Mozambi goes Super Jumbo
Emerging graphite player Mozambi Resources (ASX:MOZ) has entered super jumbo territory, with technical work done on samples from Namangale confirming the presence of Jumbo and Super Jumbo flakes.
It told the market today that it had sent off samples from Namangale 2 and 3 to metallurgical lab in Perth for study, and that the lab had come back with the conclusion that flake sizes of 0.5mm and 1mm were present.
Jumbo and Super Jumbo flakes are in demand from end users, as they are easier to process than finer materials.
It is thought that Magnis Resources’ (ASX: MNS) large to jumbo flake size was behind a raft of offtake deals struck with South Korean and Chinese companies including Posco, Sino Steel and Sinoma, despite having lower grades than contemporaries Triton Minerals (ASX: TON) and Syrah Resources (ASX:SYR).
It is believed that the super jumbo flake is behind Magnis achieving a fully diluted market cap of $200 million.
Grades from Namangale have not yet been finalised, but MOZ is currently crunching the numbers on a JORC resource for Namangale and the broader Nachingwea play.
“This is a very pleasing result given the very strong demand from end user groups interested in Jumbo and Super Jumbo flake prospect,” MOZ managing director Alan Armstrong said.
More detailed test work of Namangale samples is now underway at a lab in South Africa, which will reportedly provide a clearer picture of the typical mineralisation at each of the three key prospects within the Nachingwea Project.
Shares in MOZ are up 2.5% to 4c approaching midday.
More on Namangale
The Namangale Prospect is contained in one of the areas picked up by MOZ as part of a deal struck with a local mining company back in September.
It picked up the prospect for an initial $104,000 in cash, with it also picking up three other tenements.
The Namangale Prospect is part of the broader Nachingwea Project in the south east of Tanzania, which is quickly becoming a graphite hotspot in Africa.
A number of resource companies have declared resources nearby, including fellow ASX-listed company Magnis Resources, which has a project 60km to the north.
MOZ’s project could be bigger in scale and covers more ground.
Graphite mineralisation in the province typically occurs in stratigraphic layers of graphitic schist within a package of high pressure metamorphic rocks which make up the Mozambique Mobile Belt.
This belt extends south into Mozambique, and is the belt being tapped by the likes of Syrah Resources (ASX:SYR) and Triton Minerals (ASX: TON), which have both identified graphite deposits of over 1 billion tonnes.