hosted saprolite (soft, friable weathered material) and sand. Both styles are amenable to conventional processing.

In addition to the flagship Kasiya, the Company has identified numerous other saprolite-hosted rutile prospects and targets. The Bua Channel is the Company’s high-grade, rutile dominant, sand-hosted placer prospect along a 50km length of a fluvial channel system. Drilling in the southern part of the Bua Channel over ~8km confirmed excellent rutile grades with accessory ilmenite.

 

 

Figure 5. Map of the broader Kasiya and Bua Channel area showing the multiple rutile prospects and targets and their proximity to the Nacala Rail Corridor.

 

This potentially globally significant rutile province is located in Malawi, a stable, transparent jurisdiction. Malawi is increasingly attracting international investment with substantial potential for mining to contribute to the country’s economic growth and development. Central Malawi boasts excellent existing infrastructure including grid power and an excellent sealed road network. The Project is strategically located in close-proximity to the capital city of Lilongwe, providing access to a skilled workforce and mining and industrial services. The location provides access to the operating Nacala Rail Corridor linking to the Indian Ocean port of Nacala in Mozambique, providing a low-cost transport solution and access to major international markets.

 

DRILL RESULTS

Drilling results from Phase 7 at Kasiya are shown below in Table 1.

Hole ID

Interval Thickness

Rutile %

From (m) Downhole

Comments

Purpose

KYHA0142

7

0.81

3m

open at depth

Infill

incl

3

1.11

3m

 

 

KYHA0143

9

1.27

surface

open at depth

infill

incl

6

1.35

surface

 

 

incl

2

2.00

surface

 

 

KYHA0144

7

1.27

surface

open at depth

infill

incl

5

1.40

surface

 

 

incl

2

1.92

surface

 

 

KYHA0145

11

0.76

surface

open at depth

Infill

incl

5

1.03

surface

 

 

KYHA0146

6

1.10

2m

open at depth

Infill

KYHA0147

2

0.64

surface

 

Infill

KYHA0148

No significant results

Extensional

KYHA0149

9

1.02

surface

open at depth

Extensional

incl

4

1.30

surface

 

 

KYHA0150

2

1.18

1m

 

Extensional

KYHA0151

5

0.52

surface

 

Extensional

KYHA0152

10

0.84

surface

open at depth

Extensional

incl

6

1.04

surface

 

 

incl

2

1.72

surface

 

 

KYHA0153

6

0.99

surface

 

Extensional

incl

2

1.43

surface

 

 

KYHA0154

13

1.01

surface

open at depth

Extensional

incl

3

1.32

surface

 

 

KYHA0155

13

0.76

surface

open at depth

Extensional

incl

3

1.29

surface

 

 

KYHA0156

8

1.43

surface

open at depth

Extensional

incl

5

1.60

surface

 

 

KYHA0157

10

1.41

surface

open at depth

Extensional

incl

4

1.88

surface

 

 

KYHA0158

7

0.66

surface

 

Extensional

KYHA0159

7

0.99

surface

open at depth

Extensional

incl

3

1.24

surface

 

 

KYHA0160

8

1.15

surface

open at depth

Extensional

incl

4

1.73

surface

 

 

KYHA0161

4

1.48

surface

Hole failed at 4m

Extensional

KYHA0162

10

0.92

surface

open at depth

Extensional

incl

3

1.10

surface

 

 

KYHA0163

2

1.45

surface

 

Extensional

KYHA0164

9

1.00

surface

open at depth

Extensional

incl

4

1.25

surface

 

 

KYHA0165

14

0.96

surface

open at depth

Extensional

incl

4

1.66

surface

 

 

KYHA0166

5

1.25

surface

 

Extensional

KYHA0167

7

0.69

surface

 

Extensional

KYHA0168

No significant results

Extensional

KYHA0169

10

1.19

surface

open at depth

infill

incl

2

1.31

surface

 

 

