Kiran Morzaria, Chief Executive Officer of Rare Earth Minerals LON:REM commented: “We are excited to see the progress at the Cinovec lithium project, the ongoing drilling programme, is showing excellent results, which bode well for the on-going development large scale lithium, tin and tungsten project. We look forward to the next phases of drilling, targeting the higher grade shallower areas of the deposit”
European Metals Holdings Limited (ASX and AIM: EMH) has given DirectorsTalk analytical results for the infill drillhole PSn02 at the Cinovec Lithium-Tin-Tungsten Project.
Key Points:
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· Drillhole PSn02 returned a mineralized intercept 188m averaging 0.46%Li2O |
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· The intercept includes a high-grade interval of 25m averaging 0.72% Li2O, and another one of 20m averaging 0.86% Li2O |
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· In addition, the lithium intercept contains zones significantly enriched in Tin (Sn) and Tungsten (W), i.e. 12.4m@0.13%Sn, 9m@0.36%Sn, and 2m@0.12%W |
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· Drillhole PSn02 is near a historical drillhole CN117, which reports 204.5m@0.49%Li2O |
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· Drillhole PSn13 is ongoing, after which drilling will focus on the shallower, higher grade lithium areas in the main section of the deposit |
European Metals CEO Mr Keith Coughlan said “We are very pleased with the results for the latest drillhole. The intercept has delivered outstanding results in terms of metals content and length, it also confirms the Company’s geological and block models, developed from historical data. I am very pleased with the fact that as in previous drillholes, the lithium enriched interval in PSn02 includes tin and tungsten mineralization of significant intersections and grades. The valuable tin and tungsten minerals will be recovered by gravity separation during the preparation of lithium concentrate without incurring added cost and will thus significantly reduce the total cost of lithium carbonate produced from the Cinovec project. We are now finalising plans to accelerate the drilling in conjunction with building our study team to enable the completion of the pre-feasibility study in late 2016.”
Drill Program
The PSn02 drillhole was drilled in the southern part of the project, into a Sn-W greisen called Cinovec-South. The drillhole is located on a north-south section containing the drillholes completed by the Company last year. The historic underground drilling data from this area are mostly void of lithium analyses.
The current drill program has been planned to facilitate the conversion of resources from the Inferred to Indicated category and provide material for metallurgical testing. Five diamond core holes PSn06, (designed to twin historic hole CN-51), PSn05, PSn07, PSn01 and PSn02 have been completed. Visual inspection and logging indicates that the geology in these holes is as expected. Drill details are listed in Table 1 below.
The drilling program continues with the drilling of drillhole PSn13 in the northernmost part of the Cinovec-South deposit. The PSn13 drillhole is the last one planned for the Cinovec-South deposit, bringing the total number of drillholes completed by EMH to five, in addition to the three drillholes completed by the Company in 2014, which are about 200m west of the section. Drilling will now focus on the shallower, higher grade lithium areas in the main section of the deposit with the 8,000m program anticipated to commence late in Q2 of 2016.
After geological logging, drill core is cut in half with a diamond saw. Half core samples are selected (honouring geological boundaries) and dispatched to ALS (Romania) for preparation and assay; the other half of the core is returned to the core box and stored securely on site. Samples are being prepared and analysed by ALS using ICP and XRF techniques following standard industry practice for lithium and tin deposits.
Table 1 – Drillhole details
|
Hole ID |
North |
East |
Elevation (m) |
Depth (m) |
Azimuth |
Dip |
Comments |
|
PSn06 |
966395.51) |
778872.9 1) |
858.3 |
401.5 |
340.5 |
-89.57 |
twin of CN-51 |
|
PSn05 |
966462.01) |
778828.5 1) |
861.5 |
382.1 |
301.3 |
-89.43 |
confirmation/infill |
|
PSn07 |
966324.71) |
778873.5 1) |
860.1 |
417.6 |
75.1 |
-89.63 |
confirmation/infill |
|
PSn01 |
966849.21) |
778806.4 1) |
794.5 |
454.1 |
245 |
-89.60 |
confirmation/infill |
|
PSn02 |
966769.51) |
778818.1 1) |
828.5 |
422.0 |
312.4 |
-83.44 |
confirmation/infill |
|
PSn13 |
966354.02) |
778688.0 2) |
859.8 |
460.03) |
0 |
-90 |
confirmation/infill |
Hole locations are recorded in the local S-JTSK Krovak grid, 1) Coordinates surveyed, 2) Coordinates determined by GPS, 3) Planned depth
Mineralized Intercepts and Lithology in PSn02
The lithium mineralization starts immediately bellow the granite-rhyolite contact (197.85m) with several shorter intervals in thin greisen and greisenized granite bodies, including 7m@0.26% Li2O (209m to 216m). However, the main reported lithium intercept of 188m starts at 220m and continues to 408m drill string depth. The host rock is variably altered Li-mica granite, (albitization, greisenization and silicification), with several minor and two major greisen bodies intersected at 248m to 273m, and 324m to 344m, respectively. The assays from the greisen zones returned the best Li, Sn and W grades (up to 1.19% Li2O or 1.21%Sn for individual 1 m samples). The Sn and W enriched zones are 12.4m@0.13%Sn (227m to 239.4m), 9m@0.36%Sn (255m to 264m), and 2m@0.12%W (221m to 223m).
