LONDON, Jan. 8, 2020 /CNW/ - Meridian Mining SE (TSXV:
MNO) ("Meridian" or the "Company") today announces that the ANM
(Agência Nacional de Mineração) has approved a trial mining licence
("Guia de Utilização", or "GU") on Jaburi licence 886643/2008 at
the Espigão Project. Guia n° 48/2019 was approved for the
production of 30,000t of Manganese oxide concentrate ("Mnox") per
annum, and is valid until 13/09/2021. The notice of approval was
published in the Diário Oficial da União on the 23 December 2019.
Highlights of Jaburi license
- It's one of Meridian's highest grade and quality Manganese
oxide targets
- The Jaburi license is located adjacent to the Jaburi and
Rio Madeira plants
- The pre-production grade control has been completed prior to
C&M
Mr Clark, Interim CEO & President, states, "although the
production of manganese has been placed on care and maintenance,
the Company has maintained a core operational team for a rapid
re-start once the Manganese commodity price increases to
commercially viable levels or a boutique contract is signed. Once
one of the above conditions has been met, the restart will help
support the future activities of the greater Espigão polymetallic
exploration program."
Geology and Mineralization
Meridian licence 886643/2008 is located on the southern margin
of the Espigão Project Area, and hosts the Jaburi Plant
infrastructure (Figure 1). Manganese oxide vein systems are hosted
by fine-grained granites in the area. Gabbroic to pyroxenitic
intrusive stocks and dykes locally cut the granite basement.
Mineralized structures typically trend east to east-north-east, and
are cut by north-west trending cross faults. The licence area
straddles the hinge zone to the deep-seated boundary fault
separating younger sediments of the Pimenta Bueno graben to the
south from the crystalline basement to the north.
The licence area hosts many of the higher-quality occurrences of
manganese oxide. The occurrences contain lower levels of trace
metal impurities, and have a higher proportion of the ore mineral
"pyrolusite" (MnO2 – a high tenor manganese mineral).
Past analyses of product stockpiles have reported maximum assay
values of 59.4% Mn. The region occurs in a more stripped regolith
profile on ground rising from the lowlands of the basin area to the
south, and thus lack the laterites that are associated with some of
the past regional production areas on the plateaus of the Espigão
Project. The low phosphorous contents, the high Mn:Fe ratios, and
the low levels of accessory metals have made the Jaburi manganese
oxide concentrates a targeted product for blending in speciality
alloys, and for fertilizer products.
Past extraction has been targeted from a range of prospects:
Jaburi 1 - 5, Jaburi East, Jaburi West and Jaburi Novo. Production
went into a hiatus period in August
2018 whilst the final report was under review.
Approval of the Final Report was published on 21/08/2019, the
Company commenced further evaluation of the licence area. One new
colluvial field has been delineated by hand-auger sampling in the
eastern sector of the Jaburi 3 region (which incorporates a cluster
of manganese occurrences). The new region extends over 400m in an east-west direction, and
50-150m in a north-south direction.
This shows some promise in the potential for definition of further
production sources through future exploration and pre-production
activity. Several manganese colluvial occurrences have also been
identified in a new area to the southwest of the plant (Jaburi
South Target; Figure 2) – this region is yet to be systematically
evaluated. The northern group of occurrences (located 3 - 4km north
of the Jaburi Plant) will be targeted for future recommencement of
production, whilst future exploration continues on the recently
identified southern occurrences.
The Jaburi licence is also of interest in hosting the SW
extension of the Gracioso Target – an area of iron-oxide breccia
accompanied by coincident conductivity and radiometric anomaly
(high total count; high uranium). This along with other deep-seated
magnetic and conductivity anomalies1 will form part of a
future focus on Cu-Au exploration, based on an exploration model
for a zoned polymetallic mineral system2.
_______________________
|
1 Announcement of
May 28, 2019: New processing of airborne geophysics highlights
deeper intrusive-related exploration targets.
|
|
2 Announcements of Nov. 8, 2018: Meridian
Defines Base Metal Anomalies in Brazil, and June 12, 2019: Release
of base metals assays give context to larger hydrothermal origin of
manganese veins.
|
The Company has currently suspended production and delineation
activities during the care and maintenance period announced in
December 2019 in response to reduced
manganese prices. The subsequent recovery in prices is a positive
sign. The Company will monitor price trends and maintain
equipment to be prepared for future recommencement. The Company is
also actively examining funding and partnership options to realise
value for a polymetallic exploration program, focussed on testing
the Cu-Au potential.
QUALIFIED PERSON
The technical information about the Company's exploration
activity and exploration target range has been prepared under the
supervision of Dr. Adrian McArthur
(B.Sc. Hons, PhD. FAusIMM), the Chief Geologist of Meridian Mining,
who is a "qualified person" within the meaning of National
Instrument 43-101.
On behalf of the Board of Directors of Meridian Mining SE
Gilbert Clark
Interim CEO, President and Director
ABOUT MERIDIAN
Meridian Mining SE is focused on the acquisition, exploration,
development and mining activities in Brazil. The Company is currently focused on
exploring and developing the Espigao polymetallic project, the
Mirante da Serra manganese project and the Ariquemes tin
exploration portfolio in the state of Rondônia, Brazil.
Further information can be found at www.meridianmining.co.
FORWARD-LOOKING STATEMENTS
Some statements in this presentation contain forward-looking
information or forward-looking statements for the purposes of
applicable securities laws. These statements include, among
others, statements with respect to the Company's plans for
exploration, development and exploitation of its properties and
potential mineralisation. These statements address future
events and conditions and, as such, involve known and unknown
risks, uncertainties and other factors, which may cause the actual
results, performance or achievements to be materially different
from any future results, performance or achievements expressed or
implied by the statements. Such risk factors include, among others,
failure to obtain regulatory approvals, failure to complete
anticipated transactions, the timing and success of future
exploration and development activities, exploration and development
risks, title matters, inability to obtain any required third party
consents, operating risks and hazards, metal prices, political and
economic factors, competitive factors, general economic conditions,
relationships with strategic partners, governmental regulation and
supervision, seasonality, technological change, industry practices
and one-time events. In making the forward-looking
statements, the Company has applied several material assumptions
including, but not limited to, the assumptions that: (1) the
proposed exploration, development and exploitation of mineral
projects will proceed as planned; (2) market fundamentals will
result in sustained metals and minerals prices and (3) any
additional financing needed will be available on reasonable
terms. The Company expressly disclaims any intention or
obligation to update or revise any forward-looking statements
whether as a result of new information, future events or otherwise
except as otherwise required by applicable securities
legislation.
The Company cautions that it has not completed any feasibility
studies on any of its mineral properties, and no mineral reserve
estimate or mineral resource estimate has been established.
In particular, because the Company's production decision relating
to Meridian Mineracao Jaburi S.A, manganese project is not based
upon a feasibility study of mineral reserves, the economic and
technical viability of the Espigão manganese project has not been
established
The TSX Venture Exchange has neither approved nor disapproved
the contents of this news release. Neither TSX Venture Exchange nor
its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
SOURCE Meridian Mining S.E.