MOZ goes big, real big, at Namangale

Published at Mar 8, 2016, in Small Caps

Just on 94.5% of the flakes within the graphite at Mozambi Resources’ (ASX:MOZ) Namangale project are within the super jumbo, jumbo, or large categories according to recent lab work.

The results on tests conducted on six diamond core composites revealed the positive distribution, which backed up previous testing on three cores from the same project.

The testing was carried out by SGS Laboratories in South Africa, and it has found the graphite flakes from the core could be liberated by a simple crushing and process – with no need for more costly chemical liberation.

Floatation work on the graphite core is now underway, testing both fresh and oxidised mineralisation.

It is after this test work that MOZ will have more information on concentrate grade, yield, and flake distribution after floatation.

The presence of a high proportion of large to super jumbo flakes, however, are a boon to the company with MOZ executive chairman telling shareholders that this is what the market is after.

“We continue to see ever growing demand for Super Jumbo and Jumbo flake sizes and this is borne out in the significant price premium these products demand,” he said.

“Coupled with the fact that the flakes are liberating easily, gives us great confidence that we are very well placed to capitalise on the Namangale asset.”

MOZ recently wrapped up a capital raising to fast-track a pre-feasibility study on the Namangale project in Tanzania, and to undertake further drilling.

In January it claimed the largest JORC resource in Tanzania by graphite resource size, with the project holding 179 million tonnes at 5.1% Total Graphitic Content (TGC).

Mozambi in Tanzania

MOZ’s Tanzania operations are located close to the deep-water port of Mtwara, 140km from the Namangale Prospect.

Sealed roads and high-voltage are available across its prospects, connecting MOZ to export routes internationally.

Mtwara Port has a capacity of 400,000 metric tonnes per year and could handle up to 750,000 metric tonnes per year with the same number of berths if additional equipment is put in place for handling containerised traffic.

The port is currently heavily underutilised, with approximately 34% of its total capacity currently in use.

Location of the Nachingwea Project tenements, including Namangale project

Location of the Namangale Project tenements

S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.

Conflict of Interest Notice

S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.

Publishers Notice

The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.

Thanks for subscribing!