Table summarizing mineralised intercepts in PSn02
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PSn02 |
||||||
|
From |
To |
Interval (m) |
Li2O (%) |
Sn (%) |
W (%) |
Note |
|
209 |
216 |
7 |
0.26 |
|||
|
220 |
408 |
188 |
0.46 |
incl. 25m@0.72%Li2O (248-273m) |
||
|
221 |
223 |
2 |
0.59 |
0.04 |
0.12 |
|
|
227 |
239.4 |
12.4 |
0.33 |
0.13 |
0.003 |
|
|
246 |
252 |
6 |
0.60 |
0.11 |
0.09 |
incl. 3m@0.14%W (246-349m) |
|
255 |
264 |
9 |
0.77 |
0.36 |
0.04 |
incl. 3m@0.55%Sn (257-260m) |
|
260 |
264 |
4 |
0.80 |
0.34 |
0.07 |
incl. 1m@1.22%Sn (263-264m) |
|
Cut-off: 0.2% Li2O, 0.1 %Sn, 0.05%W |
||||||
The PSn02 drillhole is near (24.5 m at surface) to historical drillhole CN117, which reports 204.5m@0.49%Li2O from 208.9 to 413.4m depth (calculated from historic assays using the Company’s cutoff and interval waste parameters).
The greisen bodies and the mineralized intercepts dip at a shallow angle to the South. The PSn02 drillhole was angled 6 degrees toward the N and the reported intercepts are very close to true thicknesses.
(Please refer to the announcement on the European Metals website for the graphic of the Cinovec schematic long section showing Company’s drill holes and Li intercepts. Select historic Li intercepts shown in the N part of the deposit (drillholes designated CN) – www.europeanmet.com.)
As required under the 2012 JORC Code, details of the current drill program are appended (Table 2).
ABOUT THE CINOVEC LITHIUM/TIN PROJECT
Cinovec is a globally significant lithium and tin deposit with the potential to be a low cost producer of lithium carbonate.
Key Points
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· Largest lithium deposit in Europe |
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· Positive Scoping Study completed |
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· Centrally located to major European end-users |
PROJECT OVERVIEW
Cinovec Lithium/Tin Project
European Metals owns 100% of the Exploration Rights to the Cinovec lithium-tin deposit in the Czech Republic. Cinovec is an historic mine incorporating a significant undeveloped lithium-tin resource with by-product potential including tungsten, rubidium, scandium, niobium and tantalum. Cinovec hosts a globally significant hard rock lithium deposit with a total Inferred Mineral Resource of 514.8Mt @ 0.43% Li2O. Within this resource lies one of the largest undeveloped tin deposits in the world, with total Indicated and Inferred Mineral Resources of 79.7Mt grading 0.23% Sn for 183,000 tonnes of contained tin. The Mineral Resource estimates are based primarily on over 83,000 metres of historic drilling and 21.5 km of historic underground development completed by the Czechoslovakian Government from the 1960s through to the 1980s. The deposit has previously had over 400,000 tonnes of ore mined as a trial sub-level open stope underground mining operation.
A Scoping Study conducted by specialist independent consultants indicates the deposit could be amenable to bulk underground mining. Metallurgical testwork has produced both battery grade lithium carbonate and high grade tin concentrate at excellent recoveries with the Scoping Study revealing a potential production cost of approximately $1,500 per tonne of lithium carbonate excluding tin and tungsten credits. Cinovec is centrally located for European end-users and is well serviced by infrastructure, with a sealed road adjacent to the deposit, rail lines located 5 km north and 8 km south of the deposit and an active 22 kV transmission line running to the historic mine. As the deposit lies in an active mining region, it has strong community support.
