Savannah Resources plc (LON:SAV) the AIM quoted resource development company, this morning announced further results from the ongoing reverse circulation drill programme for the Mina do Barroso Lithium Project in Portugal (Figure 1). The drill programme, which is aimed at defining a JORC – 2012 compliant Mineral Resource Estimate, has returned significant intersections of lithium mineralisation. To view the press release with the illustrative maps and diagrams please use the following link:
http://www.rns-pdf.londonstockexchange.com/rns/1592X_-2017-11-21.pdf
HIGHLIGHTS:
— Completed a further 27 holes for 2,566m with assays for the first 11 holes confirming extensions to the existing mineralisation
— Reservatorio Deposit: drilling significantly extends lithium mineralisation to over 400m strike length, with good down dip extensions of at least 150m. Results from the second round of drilling to date include:
- 29m at 1.07% Li O from 43m in 17RESRC10 - 35m at 1.06% Li O from 56m in 17RESRC11
— NOA Deposit: drilling has confirmed the presence of lithium mineralisation over a 100m strike length together with good down dip extensions of at least 50m. Results received to date from the second round of drilling include:
- 13m at 1.19% Li O from 7m in 17NOARC03 - 11m at 1.23% Li(2) O from 46m in 17NOARC04
— The Reservatorio, Grandao and NOA deposits remain open along strike and down dip leaving excellent upside potential for all deposits
-- Maiden Mineral Resource Estimate for Reservatorio expected by the end of 2017
— Further mapping at five additional high priority targets, some with significant historical drill intersects, has also commenced to fast track the targets to drilling
— Phase 2 of the Metallurgical Test Work programme is due to get underway at Nagrom in Perth by the end of November 2017
Savannah’s CEO, David Archer said: “The drilling results to date continue to underscore the potential of the Mina do Barroso Project to be a strategic upstream feature in the European lithium value chain. From an investment perspective, we see the Project as 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.
“Drilling and metallurgical test work is ongoing and will be used to support an early scoping study around a potential mine development.”
Figure 1. Mina do Barroso Project Summary Map showing prospects and 2017 drilling – see PDF link
Reservatorio
A further 12 drill holes for 1,322m have now been completed at Reservatorio. Assay results from the first six holes have now been received and have confirmed significant extensions to the already identified lithium mineralisation (Table 1-2 and Figure 2-3) in pegmatite, with mineralisation now defined along a 400m strike length and to at least 150m down dip confirming the potential for good depth extensions of the lithium mineralisation. Drilling in an area of faulting and shearing on the eastern part of the pegmatite has caused the pegmatite to become weathered resulting in some zones of near surface depletion. Further infill drilling is now required to further define these zones.
Table 1. Summarised downhole geology for recent Reservatorio Drilling
HOLE SUMMARISED DOWNHOLE GEOLOGY
ID
---------- ---------------------------------------------
17RESRC09 Pegmatite/Schist 0-13m; Pegmatite/Schist
19-20m; Pegmatite 20-25m; Pegmatite/Schist
25-26m; Pegmatite/Schist 32-33m; Pegmatite
33-52m; Pegmatite/Schist 52-53m
---------- ---------------------------------------------
17RESRC10 Pegmatite/Schist 19-21m; Pegmatite 21-35m;
Pegmatite/Schist 35-37m; Pegmatite/Schist
39-40m; Pegmatite/Schist 42-43m; Pegmatite
43-56m; Pegmatite/Schist 56-58m; Pegmatite
58-72m; Pegmatite/Schist 75-80m
---------- ---------------------------------------------
17RESRC11 Pegmatite/Schist 21-23m; Pegmatite/Schist
54-60m; Pegmatite 60-87m; Pegmatite/Schist
87-90m; Pegmatite 90-91m; Pegmatite/Schist
91-92m; Pegmatite/Schist 100-103m
---------- ---------------------------------------------
17RESRC12 Pegmatite/Schist 30-31m; Pegmatite 31-66m;
Pegmatite/Schist 66-67m
---------- ---------------------------------------------
17RESRC13 Pegmatite/Schist 4-7m; Pegmatite 7-34m
---------- ---------------------------------------------
17RESRC14 Pegmatite/Schist 16-19m; Pegmatite/Schist
33-36m; Pegmatite 36-42m; Pegmatite 47-66m;
Pegmatite/Schist 66-68m
---------- ---------------------------------------------
Table 2. Summary of drill results for Reservatorio reported at a 0.2% and 0.5% Li(2) O cut-off
Prospect Hole ID 0.2% Li(2) O Cut 0.5% Li(2) O Cut
Off Off
------------- ---------- ------------------ ------------------
Reservatorio 17RESRC09 4m at 0.29% Li(2) 11m @ 0.84% Li(2)
O from 22m O from 35m
------------- ---------- ------------------ ------------------
14m @ 0.71% Li(2) 1m @ 0.87% Li(2)
O from 32m O from 50m
------------- ---------- ------------------ ------------------
4m at 0.34% Li(2)
O from 49m
------------- ---------- ------------------ ------------------
Reservatorio 17RESRC10 1m at 0.2% Li(2) 29m @ 1.07% Li(2)
O from 36m O from 43m
------------- ---------- ------------------ ------------------
29m @ 1.07% Li(2) 2m @ 1.13% Li(2)
O from 43m O from 76m
------------- ---------- ------------------ ------------------
4m @ 0.68% Li(2)
O from 75m
------------- ---------- ------------------ ------------------
Reservatorio 17RESRC11 37m @ 1.02% Li(2) 35m @ 1.06% Li(2)
O from 54m O from 56m
------------- ---------- ------------------ ------------------
Reservatorio 17RESRC12 1m at 0.21% Li(2) No Significant
O from 35m Results
------------- ---------- ------------------ ------------------
8m at 0.22% Li(2)
O from 53m
------------- ---------- ------------------ ------------------
Reservatorio 17RESRC13 No Significant No Significant
Results Results
------------- ---------- ------------------ ------------------
Reservatorio 17RESRC14 1m @ 0.59% Li(2) 1m @ 0.59% Li(2)
O from 39m O from 39m
------------- ---------- ------------------ ------------------
18m @ 0.75% Li(2) 16m @ 0.79% Li(2)
O from 47m O from 48m
------------- ---------- ------------------ ------------------
Figure 2. Summary of drilling at Reservatorio, together with historical drill holes and planned drill holes – see PDF link
Figure 3. Reservatorio: Cross Section through 17RESRC04, 17RESRC05 and 17RES07 (assays are still pending for 17RESRC18 and 17RESRC19) – see PDF link
Grandao
A further 10 drill holes for 860m (Figure 4) have been completed targeting the flat lying pegmatite body at Grandao. To date no results have been received for this drilling.
