Pensana Metals Ltd (ASX: PM8) is a mineral exploration company with a package of tenements in prospective areas of Tanzania. The Company is focused on gold exploration in the rich Lake Victoria Goldfields of Tanzania.
The company has through the latest release on ASX stated that they are elated with drill results achieved from the final batch of results of its 108-hole drill programme at the Longonjo NdPr Project in infrastructure rich Angola. All new intersections lie outside of the current Mineral Resource area and extend the NdPr mineralization to the south, east and west. The high-grade mineralization starts at surface and remains open in the southern area.
The new intersections also identify a new thick zone of particularly NdPr–enriched mineralization (LRC071, where NdPr makes up 36% of total rare earth) on the western margin of the carbonatite 1,200 meters from the limit of the current Mineral Resource estimate.
The Company has now got all the results from the 2018 drilling programme and has appointed SRK Consulting (Perth) to complete a revised Mineral Resource estimate, which is scheduled for completion in February 2019.
The Executive Director, Mr. Dave Hammond commented that these high-grade NdPr intersections are some of the thickest and highest grade received to date. They occur over substantial widths from the surface and will extend the high-grade mineralization in many directions. SRK has already started on an upgraded Mineral Resource estimate which the company looks forward to reporting next month.
Assay results from the remaining 41 wide spaced vertical drill holes have returned some of the thickest and highest grade received to date including:
Fifty meters at 5.63% REO including 1.00% NdPr from the surface to end of the hole in drill hole LRC089. Located outside of the current Mineral Resource area, they extended the zone of high?grade mineralization to the east and south. The results also identify a new region of particularly NdPr rich mineralization in the west, 1,200 meters from the current Mineral Resource estimate boundary.
The 4,206-metre reverse circulation programme tested an area ten times that of the maiden Mineral Resource estimate (11.6 million tonnes at 4.30% REO including 0.86% NdPr), intending to be generating an upgraded Mineral Resource estimate.
The thickness and grades of mineralization intersected in these latest results compare well to the average 20-meter thickness and the NdPr grades of the current Mineral Resource estimate.
With all drill results now received, the Company has appointed SRK Consulting, Perth to complete a revised Mineral Resource estimate for Longonjo. Work has already started and the same is scheduled for completion in February 2019. The successful delineation of a very large expanded NdPr Mineral Resource estimate would allow the Company to identify and select the most favourable, highest quality mineralization for initial development studies.
In the meantime, the stock price of the company has fallen by 10.53 percent in the past six months as on 16 January 2019. PM8’s shares traded at $0.018 with the market capitalization of circa $20.44 Mn as on 17 January 2019.