KYHA0170

13

1.02

surface

open at depth

Extensional

incl

8

1.20

surface

 

 

incl

5

1.30

surface

 

 

KYHA0171

8

1.47

1m

open at depth

infill

incl

2

1.60

1m

 

 

KYHA0172

5

0.91

surface

 

Extensional

KYHA0173

12

1.47

surface

open at depth

Extensional

incl

7

1.72

surface

 

 

incl

4

2.00

surface

 

 

KYHA0174

3

0.69

surface

 

Extensional

KYHA0175

6

0.94

surface

 

Extensional

incl

2

1.28

surface

 

 

KYHA0176

10

0.97

1m

open at depth

Extensional

incl

5

1.07

1m

 

 

incl

2

1.24

1m

 

 

KYHA0177

11

1.05

surface

open at depth

Extensional

incl

7

1.20

surface

 

 

incl

5

1.36

surface

 

 

KYHA0178

6

0.83

1m

open at depth

Extensional

incl

2

1.13

1m

 

 

KYHA0211

9

0.74

surface

open at depth

Extensional

KYHA0212

4

0.70

surface

 

Extensional

KYHA0213

8

0.81

surface

 

Extensional

incl

4

1.08

surface

 

 

KYHA0214

No significant results

Extensional

KYHA0215

8

0.70

surface

 

Extensional

KYHA0216

5

0.56

surface

open at depth

Extensional

KYHA0217

2

0.70

surface

 

Extensional

KYHA0218

12

0.79

surface

open at depth

Extensional

incl

8

0.94

from 4m

 

 

incl

4

1.15

from 8m

 

 

KYHA0219

14

0.86

surface

open at depth

Extensional

incl

8

0.96

surface

 

 

incl

4

1.24

surface

 

 

KYHA0220

11

0.96

surface

open at depth

Extensional

incl

8

1.02

surface

 

 

incl

4

1.18

surface

 

 

KYHA0221

5

0.65

surface

 

Extensional

KYHA0222

9

0.77

surface

 

Extensional

incl

5

0.96

surface

 

 

KYHA0223

No significant results

Extensional

KYHA0224

3

0.53

surface

 

Extensional

KYHA0225

12

1.07

surface

open at depth

Extensional

incl

8

1.23

surface

 

 

incl

4

1.63

surface

 

 

KYHA0226

3

0.74

surface

open at depth

Extensional

KYHA0227

5

0.82

surface

 

Extensional

incl

2

1.18

surface

 

 

KYHA0228

12

0.99

surface

open at depth

Extensional

incl

2

1.30

surface

 

 

KYHA0229

8

0.95

surface

open at depth

Infill

incl

5

1.19

surface

 

 

incl

2

1.76

surface

 

 

KYHA0230

12

1.01

surface

open at depth

Infill

incl

4

1.24

surface

 

 

KYHA0231

16

1.16

surface

open at depth

Infill

incl

8

1.35

surface

 

 

incl

4

1.60

surface

 

 

KYHA0232

14

0.91

surface

open at depth

Infill

incl

8

1.08

surface

 

 

incl

4

1.23

surface

 

 

KYHA0233

6

0.70

surface

open at depth

Infill

KYHA0234

11

0.92

surface

open at depth

extensional

incl

3

1.24

surface

 

 

KYHA0235

10

0.84

surface

 

extensional

incl

5

1.11

surface

 

 

KYHA0236

12

1.07

surface

open at depth

extensional

incl

8

1.18

surface

 

 

KYHA0237

6

0.81

surface

open at depth

Infill

incl

2

1.18

surface

 

 

KYHA0238

No significant results

Infill

KYHA0239

4

0.56

surface

 

Infill

KYHA0240

3

1.57

surface

Hole failed at 3m

Infill

KYHA0241

4

1.39

surface

 

Infill

KYHA0242

2

0.71

surface

 

