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CRITICAL RESOURCES LIMITED — Capital/Financing Update 2019
Aug 22, 2019
64708_rns_2019-08-22_fd5d6aaa-f6d0-47b1-9a95-e5f9a3bfa447.pdf
Capital/Financing Update
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23 August 2019 ASX Announcements Office 152–158 St Georges Terrace Perth WA 6000 Australia
UPDATE ON DRC LITHIUM JOINT VENTURES
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Figure 1: RC drilling samples at the Kanuka Lithium Production Project taken in the DRC in 2018
Force Commodities Ltd ( Force or the Company ) (ASX Code: 4CE) is pleased to provide an update on its lithium joint venture activities in Tanganyika Province in the south east of the Democratic Republic of Congo ( DRC ).
By way of background, during 2017 Force secured an interest in two lithium projects, the KitotoloKatamba Lithium Project and the Kanuka Lithium Production Project and undertook significant exploration at each during 2017 and 2018 involving mapping, rock-chip sampling, trenching, auger drilling and reverse circulation ( RC ) drilling.
Limited exploration has been conducted at each of the Kitotolo-Katamba and Kanuka Lithium Production Projects during calendar year 2019, due to the significant deterioration in the demand for spodumene concentrate and a fall in lithium prices, and as a result of the Company’s focus shifting to advancing its exploration and development activities at the high-grade lead and silver Tshimpala Project in Malawi.
The initial assay results from the Phase 1 RC drilling program at Kitotlo-Katamba have now been received and have confirmed the presence of shallow, low grade lithium mineralisation and further demonstrated the need to complete further deeper drilling. However for the immediate future, the Company is proposing to maintain its focus on advancing the Tshimpala Project towards production and will hold back on further exploration expenditure at its lithium projects in the DRC until a marked improvement in the lithium sector has occurred or until the Company is able to attract additional parties to assist in funding progress at the Kitotolo-Katamba and Kanuka Lithium Projects.
Force Commodities Ltd | Ground Floor, 20 Kings Park Road, West Perth, WA, 6005 | PO Box 1024 West Leederville WA 6007 Ph: +61 8 6426 1421 | F: +61 8 6323 3347 | web:forcecommodities.com.au | ABN 12 145 184 667 | ASX:4CE
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Kanuka Lithium Production Project
In 2018, the Company completed its Phase 1 RC drilling program at the Kanuka Lithium Production Project. A total of 45 RC holes were completed for about 2,700m. The drilling program was designed to rapidly target near surface lithium mineralisation hosted within exposed pegmatites and confirm interpretations from surface geological mapping.
In December 2018 (refer ASX Announcement dated 6 December 2018), the Company confirmed the presence of widespread, shallow , multiple-parallel stacked, high grade lithium mineralised pegmatites as determined by assay from drilling. The drilling showed this mineralisation extended over a strike of at least 1.3km at the Kania Main Pegmatite. This body is located inside the main tin and tantalum open pit mining operation of the Company’s joint venture partner Mining Mineral Resources SPRL ( MMR ) and has a width of up to 300m.
Drilling at the Kalombo Mushwima Prospect, west of the Kania Main pegmatite, showed the existence of a shallow and broad lithium mineralised system having a width of 1.4km, which remains open along strike in all directions.
A number of drill holes reported high grade intersections at depth which were often terminated in mineralisation; indicating the potential for deeper and broader higher-grade lithium mineralisation at depth.
Selected high-grade lithium samples were tested by x-ray diffraction (XRD) methods to determine the specific lithium bearing mineralogy.
The XRD analyses have now been received and show the lithium mineralisation at the Kania Main and Kalombo Mushwima Prospect is predominantly lepidolite, with petalite and spodumene phases.
A summary of the XRD analyses is included in Table 2.
