Scan Through Mount Burgess’ Remarkable June Quarter Performance

Summary

• Mount Burgess has developed resources in Kihabe and Nxuu Deposits on PL43/2016 in Western Ngamiland Botswana.
• Work across quarter ended 30 June 2020 enabled Mount Burgess to better determine depth to barren dolostone basement for proposed intermediate drill holes at Nxuu Deposit and potential continuity of mineralised domains.
• With COVID-restrictions gradually lifting and planned works likely to progress, Mount Burgess plans to drill proposed vertical drill holes at Nxuu Deposit and assay them for Zn/Pb/Ag/Ge/V.
• Quoting an Indicated/Measured resource compliant with the 2012 JORC Code to be undertaken, once drilling and assaying are complete.

With an aim to maximising beneficiation in Botswana, Mount Burgess Mining NL (ASX:MTB) is currently developing the Kihabe and Nxuu Zinc/Lead/Silver/Germanium and Vanadium deposits. The Company plans to first develop the totally oxidised Nxuu Deposit - a potentially shallow, low risk and low cost operation.

Through the quarter ended 30 June 2020, Mount Burgess undertook a series of work on Nxuu. Even though there was a delay in a few planned test works owing to the COVID 19 pandemic, the Company continued its progress trajectory-

Review of Drill Hole Sections

During the quarter, with an aim to review drill hole sections perpendicular to the strike of the mineralised trend, Mount Burgess re-assembled drill hole data for the northern portion of the deposit. These sections were designed to relay drill hole data with an NW/SE orientation so that they could more likely represent cross sections to the SW/NE mineralised trend. Based on drilling results to date, MTB can now better determine depths to barren dolostone basement for proposed drill holes. The Company notes that-

• The overall estimated average depth of 58 proposed vertical drill holes for Nxuu is ~ 45m
• Hole depths range from 10m to 65m, affirming the shallow nature of the Nxuu basin-shaped Deposit.

ALSO READ: Mount Burgess’ Nxuu Deposit Progress & Pipeline; Botswana Govt Eases COVID-19 Restrictions

Compilation of Drill Hole Sections

The Company compiled Drill Hole Sections that run from West (270 Deg) to East (90 Deg), along South to North WGS Northings. This demonstrates the WGS Eastings of each hole drilled, together with proposed drill holes that are planned for those sections with the previous drilling. However, W/E sections were not compiled for those sections that only contain proposed drill holes.

The sections were compiled to further affirm estimated depths to barren dolostone basement of the proposed drill holes planned for these sections containing holes already drilled. Moreover, this orientation is likely to offer a better understanding of the potential continuity of mineralised domains.

READ HERE: Mount Burgess: Nxuu Deposit Advances, Test Works in Pipeline Amid COVID Crisis

Data Consolidation

All this data has now been summarised into South to North/West to East drill sections to show all data for individual holes and proposed drill holes. This required generation of five separate maps combined with drill-hole cross-sections.

Mount Burgess’ Pipeline

With COVID 19 restrictions gradually easing in Botswana, the Botswana Government has amended the formal application process to obtain regional access permits. This enables Mount Burgess to apply for and be granted permits for local staff, consultants to travel to the project site and enable the collection of diamond drill-core for planned test work.

The Company suggested that once air freight services are available, the core can be collected from the site for export to Australia, for STEINERT to conduct bulk test work. Besides, post lockdown, Naples University will be able to commence Ge related test work.

Subject to funding and practical ability to access the project site, Mount Burgess plans to drill the proposed vertical drill holes that will be then assayed for Zn/Pb/Ag/Ge/V. An Indicated/Measured resource compliant with the 2012 JORC Code is expected once drilling and assaying are complete.

Recoverable Vanadium Pentoxide, Zinc, Lead & Silver Equivalent Grade

Recent drilling results that included assaying for Vanadium, show that mineralisation at Nxuu extends beyond the zones of Zn/Pb mineralisation, increasing overall metal endowed domains within the mineralised quartz wacke-

• Of the 24 holes drilled to date, close to 58%, on average, of every hole contains recoverable Zn/Pb/V₂O₅ Of the remaining 42%, 17% consists of Kalahari sand cover, leaving only 25% as insignificantly mineralised quartz wacke
• V/ V₂O₅ in the Nxuu Deposit is hosted in the oxide vanadate DESCLOIZITE, where V₂O₅ is 1.785 times the volume of V. DESCLOIZITE can be treated on site to produce V₂O₅ which can then be sold as a marketable product.
• V₂O₅ can be extracted on site through the process of flotation using a hydroxamate collector for recovery and represents a significant credit for the Project. The Company has further discounted V₂O₅ grades to 80% to show the RECOVERABLE grades
• The Zinc Equivalent Grade for Nxuu includes grades of Zinc, Lead and Silver. Zinc and Lead grade values were discounted to 93% to reflect RECOVERABLE value based on metallurgical test work conducted by AMMTEC. Silver grade values were discounted to 70% to reflect the RECOVERABLE value of Silver as achieved in a similar deposit.

ALSO READ: Mount Burgess’ Kihabe-Nxuu Project: Optimising Project Economics Through Geological And Metallurgical Testwork

Corporate Update

On 30 June 2020, Mount Burgess announced a proposed issue of 30,686,075 fully paid shares an issue price of 0.15 of a cent, which raised $46,030. It has the ability to raise further funds by way of share placement/s via the issue of up to 52,012,939 shares.

During the quarter, MTB received further loan funding of $3000 from a Company Director. Subsequently, on 16 July it received a cash flow boost of $2500 from the Australian Government.

MTB quoted $ 0.002 on 28 July 2020.

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