In August 2021 Finfeed changed from a website that covered ASX listed news to a website
that covered a select range of ASX
listed small cap Biotech stocks that we are personally invested in: find out more.
The old Finfeed website, and all of the old articles are kept here for record keeping purposes.VISIT NEW SITE
European Metals submits EIA and releases drill results
4 minute read
European Metals Holdings Limited (ASX:EMH; AIM: EMH; NASDAQ: ERPNF) through the Cinovec Project company Geomet s.r.o has submitted the documentation relating to the initial environmental impact assessment (EIA) notification to the Czech Ministry of the Environment.
This will be an important derisking milestone for the group.
EMH is developing the largest hard rock lithium resource in the European Union.
It is worth noting that following European and Czech environmental legislation the submission also includes an independent expert assessment of Natura 2000 (the European Union’s network of nature protection areas) which concluded that there is no negative impact on proximate nature reserves or any other sites of natural importance.
In terms of timing, the Ministry of Environment has launched a two month screening procedure, including the notification of all concerned stakeholders.
By way of background, Geomet controls the mineral exploration licenses awarded by the Czech State over the Cinovec Lithium/Tin Project.
Geomet is owned 49% by European Metals and 51% by CEZ a.s. through its wholly owned subsidiary, SDAS.
Cinovec hosts a globally significant hard rock lithium deposit with a total Indicated Mineral Resource of 372.4Mt at 0.45% Li2O and 0.04% Sn and an Inferred Mineral Resource of 323.5Mt at 0.39% Li2O and 0.04% Sn containing a combined 7.22 million tonnes Lithium Carbonate Equivalent and 263kt of tin.
Drilling results in line or better
There was another important development today with the company releasing the latest results from its current nineteen-hole resource drilling programme at the Cinovec Project.
Drilling of seventeen of the nineteen holes has been completed and the eighteenth hole is currently underway.
Analytical results for another six of the drill holes from the Cinovec South deposit have been released and European Metals executive chairman Keith Coughlan discussed the significance of these developments today in saying, “We are pleased to report that submission of the EIA to the Czech Government fulfils a critical path item in relation to finalising the approval for the Cinovec mine.
"We anticipate that the process will enable European Metals and its JV partner CEZ to actively engage with the relevant stakeholders to ensure that all affected parties are consulted and all viewpoints are actively considered.
"With regard to the drill results, we advise that the interim results of the current drilling programme at Cinovec are either in line with, or better than our expectations.
"The primary purpose of the programme is to convert a larger portion of the resource to the measured category to provide greater certainty of the financial model and security to the financiers we are currently in discussions with.
"It is important to note that the first stage of the ore processing, the wet magnetic separation, has the effect of greatly increasing the grade of lithium oxide in the concentrate to approximately 2.85%.
"The zinnwaldite concentrate produced from Cinovec requires only roasting, compared to the calcination and roasting required in processing spodumene.
"This will have the effect of considerably reducing greenhouse gas emissions of the project when compared to spodumene projects.”
EMH highlights ‘’in lab’’ beneficiation results
Given the relative ease of beneficiation of the Cinovec deposit through wet magnetic separation, management decided that it was important to report the drill results and the “in lab” beneficiation results.
The MPH previously reported outstanding lithium recoveries at coarse grind with wet magnetic separation (WMS) achieved a >80% pure lithium mica concentrate grading 2.85% Li2O with a lithium recovery of 92%.
The current drill programme has been planned to define blocks of resource for the first 5 years of mining within the Cinovec-South area, with a goal to convert the resource from indicated to measured category.
The holes have been terminated in ore consistent with the aim of targeting the first 5 years of resource blocks for the mine.
All holes (CIS-24, CIS-25, CIS-26, CIS-28, CIS-29 and CIS-30) are collared in over-lying rhyolite, and the following indicates the grades of lithium and tin.
The release of an upgraded resource will prompt analysts to revisit their valuations and it will also provide a clearer path in terms of management’s ability to progress operational milestones and secure funding.