| Sample ID | Quartz | Petalite | Muscovite | Chlorite | Albite | Spodumene | Microcline | Lepidolite | Beryl |
|---|---|---|---|---|---|---|---|---|---|
| % | % | % | % | % | % | % | % | % | |
| A09392 | 32.21 | 0.76 | 10.35 | 0.07 | 32.89 | 0.00 | 3.25 | 20.35 | 0.12 |
| A09474 | 40.65 | 0.77 | 5.02 | 0.13 | 31.08 | 4.46 | 0.91 | 16.73 | 0.23 |
| A09476 | 39.22 | 1.33 | 8.11 | 0.07 | 30.24 | 6.04 | 0.00 | 14.65 | 0.34 |
| A09477 | 34.28 | 1.36 | 7.84 | 0.07 | 31.33 | 0.74 | 3.61 | 20.72 | 0.07 |
| A09562 | 48.68 | 1.44 | 1.56 | 0.07 | 29.76 | 0.17 | 0.17 | 18.05 | 0.10 |
| S554281 | 26.34 | 1.52 | 20.55 | 0.20 | 34.10 | 0.00 | 0.00 | 16.91 | 0.38 |
| S554345 | 34.79 | 1.71 | 13.95 | 0.13 | 31.69 | 0.14 | 1.14 | 16.20 | 0.26 |
| S554511 | 22.93 | 17.85 | 2.46 | 0.07 | 49.88 | 0.00 | 0.00 | 6.69 | 0.12 |
| S554513 | 23.00 | 25.81 | 9.61 | 0.07 | 30.12 | 3.05 | 0.00 | 8.13 | 0.22 |
| S554514 | 32.64 | 2.35 | 10.99 | 0.03 | 33.73 | 0.12 | 0.00 | 20.07 | 0.07 |
| S554562 | 38.95 | 2.00 | 24.17 | 0.20 | 16.51 | 0.20 | 1.62 | 15.76 | 0.60 |
| S554591 | 30.17 | 0.84 | 15.53 | 0.20 | 29.16 | 0.00 | 1.40 | 17.71 | 5.00 |
| S554592 | 30.49 | 1.41 | 9.88 | 0.13 | 38.67 | 0.00 | 0.00 | 19.36 | 0.05 |
| S554924 | 57.51 | 0.57 | 19.47 | 0.33 | 1.45 | 0.71 | 1.02 | 18.87 | 0.08 |
| S554936 | 28.12 | 2.14 | 14.83 | 0.07 | 38.31 | 0.00 | 0.00 | 16.24 | 0.29 |
| S554937 | 36.43 | 2.48 | 11.06 | 0.07 | 28.92 | 0.00 | 0.00 | 20.77 | 0.27 |
| T00331 | 21.49 | 2.73 | 19.90 | 0.07 | 39.16 | 0.18 | 0.00 | 16.35 | 0.13 |
| T00341 | 41.47 | 2.23 | 6.49 | 1.11 | 26.02 | 0.12 | 0.00 | 22.01 | 0.54 |
| T00344 | 31.61 | 2.80 | 23.69 | 0.20 | 26.02 | 0.00 | 0.00 | 15.54 | 0.14 |
| T00398 | 23.32 | 2.28 | 24.58 | 0.33 | 33.49 | 0.35 | 0.00 | 15.45 | 0.19 |
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| Sample ID | Quartz | Petalite | Muscovite | Chlorite | Albite | Spodumene | Microcline | Lepidolite | Beryl |
|---|---|---|---|---|---|---|---|---|---|
| % | % | % | % | % | % | % | % | % | |
| T00405 | 20.97 | 3.66 | 27.74 | 0.07 | 22.89 | 0.00 | 0.00 | 24.41 | 0.26 |
| T00406 | 26.16 | 2.41 | 5.16 | 0.07 | 47.71 | 0.60 | 0.00 | 17.68 | 0.21 |
| T00417 | 22.40 | 3.04 | 22.82 | 0.07 | 34.10 | 0.00 | 0.00 | 17.29 | 0.28 |
| T00419 | 20.79 | 3.18 | 16.96 | 0.13 | 37.59 | 0.00 | 0.00 | 20.81 | 0.53 |
| T00484 | 35.51 | 1.66 | 19.22 | 0.13 | 15.66 | 0.71 | 11.50 | 15.21 | 0.39 |
| T00485 | 23.26 | 2.01 | 17.77 | 0.07 | 37.71 | 0.84 | 2.85 | 15.26 | 0.23 |
| T00695 | 39.33 | 0.89 | 18.85 | 0.13 | 15.30 | 0.00 | 5.31 | 19.94 | 0.25 |
| T00715 | 39.55 | 1.52 | 7.47 | 0.07 | 30.48 | 0.51 | 4.19 | 16.11 | 0.11 |
| T00899 | 47.19 | 0.95 | 4.68 | 0.07 | 15.42 | 0.00 | 8.15 | 23.31 | 0.24 |
| T00958 | 20.57 | 2.08 | 32.13 | 1.70 | 27.71 | 0.20 | 0.00 | 15.35 | 0.26 |
Table 1: XRD analyses from selected high-grade lithium samples at Kanuka Lithium Production Project
It is rare for the minerals petalite and spodumene to occur in the same pegmatite because the temperature and pressure of stability affects the presence or absence of each phase. Spodumene is stable in melts of higher pressure and moderate temperature whereas petalite is stable at high temperature and moderate pressure. There is, however, a complicating factor where upon cooling of the melt spodumene sometimes replaces petalite.