Infill

KYHA0243

7

0.65

surface

open at depth

Infill

incl

2

0.85

surface

 

 

KYHA0244

6

0.87

surface

open at depth

Infill

incl

2

1.20

surface

 

 

KYHA0245

4

1.29

surface

open at depth

Infill

incl

2

1.83

surface

 

 

KYHA0246

9

0.91

surface

open at depth

Infill

incl

5

1.00

surface

 

 

incl

2

1.27

surface

 

 

KYHA0247

6

1.17

surface

 

Infill

incl

2

2.18

surface

 

 

KYHA0248

5

0.88

surface

open at depth

Infill

incl

2

1.15

surface

 

 

KYHA0249

6

1.10

surface

open at depth

Infill

incl

2

1.70

surface

 

 

KYHA0250

2

1.15

surface

 

Infill

KYHA0251

13

0.94

surface

 

Infill

incl

7

1.13

surface

 

 

incl

3

1.76

surface

 

 

KYHA0252

5

1.38

surface

 

Infill

KYHA0253

4

0.77

surface

 

Infill

KYHA0254

10

0.74

surface

open at depth

Infill

incl

4

1.16

surface

 

 

KYHA0255

7

0.76

surface

open at depth

Infill

incl

3

0.97

surface

 

 

KYHA0240

3

1.57

surface

Hole failed at 3m

Infill

KYHA0241

4

1.39

surface

 

Infill

KYHA0242

2

0.71

surface

 

Infill

KYHA0243

7

0.65

surface

open at depth

Infill

incl

2

0.85

surface

 

 

KYHA0244

6

0.87

surface

open at depth

Infill

incl

2

1.20

surface

 

 

KYHA0245

4

1.29

surface

open at depth

Infill

incl

2

1.83

surface

 

 

KYHA0246

9

0.91

surface

open at depth

Infill

incl

5

1.00

surface

 

 

incl

2

1.27

surface

 

 

KYHA0247

6

1.17

surface

 

Infill

incl

2

2.18

surface

 

 

KYHA0248

5

0.88

surface

open at depth

infill

incl

2

1.15

surface

 

 

KYHA0249

6

1.10

surface

open at depth

infill

incl

2

1.70

surface

 

 

KYHA0250

2

1.15

surface

 

infill

KYHA0251

13

0.94

surface

 

infill

incl

7

1.13

surface

 

 

incl

3

1.76

surface

 

 

KYHA0252

5

1.38

surface

 

infill

KYHA0253

4

0.77

surface

 

infill

KYHA0254

10

0.74

surface

open at depth

infill

incl

4

1.16

surface

 

 

KYHA0255

7

0.76

surface

open at depth

infill

incl

3

0.97

surface

 

 


Competent Persons Statement

The information in this report that relates to Exploration Results is based on information compiled by Dr Julian Stephens, a Competent Person who is a member of the Australian Institute of Geoscientists (AIG). Dr Stephens is the Managing Director of Sovereign Metals Limited and a holder of ordinary shares and unlisted options in Sovereign Metals Limited. Dr Stephens has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken, 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'. Dr Stephens consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

 

Forward Looking Statement

This release may include forward-looking statements, which may be identified by words such as "expects", "anticipates", "believes", "projects", "plans", and similar expressions. These forward-looking statements are based on Sovereign’s expectations and beliefs concerning future events. Forward looking statements are necessarily subject to risks, uncertainties and other factors, many of which are outside the control of Sovereign, which could cause actual results to differ materially from such statements. There can be no assurance that forward-looking statements will prove to be correct.  Sovereign makes no undertaking to subsequently update or revise the forward-looking statements made in this release, to reflect the circumstances or events after the date of that release.

This ASX Announcement has been approved and authorised for release by the Company’s Managing Director, Julian Stephens.

