Element 25 Continues Butcherbird Progress, Identifies Potential High-Grade Manganese Concentrate

  • Jul 03, 2020 AEST
  • Team Kalkine
Element 25 Continues Butcherbird Progress, Identifies Potential High-Grade Manganese Concentrate


  • Element 25 is firmly transitioning from an explorer to a miner owing to rapid developments at its 100% owned Butcherbird Project.
  • Located in the Tier 1 jurisdiction of Western Australia, Butcherbird aims to produce high quality manganese concentrate for export markets.
  • Recent developments include signing a key Access Agreement and non-binding MoU, the commencement of a water bore drilling programme, and the most recent discovery at Coodamudgi that returned high grade manganese values.
  • These developments underpin Element 25’s aim of building a globally significant, low cost, high purity manganese project turbocharged by early cashflow from a low capex concentrate export opportunity.

Regarding itself to be Australia’s next manganese producer, Element 25 Limited (ASX:E25) began the week with a significant announcement on 29 June 2020 pertaining to entering a non-binding MoU with OM Materials (S) Pte Ltd to supply manganese concentrate products from Butcherbird Project, followed by formal grant of Mining Lease M52/1074 for the Project by the Western Australian Department of Mines, Industry Regulation and Safety, reported 30 June 2020.

Continuing its trajectory of progress at the world class manganese Project, on 3 July 2020, Element 25 has updated about a significant discovery from a sub-sampling exercise at the Coodamudgi manganese resource at the Project, that has returned high grade manganese values.

Let us acquaint with these details-

Coodamudgi: Potential High-Grade Manganese Concentrate Zone

Sub-sampling of diamond core from BBDD016 drilled into the Coodamudgi manganese resource has returned high grade manganese values of up to 42.3 per cent Mn from the surface with low impurity levels. The sub-sampling methodology used is designed to emulate full scale processing through the proposed beneficiation flowsheet for the Butcherbird Project.

Sampling reported is strongly suggestive that the material has the potential to deliver a high-grade concentrate. Moreover, Coodamudgi has the potential to deliver a concentrate grade which is substantially higher than grades that were used in the Pre-Feasibility Studies (PFS) assumptions.

Manganese Mineralisation at Butcherbird & BBDD016 Specifics

The manganese mineralisation at the Project consists of interlayered bands of manganese and non-manganese bearing clays and shales. Reportedly, manganese mineralisation in BBDD016 is geologically the same. Manganese can be beneficiated by separating as well as eliminating clay and shale waste while retaining high-grade manganese material.

Drillhole BBDD016 was completed as part of a metallurgical programme that was concluded in 2013. Merely 2cm section of the core was sampled that returned manganese grade of 42.2per cent. Back then, Element 25’s focus was somewhere else and consequently, metallurgical testing of this hole was not undertaken.

It can, therefore, be stated that the programme is a more comprehensive sampling exercise that aims to follow up previous work. Reinstating- results confirm the potential of this area to produce high-grade manganese concentrate through beneficiation.

Subsampling results for manganese bands in diamond drillhole BBDD016 (Source: E25’s Report)

Subsampling results for manganese bands in diamond drillhole BBDD016 (Source: E25’s Report)

Coodamudgi Resource & Management Take on Encouraging Results

The Coodamudgi resource is entirely situated within the recently granted mining lease M52/1074.

Acknowledging encouraging results from sub-sampling of diamond core from BBDD016, Managing Director Mr Justin Brown stated that-

“The grades achieved in the subsampling exercise at Coodamudgi are indicative of the potential to achieve a product grade in excess of the grades published in the PFS of 33%Mn. If this can be confirmed under full scale test work, this has the potential to be a very positive step forward.”

What’s in Store?

Work completed in this programme is deemed to be preliminary, which translates into the fact that it will need to be followed up with additional test work to confirm currently received results.

Shortly, another announcement is expected from the Company for which its securities on the ASX were placed on a trading halt on 2 July 2020 and will remain so until the earlier of commencement of normal trading on 6 July 2020 or announcement release to the market.

E25 last traded on 1 July 2020 at $ 0.485, up by 7.77 per cent relative to its last close.

(Note: All currency in AUD unless specified otherwise)


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