The XRD analyses shows a petalite rich, spodumene poor assemblage of lithium bearing phase. Petalite is a high value lithium bearing phase because of its use in ceramics.
Whilst the XRD analyses results are very encouraging given the high value petalite, the Board does not believe further exploration expenditure is warranted in the current market and the Company will continue its discussions with its joint venture partner at Kanuka and determine how best to progress the project.
Kitotolo West Lithium Project.
The Company has elected to relinquish the option it held over the project.
Kitotolo-Katamba Lithium Project
During 2018, the Company completed shallow reverse circulation ( RC ) drilling of 4,272 drill metres with samples taken for routine assay (48 element four acid digest with ICP finish) in South Africa.
Shallow RC drilling was completed to rapidly target near surface lithium mineralisation, extending 1 km northeast from the artisanal Katamba Pit. The target was located in the northeastern quadrant of the Project area and interpreted to occur within a northeast-southwest trending pegmatite corridor.
The Company has received the assay results on the first batch of samples processed from the Phase 1 drilling program. The results from Phase 1 drilling program at Kitotolo-Katamba are set out in full in Appendix 1. The assays results indicate the presence of shallow low grade (0.20% Li2O and 0.39% Li2O) lithium that is hosted in mica schists.
The presence of the lithium mineralisation in the mica schists is considered very positive, given that they are not among the main types of geological accumulation of lithium – such as pegmatites, granites and and brines.
The shallow lithium mineralisation identified in the mica schists, seen to increase at depth in the drill holes is probably due to thin pegmatite stringers occupying a small volume of the total rock volume drilled sampled.
The assay results have confirmed that the drilling program has successfully intersected a number of lithium bearing pegmatite veins with widths of between 7m and 16m. The results also indicate the
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potential for deeper and broader higher-grade lithium mineralisation at depth, with assays from drill holes reporting intersections of lithium mineralisation at depth and ending in mineralisation
Despite the encouraging assays from the Phase 1 drilling program, the Board has determined that raising additional equity capital to further progress exploration activities in the DRC and commence a deeper drilling program will be extremely difficult at the current moment in time and potentially highly dilutive to current shareholders. Furthermore, the Board does not believe that further exploration expenditure of substance at Kitotolo-Katamba is warranted at this point in time. The Company will progress with discussions with its joint venture partner at Kitotolo-Katamba and determine how best to now advance the project given these circumstances.
END
For further information contact:
Jason Brewer Managing Director Force Commodities Limited Tel: +61 (0) 8 6462 1421
Competent Person Statement
The information in this release that relates to sampling techniques and data, exploration results, geological interpretation and Exploration Targets, Mineral Resources or Ore Reserves has been compiled by Jess Oram who is a member of the Australasian Institute of Geoscientists and a Member of the Geological Society of Australia. Mr Oram is engaged by Force Commodities as a non-executive Chairman.
Mr Oram has sufficient experience of relevance to the styles of mineralisation and the types of deposits under consideration, and to the activities undertaken, to qualify as a Competent Person as defined in the 2012 Edition of the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Oram consents to the inclusion in this report of the matters based on information in the form and context in which it appears.
Forward looking statements
Information included in this release constitutes forward-looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward looking words such as “may”, “will”, “expect”, “intend”, “plan”, “estimate”, “anticipate”, “continue”, and “guidance”, or other similar words and may include, without limitation, statements regarding plans, strategies and objectives of management, anticipated production or construction commencement dates and expected costs or production outputs.
Forward looking statements inherently involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, performance and achievements to differ materially from any future results, performance or achievements. Relevant factors may include, but are not limited to, changes in commodity prices, foreign exchange fluctuations and general economic conditions, increased costs and demand for production inputs, the speculative nature of exploration and project development, including the risks of obtaining necessary licences and permits and diminishing quantities or grades of reserves, political and social risks, changes to the regulatory framework within which the company operates or may in the future operate, environmental conditions including extreme weather conditions, recruitment and retention of personnel, industrial relations issues and litigation.
