Source - BUS

Botswana - T3 Deposit, Excellent Metallurgical Results

Metal Tiger plc

Metal Tiger Plc

4 October 2016

Metal Tiger Plc

("Metal Tiger" or the "Company")

Botswana – T3 Deposit, Excellent Metallurgical Results

Metal Tiger plc (LON:MTR) the London Stock Exchange AIM listed investor in strategic natural resource opportunities is pleased to provide an update with regard to the exploration programme at the Company’s Joint Venture (“JV”) project with partners MOD Resources (ASX:MOD) in the Kalahari Copper Belt in Botswana (70% MOD Resources / 30% Metal Tiger).

The preliminary results of metallurgical testwork on composite samples of mineralisation from the Target 3 (T3) Resource project are provided below, along with an update on the T3 drilling status.

In addition, we would refer to the announcement released today by MOD Resources which contains images, graphs and diagrams that may assist readers in an understanding of the project. This announcement can be viewed through the following link:

http://search.asx.com.au/s/search.html?query=mod&collection=asx-meta&profile=web

Paul Johnson Chief Executive Officer of Metal Tiger commented:

“We are pleased to report very positive preliminary metallurgical testwork results for the copper and silver ore types constituting our T3 Mineral Resource.

These results bode well for the potential economics of the T3 Deposit, which is currently being assessed as part of our on-going scoping study; as well as showing very respectable copper and silver recoveries and concentrate grades the tests show the potential for relatively low power requirements to grind the ores.

Additional exploration work continues and we will be updating the market in the near term with a further update in this regard.”

Highlights:

Metallurgical Testwork

  • Preliminary metallurgical testwork results received for composite samples of diamond drill core taken as part of the Phase 1 Resource Drilling Programme at T3.
  • Testwork has been undertaken by Independent Metallurgical Operations based in Perth, Australia. Results will be used as a key input into the Scoping Study being completed on the T3 deposit.
  • Results show that high copper concentrate grades (between 33% - 60.6% Cu) can be achieved at high copper recoveries (ranging 93.8% - 98.7% of Cu) for all three copper sulphide domains (Chalcopyrite dominant, Bornite dominant, and Chalcocite dominant) in near-resource-grade and high-grade mineralisation within the T3 JORC Resource.
  • High-grade samples (>4%Cu) gave copper recoveries up to 98.7% Cu and silver recoveries up to 97.5% Ag, to produce a high grade copper/silver concentrate up to 60.6% Cu & 1,304ppm Ag.
  • Near-resource-grade samples gave copper recoveries up to 96.5% Cu and silver recoveries up to 90.2% Ag for a copper/silver concentrate of up to 47.3% Cu & 1,101ppm Ag.
  • The copper/silver concentrates are low in deleterious elements (Arsenic up to 279ppm As) and generally well below smelter penalty levels.
  • Tests also provide an early indication of relatively low power requirements for grinding the T3 ore types, with a course primary grind size (P80 = 150µm) and low Bond Ball Mill Work Indices (12.3 – 14.5 kWh/t).
  • Remainder of the preliminary metallurgical testwork programme, including optimisation tests on representative composite samples, is on schedule to deliver results to be incorporated into the T3 Scoping Study due for completion in December.

    Details of the testwork parameters are outlined below.

T3 Drilling Update

  • Five infill drill holes have been completed along a E-W traverse across the high-grade core of the T3 Resource. Assay results are awaited.
  • Two holes have been completed to test for possible depth extensions to the Resource envelope, 100m NE of the current resource boundary. Assays are awaited.
  • Further announcement to follow covering drilling and exploration activities.

Metallurgical Testwork Parameters

The T3 Testwork Programme comprises rougher and cleaner flotation tests on composite drill core samples at varying grind sizes (between 75 and 212 microns). The testwork results will be used as a key input into the Scoping Study being completed on the T3 deposit.

The T3 sulphide mineralisation includes three main interpreted ore domains: Chalcopyrite dominant, Bornite dominant, and Chalcocite dominant. Testwork was carried out on composites that represented each of these domains, from core taken from a total of 6 diamond drill holes.

Composites for near-resource-grade testwork were prepared from ¼ HQ drill core with head grades ranging from 1.26 - 1.54% Cu, and 7 - 38ppm Ag. The near-resource-grade composites are approximately similar to the T3 resource grade estimated between a 0.5%-1.0% Cu cut-off grade, announced 26 September 2016 (see Table 1 below).

Additional high-grade composites were prepared from ¼ HQ drill core with head grades ranging from 4.09 - 6.86% Cu and 40 - 149ppm Ag. The high-grade composites were selected from drill core intersections with a grade >4% Cu.

The testwork completed to date includes testing the amenability of the composites to conventional copper sulphide flotation techniques and included preliminary grind sensitivity testing, rougher-cleaner batch flotation testing and Bond Ball Work Index tests.

The concentrates generated from the chalcopyrite and bornite composites were low in non-copper base metal contents. The concentrate from the chalcocite composite contained 4.6% Zn which will be considered in future testwork.

