MRG Metals Defies Market Sell-off on ASX, Zooms ~14% on the Back of High-Quality Mineral Assemblage Results at Corridor Projects

  • Aug 04, 2020 AEST
  • Team Kalkine
MRG Metals Defies Market Sell-off on ASX, Zooms ~14% on the Back of High-Quality Mineral Assemblage Results at Corridor Projects

Summary

  • MRG Metals has reported high-quality mineral assemblage from multiple targets in The Corridor Heavy Minerals Sand Projects.
  • Seeing the substantial outcomes at Nhacutse target, the sample has been retested, with additional retest on a new split of the sample planned to be analysed in due course.
  • On the eastern side of Corridor tenement, the results indicate occurrence of a greater unit value assemblage in heavy mineral sand.
  • Data analysis is presently underway to prioritise targets for upcoming aircore drill program, and mineral assemblage analyses are underway for Saia, Zulene and Viaria targets.

Mineral exploration company, MRG Metals Limited (ASX:MRQ) has continued to fast-track the development of knowledge and understanding of its Corridor Sands Projects portfolio, which is a host to several extremely prospective heavy minerals targets.

Interesting Read: MRG Metals Riding High On ASX, World-Class HMS District in Making

At Present, MRQ has reported impressive results for mineral assemblage characterisation by Qemscan analysis of 16 selected composite samples from the Corridor South (6621L) and Corridor Central (6620L) tenements.

Source: ASX Announcement

Source: ASX Announcement

Subsequent to this announcement, MRQ stock zoomed by 14.286% intraday and settled at $0.008 with a market capitalisation of $8.64 million. This happened on a day when S&P/ASX 200 was down by 2.04%.

Results Indicate High-quality Nature of the VHM Assemblage

The data received, to be used to prioritise targets for ongoing work programmes, provides reconnaissance phase update on the valuable heavy mineral (VHM) assemblage contained within the total heavy mineral (THM) concentrate.

Though the best VHM result of 73.37% being returned from the east side of the Nhacutse target, in all the new results indicate the robust and high-quality nature of the VHM assemblage contained within the Corridor tenements.

Summary Results For Bulk Mineral Assemblage Of Composite Samples (Source: ASX Announcement)

Summary Results For Bulk Mineral Assemblage Of Composite Samples (Source: ASX Announcement)

Most Significant Results at Nhacutse Target

MRG believes that the results represent a significant priority for additional follow-up exploration and is the best result of all mineral assemblage data to date for the Corridor projects.

  • The eastern side of Nhacutse target (hole 19CSHA067; sample CSNH03) returned the most significant results and supports Nhacutse as a priority target for aircore drilling
  • This side of the target has a combined ilmenite plus leucoxene result of 68.29%, associated with 2.17% rutile, and 2.91% zircon.
  • Another good result was returned by the Sample CSNH02 also located on the east side of the Nhacutse target, related to auger hole 19CSHA064 with average 3.6% THM, containing 38.95% ilmenite plus leucoxene, together with 0.87% rutile and 1.26% zircon.
  • Notably, with 41.30% ilmenite plus leucoxene, associated with 0.84% rutile and 1.44% zircon, sample CSNH01 (hole 19CSHA048) at Nhacutse also returned significant results. 19CSHA048, and is located on the far western side of the Nhacutse target, adjacent to the Limpopo River valley having average THM grade of 6.33%.

Related: MRQ Skyrockets: Poiombo Auger Results Confirm High-Grade HMS Mineralisation, Assay Results Soon

Second Best Results at Koko East Target

Out of the overall mineral assemblage result for the existing Qemscan batch, the second-best results were returned from the area defined as Koko East, from sample CCKE02 and related to auger hole 20CCHA195 (average 4.24% THM).

The sample is a host to 50.45% ilmenite plus leucoxene, 1.93% zircon and 0.84% rutile and is substantially better than the average Koko Massava Mineral Resource mineral assemblage data.

Interesting Read: MRG Metals Provides Impressive Koko Massava Metallurgical Testwork Update

Impressive mineral assemblage Data at Poiombo Target Results

Impressive mineral assemblage data for Poiombo indicates that half of the samples yield >41% ilmenite plus leucoxene.

  • 46.50% ilmenite plus leucoxene, together with 0.75% rutile and 1.78% zircon are contained in the sample CSPM06, which correlated with auger hole 20CSHA251.
  • 42.85% ilmenite plus leucoxene are contained in sample CSPM07, which relates to auger hole 20CSHA254 (average 5.48% THM).
  • Sample CSPM07 is located just south of the defined limit of the target on the eastern side and has corresponding rutile of 0.80% and zircon of 1.62%.

MRQ is optimistic about the important high priority target represented by Poiombo for additional aircore drilling, along with good mineral assemblage and strandline style high grades in several areas.

 Way Forward for MRQ

Going forward, MRG plans to utilise this critical observation as an additional ranking parameter in exploration targeting and to make the choice of further mineral assemblage samples.

Moreover, an additional hypothesis which is remained untested is that assemblage testing on identified strandline drill hole assays may reflect better grade mineralogy.

As sample CSNH03 returned significant results, MRQ has been active to persuade the laboratory to repeat the test, which was also concluded successfully.

Moreover, a duplicate sample for validation testing has been prepared by MRQ. This shall be tested along with the next batch of Qemscan samples.

Planned activities for the first half of August include:

Previous Update from MRQ: MRG Metals Unveils Further Outstanding Exploration Results from Saia, Viaria & Zulene

With in-ground value of the finest quality assemblage results close to double to the combined sample of Koko Massava at similar THM grade, MRQ believes that present results are significant.

In a nutshell, a better value assemblage occurring to the eastern side of the tenements is brought into light by the latest mineral assemblage results, beyond the Limpopo River valley and considerably improved than the Mineral Resource reported for the Koko Massava.

 


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