Forward looking statements are based on the Company and its management’s good faith assumptions relating to the financial, market, regulatory and other relevant environments that will exist and affect the Company’s business and operations in the future. The Company does not give any assurance that the assumptions on which forward looking statements are based will prove to be correct, or that the Company’s business or operations will not be affected in any material manner by these or other factors not foreseen or foreseeable by the Company or management or beyond the Company’s control.
Although the Company attempts and has attempted to identify factors that would cause actual actions, events or results to differ materially from those disclosed in forward looking statements, there may be other factors that could cause actual results, performance, achievements or events not to be as anticipated, estimated or intended, and many events are beyond the reasonable control of the Company. Accordingly, readers are cautioned not to place undue reliance on forward looking statements. Forward looking statements in these materials speak only at the date of issue. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, in providing this information the company does not undertake any obligation to publicly update or revise any of the forward-looking statements or to advise of any change in events, conditions or circumstances on which any such statement is based.
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APPENDIX 1
Summary of the Phase 1 RC drilling completed and reported in this ASX release.
| Hole_ID | Sample_ID | Li_ppm | Li2O_ppm | Grid_North | Grid_East | Dpth_From | Depth_To |
|---|---|---|---|---|---|---|---|
| KA18AC007 | S555366 | 226 | 487 | 9164545 | 509064 | 43 | 44 |
| KA18AC007 | S555367 | 229 | 493 | 9164545 | 509064 | 44 | 45 |
| KA18AC007 | S555368 | 244 | 525 | 9164545 | 509064 | 45 | 46 |
| KA18AC007 | S555369 | 253 | 545 | 9164545 | 509064 | 46 | 47 |
| KA18AC007 | S555370 | 263 | 566 | 9164545 | 509064 | 47 | 48 |
| KA18AC007 | S555371 | 242 | 521 | 9164545 | 509064 | 48 | 49 |
| KA18AC007 | S555372 | 254 | 547 | 9164545 | 509064 | 49 | 50 |
| KA18AC007 | S555373 | 251 | 540 | 9164545 | 509064 | 50 | 51 |
| KA18AC007 | S555374 | 281 | 605 | 9164545 | 509064 | 51 | 52 |
| KA18AC007 | S555375 | 255 | 549 | 9164545 | 509064 | 52 | 53 |
| KA18AC007 | S555376 | 254 | 547 | 9164545 | 509064 | 53 | 54 |
| KA18AC007 | S555377 | 271 | 583 | 9164545 | 509064 | 54 | 55 |
| KA18AC007 | S555378 | 275 | 592 | 9164545 | 509064 | 55 | 56 |
| KA18AC007 | S555379 | 301 | 648 | 9164545 | 509064 | 56 | 57 |
| KA18AC007 | S555381 | 149,5 | 322 | 9164545 | 509064 | 57 | 58 |
| KA18AC007 | S555382 | 275 | 592 | 9164545 | 509064 | 58 | 59 |
| KA18AC007 | S555383 | 281 | 605 | 9164545 | 509064 | 59 | 60 |
| KA18AC009 | S555384 | 48,5 | 104,5 | 9164508 | 509329 | 0 | 1 |
| KA18AC009 | S555385 | 66,8 | 144,0 | 9164508 | 509329 | 1 | 2 |
| KA18AC009 | S555386 | 92,1 | 198,5 | 9164508 | 509329 | 2 | 3 |
| KA18AC009 | S555387 | 162,5 | 350 | 9164508 | 509329 | 3 | 4 |
| KA18AC009 | S555388 | 225 | 484 | 9164508 | 509329 | 4 | 5 |
