ACP set to buy into graphite buzz
Armadale Capital (AIM:ACP) say it will more than likely take its place in the Tanzanian graphite game after rock chip samples came back at grades of up to 33.8% at Liandu.
The London-listed company told its shareholders overnight that it had taken rock chip samples, with some focusing on the sites of previous drilling which had struck graphite interceptions including:
- 60m @ 10.7 total graphitic content (TGC) from surface, including 12.9% TGC and 5m @ 21.5TGC.
It took a raft of rock chip samples from graphitic schists at the project, with samples ranging from 1.22% to 33.8% TGC.
The average from the samples was 12.8% TGC.
In addition, four samples were taken from within the existing drillholes, with the rock chips taken from the four samples.
Results largely confirmed what the previous drilling brought up, with only minor variances recorded.
On the back of the sampling, ACP said it had largely finished its due diligence on the project and now “anticipates entering into a binding agreement...shortly”.
The project itself is next door to Black Rock Mining’s (ASX:BKT) Mahenge project, which has a resource of 131 million tonnes @ 7.9% TGC.
In other news, it said its Mpokoto gold project was closer to funding, with potential funding partner A-MCS continuing to review a definitive feasibility study on the play.
On Armadale Capital and Liandu
Mahenge Liandu Project, which consists of two tenements covering 29.9 km2, adjacent to the town of Mahenge.
In addition to the BKT connection, the project is right next door to Kibaran Resources’ (ASX:KLN) Epanko Project, with a bankable feasibility study done in 2015 finding the project had proven and probable ore reservers of 10.9Mt @ 8.6% TGC.
Initial exploration on ACP’s tenements indicated grades of between 13% to 24% TGC.
Reconnaissance mapping done late last year defined a mineralized trend more than 1.5 km in strike length and up to 500m in width.
From this initial mapping, ACP has been able to obtain some initial drill hole data as an indicator of future potential.
Three RC drill holes drilled late last year by the previous vendors showed intercepts of 24m @ 12.9% TGC, 5m @ 21.5% TGC and 10m @ 6.54% TGC.
Editor’s note – It should be noted that Tanzania is a high risk region owing to political instability which can affect mining projects getting off the ground.