There is a growing interest of heavy mineral sands (HMS) amid miners, businesses and investors. This is because HMS are crucial and hold economic importance like non-metallic and metallic raw materials, given their increasing global demand in the construction, aerospace and electric industries.
Tapping this lucrative opportunity at the ASX-is listed explorer, MRG Metals Limited (ASX:MRQ), which is currently developing its recently acquired and highly prospective HMS Project in Mozambique.
MRQ recently reported its progress at the Mozambique Project in its report for the half-year ended 31 December 2019-
MRQ’s HY- An Overview
During the six months to 31 December 2019, the Company was focussed on the exploration for HMS in Mozambique. The Company pursued the first target on its Corridor Central project, Koko Massava, where the maiden Aircore drill program reported excellent results.
Moreover, MRQ carried out auger drilling over all its 13 targets identified on Corridor Central and Corridor South projects and identified high grade HMS targets for further exploration.
Koko Massava- MRQ’s Successful Target #1
The first target of MRQ’s Mozambique Project, Koko Massava is located within the Corridor Central tenement (6620L) supported by an airborne magnetic & radiometric survey and followed up by wide spaced historic drilling, the target has proved to be a rapid low-cost and high-grade discovery area.
MRQ believes that the mineralised footprint at Koko Massava is massive and has the potential to deliver a +2billion tonne resource.
The below image depicts the highlights from exploration at Koko Massava-
Currently, at Koko Massava, the mineral resource estimation work remains underway and will define grade and tonnage at various THM cut-off grades within the target.
Other Progresses- Norrliden
Besides the HMS project at Mozambique, the Company, along with Mandalay is currently exploring opportunities for the sale of the Norrliden assets.
MRQ’s Financial Stance
As at 31 December 2019, the Company had net assets worth $ 3.5 million (against $ 1.7 million from 30 June 2019). Cash and cash equivalents at the end of the reporting period amounted to $ 1.46 million.
Events Since End of Reporting Period
On the corporate end-
- MRQ issued 16 million fully paid ordinary shares to Directors and the Exploration Manager on 9 January 2020
- 87 million fully paid ordinary shares were issued pursuant to MRQOB Options being exercised and raised $118,700 on 15 January 2020
- On 13 February 2020, 6,000,000 fully paid ordinary shares and 3,000,000 MRQOB Options were issued to Directors and/or Nominees and raised $60,000
On the activities end-
Continuing on from the successful exploration program in 2019 and being well-funded and encouraged, MRQ developed significant confidence in the approach and plan to expedite its activities post the reporting period.
These were not limited to prove Koko Massava as a potential World class asset but use the same method on multiple targets within Corridor and our other Mozambique assets.
In its presentation last month at a conference organised by an independent equity research, investment advisory firm and media house based out of Sydney, Kalkine Solutions, the Company discussed its skilled Board and management, Project developments and its encouraging outlook.
To know more, PLEASE READ- Kalkine Media Conference - MRG Metals presents its HMS developments
It should be noted that MRQ has completed the Reconnaissance hand auger drilling at the Poiombo target, its second area of interest after Koko Massava and the third target, Nhacutse. Initial visual results of the wide-spaced drilling have been very encouraging and demonstrated the near-surface nature of high-grade HMS mineralisation at both the targets
To know more, PLEASE READ- MRQ Pursues Poiombo- Aircore Drilling to Begin, Stock in Green Zone
MRQ’s Directors remain confident that, if required, the Group will be able to secure sufficient funds or reduce or defer expenditure to ensure that essential operational and expenditure commitments are met for the next twelve months.
The stock last traded at $ 0.005 (on 17 March 2020).
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