Figure 4. Summary of drilling at Grandao, with historical drill holes and planned drill holes – see PDF link
NOA
Initial drilling results from the NOA prospect have been encouraging with 10-15m wide zones of pegmatite being intersected to date at grades above 1.2% Li O over a strike length of 100m and a down dip depth of around 50m (Table 3-4, Figure 5). A further five RC holes are planned to test a further 200m of the strike of the NOA prospect focusing on areas where surface outcrop suggest widths of pegmatite over 20m may be present.
Table 3. Summarised downhole geology for recent NOA Drilling
HOLE SUMMARISED DOWNHOLE GEOLOGY
ID
---------- --------------------------------------------
17NOARC01 Pegmatite/Schist 1-5m; Pegmatite 5-10m;
Pegmatite/Schist 15-16m; Pegmatite 16-19m;
Pegmatite/Schist 19-20m; Pegmatite/Schist
23-24m; Pegmatite 24-31m; Pegmatite/Schist
31-33m; Pegmatite 33-39m; Pegmatite/Schist
39-40m; Pegmatite 40-45m; Pegmatite/Schist
45-46m
---------- --------------------------------------------
17NOARC02 Pegmatite/Schist 25-29m; Pegmatite/Schist
64-65m; Pegmatite 65-68m
---------- --------------------------------------------
17NOARC03 Pegmatite/Schist 6-11m; Pegmatite 11-18m;
Pegmatite/Schist 18-20m
---------- --------------------------------------------
17NOARC04 Pegmatite/Schist 22-23m; Pegmatite 23-24m;
Pegmatite 24-25m; Pegmatite/Schist 45-46m;
Pegmatite 46-56m; Pegmatite/Schist 56-57m
---------- --------------------------------------------
17NOARC05 Pegmatite/Schist 11-17m; Pegmatite/Schist
72-75m
---------- --------------------------------------------
Table 4. Summary of drill results for NOA reported at a 0.2% and 0.5% Li(2) O cut-off
Prospect Hole ID 0.2% Li20 Cut 0.5% Li20 Cut
Off Off
--------- ---------- ----------------- -----------------
NOA 17NOARC01 7m @ 0.52% Li20 3m @0.95@ Li20
from 3m from 5m
--------- ---------- ----------------- -----------------
5m @ 0.3% Li20 15m @ 0.78% Li20
from 15m from 31m
--------- ---------- ----------------- -----------------
1m @ 0.25% Li20
from 23m
--------- ---------- ----------------- -----------------
15m @ 0.78% Li20
from 31m
--------- ---------- ----------------- -----------------
NOA 17NOARC02 3m @ 0.24% Li20 2m @ 1.40% Li20
from 25m from 65m
--------- ---------- ----------------- -----------------
4m @ 0.82% Li20
from 64m
--------- ---------- ----------------- -----------------
NOA 17NOARC03 13m @ 1.19% Li20 11m @ 1.34% Li20
from 7m from 7m
--------- ---------- ----------------- -----------------
NOA 17NOARC04 2m @ 0.74% Li20 2m @ 0.74% Li20
from 23m from 23m
--------- ---------- ----------------- -----------------
11m @ 1.23% Li20 10m @ 1.32% Li20
from 46m from 46m
--------- ---------- ----------------- -----------------
NOA 17NOARC05 1m @ 0.21% Li20 No significant
from 72m results
--------- ---------- ----------------- -----------------
Figure 5. Summary of drilling at NOA, with historical drill holes and planned drill holes – see PDF link
Drilling is continuing at both NOA and Grandao and a Mineral Resource Estimate for Reservatorio is expected to be delivered before the end of 2017.
Savannah has a 75% shareholding in Slipstream Resources Portugal Lda, which is the registered holder of the Mina do Barroso mining licence