 

APPENDIX 1: DRILL HOLE DATA

Hole ID

East

North

RL

Depth

(m)

KYHA0142

540800

8478800

1108

16

KYHA0143

542000

8479600

1119

11

KYHA0144

542400

8479600

1122

8

KYHA0145

541200

8478800

1115

11

KYHA0146

541600

8478800

1116

8

KYHA0147

542000

8478800

1112

7

KYHA0148

539600

8476800

1094

12

KYHA0149

541200

8477600

1100

11

KYHA0150

542400

8476800

1106

11

KYHA0151

543200

8476800

1117

11

KYHA0152

544000

8476800

1124

10

KYHA0153

543200

8479600

1129

10

KYHA0154

544000

8481600

1143

14

KYHA0155

544000

8481200

1144

13

KYHA0156

544000

8480800

1145

8

KYHA0157

544000

8480400

1146

10

KYHA0158

544000

8480000

1144

12

KYHA0159

544000

8479600

1145

9

KYHA0160

543200

8480000

1132

8

KYHA0161

543200

8482400

1123

7

KYHA0162

544000

8482400

1135

11

KYHA0163

542400

8481600

1115

4

KYHA0164

543200

8481600

1129

11

KYHA0165

541600

8482400

1113

15

KYHA0166

542400

8482400

1117

11

KYHA0167

540000

8482400

1109

11

KYHA0168

540800

8482400

1104

10

KYHA0169

542400

8480400

1122

10

KYHA0170

543200

8480400

1135

13

KYHA0171

542400

8480000

1125

10

KYHA0172

544800

8478800

1142

12

KYHA0173

543200

8478000

1127

12

KYHA0174

544000

8478000

1129

8

KYHA0175

544800

8478000

1136

13

KYHA0176

544000

8478800

1145

11

KYHA0177

543200

8478800

1134

11

KYHA0178

542400

8478000

1108

8

KYHA0211

546400

8487200

1113

9

KYHA0212

546400

8486800

1113

11

KYHA0213

546400

8486400

1115

12

KYHA0214

546400

8486000

1117

12

KYHA0215

546400

8485600

1116

12

KYHA0216

546400

8484800

1108

5

KYHA0217

544000

8485600

1103

6

KYHA0218

544000

8484800

1116

12

KYHA0219

544000

8484000

1124

14

KYHA0220

544000

8483200

1118

11

KYHA0221

536400

8473600

1112

7

KYHA0222

537200

8473600

1119

12

KYHA0223

537999

8473602

1104

6

KYHA0224

538800

8473600

1108

6

KYHA0225

539600

8473600

1125

12

KYHA0226

540400

8473600

1123

13

KYHA0227

541200

8473600

1114

8

KYHA0228

542000

8473600

1115

12

KYHA0229

540400

8478400

1095

8

KYHA0230

540800

8478400

1103

12

KYHA0231

541200

8478400

1110

16

KYHA0232

541600

8478400

1110

14

KYHA0233

542000

8478400

1103

6

KYHA0234

540800

8478000

1099

11

KYHA0235

541200

8478000

1106

15

KYHA0236

541600

8478000

1103

11

KYHA0237

540400

8480400

1090

6

KYHA0238

540800

8480400

1091

11

KYHA0239

541200

8480400

1095

10

KYHA0240

541600

8480400

1102

3

KYHA0241

542000

8480400

1112

8

KYHA0242

539200

8480800

1083

6

KYHA0243

539600

8480800

1084

7

KYHA0244

540000

8480800

1086

6

KYHA0245

540400

8480800

1090

4

KYHA0246

540800

8480800

1095

9

KYHA0247

541200

8480000

1103

11

KYHA0248

541600

8480000

1105

5

KYHA0249

542000

8480000

1116

6

KYHA0250

540400

8481200

1101

10

KYHA0251

540800

8481200

1104

15

KYHA0252

541200

8481200

1103

14

KYHA0253

541600

8481200

1103

10

KYHA0254

542000

8481200

1106

10

KYHA0255

542400

8481200

1110

7

* All holes were vertical.