Table 1: T3 Phase One, JORC Compliant Mineral Resource Table

JORC Category   Cut-off   Tonnes   Grade   Grade   Contained   Contained
  Cu%   Cu% Ag g/t Cu (tonnes) Ag (oz)
Indicated 0.5 18,071,000 1.35 16.7 244,320 9,724,550
1 10,103,000 1.84 24.2 186,198 7,848,794
  1.5 6,773,906 2.12 29.6 143,675 6,450,935
 
Inferred 0.5 10,287,000 1.03 13.7 105,853 4,546,534
1 3,162,296 1.82 26 57,396 2,640,127
  1.5 1,706,001 2.3 34.5 39,221 1,892,814
 
TOTAL 0.5 28,358,000 1.24 15.7 350,221 14,271,083
(Indicated 1 13,265,000 1.84 24.6 243,678 10,488,664
& Inferred) 1.5 8,479,907 2.16 30.6 182,912 8,343,592
 

See announcement of 26th September for full results statement. Total JORC (Indicated & Inferred) Mineral Resource Estimate 28.36Mt @ 1.24% Cu & 15.7g/t Ag, containing ~350,200t copper and 14.27Moz silver (at 0.5% copper cut-off grade).

Competent Persons

The Competent Person responsible for the interpretation of the metallurgical test work results from the T3 Project is Mr Daryl Evans, who is a full-time employee of Independent Metallurgical Operations and a fellow of AusIMM.

The Competent Person for the Mineral Resource estimation and classification of the T3 Copper/Silver Project is Mr A.I. Pretorius, MSc. Pri.Sci.Nat. Mr Pretorius is an independent consultant to MOD Resources Ltd and a member of the South African Council for Scientific Professionals (SACNASP Membership Number 400060/91).

The T3 Prospect geological data and exploration results have been reviewed and approved by Jacques Janse van Rensburg, BSc (Hons), Technical Adviser and Competent Person for MOD Resources Ltd.

Location

The T3 Prospect is located on the Kalahari Copper Belt in northern Botswana and is part of the MOD/MTR joint venture Botswana Copper/Silver Project. T3 is located approximately 70km NE of the project’s Tshimologo (T4) Prospect and is located parallel to the same structural trend known as the Mahumo Structural Corridor, that hosts MOD’s Mahumo Project (circa 20km NE of T3) and Cupric Capitals’ Banana Zone Deposit (60km NE) and Zone 5 Project (120km NE).

The technical information contained in this disclosure has been read and approved by Mr Nick O'Reilly (MSc, DIC, MAusIMM, FGS), who is a qualified geologist who meets the criteria of a qualified person under the AIM Rules - Note for Mining and Oil & Gas Companies. Mr O'Reilly has visited the T3 site and reviewed MOD’s drilling and sampling protocols and procedures. Mr O'Reilly is a consultant working for Mining Analyst Consulting Ltd which has been retained by Metal Tiger PLC to provide technical support.

For further information on the Company, visit: www.metaltigerplc.com:

Paul Johnson (Chief Executive Officer)     Tel: +44 (0)7766 465 617
Terry Grammer (Non- Executive Chairman) Tel: +44 (0)207 099 0738
Sean Wyndham-Quin

Neil Baldwin

Nick Emerson

Andy Thacker

Spark Advisory Partners Limited

(Nominated Adviser)

SI Capital

(Sole Broker)

Tel: +44 (0) 2033 683 555

www.sparkadvisorypartners.com

Tel: +44 (0) 1483 413 500

 

Notes to Editors:

Metal Tiger plc is listed on the London Stock Exchange AIM Market (“AIM”) with the trading code MTR and invests in high potential mineral projects with a precious and strategic metals focus.

The Company’s target is to deliver a very high return for shareholders by investing in significantly undervalued and/or high potential opportunities in the mineral exploration and development sector timed to coincide, where possible, with a cyclical recovery in the exploration and mining markets. The Company’s key strategic objective is to ensure the distribution to shareholders of major returns achieved from disposals.

Metal Tiger’s Metal Projects Division is focused on the development of its key project interests in Botswana, Spain and Thailand. In Botswana Metal Tiger has a growing interest in the large and highly prospective Kalahari copper/silver belt. In Spain Metal Tiger the Company has tungsten and gold interests in the highly mineralised Extremadura region. In Thailand Metal Tiger has expanding interests over licences, applications and critical historical data covering antimony, copper, gold, silver, lead and zinc opportunities.

The Company has access to a diverse pipeline of new opportunities focused on the natural resource sector including physical resource projects, new natural resource centred technologies and resource sector related fintech opportunities. Pipeline projects deemed commercially viable may be undertaken by Metal Tiger or by an ISDX or AIM partner with whom the Company is engaged.

Metal Tiger also has an Asset Trading Division that holds various financial instruments for trading purposes including equities, warrants and royalty income. The aim of the division is to generate profits to reinvest into the Company’s project based activities.

Note: This announcement contains inside information which is disclosed in accordance with the Market Abuse Regulation.

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