| KA18AC009 | S555389 | 172,0 | 370 | 9164508 | 509329 | 5 | 6 |
| KA18AC009 | S555390 | 171,0 | 368 | 9164508 | 509329 | 6 | 7 |
| KA18AC009 | S555391 | 434 | 934 | 9164508 | 509329 | 7 | 8 |
| KA18AC009 | S555392 | 333 | 717 | 9164508 | 509329 | 8 | 9 |
| KA18AC009 | S555393 | 470 | 1010 | 9164508 | 509329 | 9 | 10 |
| KA18AC009 | S555394 | 402 | 865 | 9164508 | 509329 | 10 | 11 |
| KA18AC009 | S555395 | 253 | 545 | 9164508 | 509329 | 11 | 12 |
| KA18AC009 | S555396 | 378 | 814 | 9164508 | 509329 | 12 | 13 |
| KA18AC009 | S555397 | 446 | 960 | 9164508 | 509329 | 13 | 14 |
| KA18AC009 | S555398 | 420 | 904 | 9164508 | 509329 | 14 | 15 |
| KA18AC009 | S555399 | 412 | 887 | 9164508 | 509329 | 15 | 16 |
| KA18AC009 | S555401 | 620 | 1335 | 9164508 | 509329 | 16 | 17 |
| KA18AC009 | S555402 | 540 | 1160 | 9164508 | 509329 | 17 | 18 |
| KA18AC009 | S555403 | 550 | 1185 | 9164508 | 509329 | 18 | 19 |
| KA18AC009 | S555404 | 690 | 1485 | 9164508 | 509329 | 19 | 20 |
| KA18AC009 | S555405 | 960 | 2070 | 9164508 | 509329 | 20 | 21 |
| KA18AC009 | S555406 | 720 | 1550 | 9164508 | 509329 | 21 | 22 |
| KA18AC009 | S555407 | 770 | 1660 | 9164508 | 509329 | 22 | 23 |
| KA18AC009 | S555408 | 780 | 1680 | 9164508 | 509329 | 23 | 24 |
| KA18AC009 | S555409 | 650 | 1400 | 9164508 | 509329 | 24 | 25 |
| KA18AC009 | S555410 | 870 | 1875 | 9164508 | 509329 | 25 | 26 |
| KA18AC009 | S555411 | 830 | 1785 | 9164508 | 509329 | 26 | 27 |
| KA18AC009 | S555412 | 840 | 1810 | 9164508 | 509329 | 27 | 28 |
| KA18AC009 | S555413 | 790 | 1700 | 9164508 | 509329 | 28 | 29 |
| KA18AC009 | S555414 | 860 | 1850 | 9164508 | 509329 | 29 | 30 |
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| Hole_ID | Sample_ID | Li_ppm | Li2O_ppm | Grid_North | Grid_East | Dpth_From | Depth_To |
|---|---|---|---|---|---|---|---|
| KA18AC009 | S555415 | 790 | 1700 | 9164508 | 509329 | 30 | 31 |
| KA18AC009 | S555416 | 890 | 1915 | 9164508 | 509329 | 31 | 32 |
| KA18AC009 | S555417 | 950 | 2050 | 9164508 | 509329 | 32 | 33 |
| KA18AC009 | S555418 | 770 | 1660 | 9164508 | 509329 | 33 | 34 |
| KA18AC009 | S555419 | 750 | 1615 | 9164508 | 509329 | 34 | 35 |
| KA18AC009 | S555421 | 560 | 1205 | 9164508 | 509329 | 35 | 36 |
| KA18AC009 | S555422 | 480 | 1035 | 9164508 | 509329 | 36 | 37 |
| KA18AC009 | S555423 | 480 | 1035 | 9164508 | 509329 | 37 | 38 |
| KA18AC009 | S555424 | 480 | 1035 | 9164508 | 509329 | 38 | 39 |
| KA18AC009 | S555425 | 470 | 1010 | 9164508 | 509329 | 39 | 40 |
| KA18AC010 | S555426 | 88,1 | 189,5 | 9164591 | 509273 | 0 | 1 |
| KA18AC010 | S555427 | 88,5 | 190,5 | 9164591 | 509273 | 1 | 2 |
| KA18AC010 | S555428 | 85,0 | 183,0 | 9164591 | 509273 | 2 | 3 |
| KA18AC010 | S555429 | 157,5 | 339 | 9164591 | 509273 | 3 | 4 |
| KA18AC010 | S555430 | 264 | 568 | 9164591 | 509273 | 4 | 5 |
| KA18AC010 | S555431 | 310 | 667 | 9164591 | 509273 | 5 | 6 |
| KA18AC010 | S555432 | 290 | 624 | 9164591 | 509273 | 6 | 7 |
| KA18AC010 | S555433 | 348 | 749 | 9164591 | 509273 | 7 | 8 |
| KA18AC010 | S555434 | 378 | 814 | 9164591 | 509273 | 8 | 9 |
| KA18AC010 | S555435 | 421 | 906 | 9164591 | 509273 | 9 | 10 |
| KA18AC010 | S555436 | 313 | 674 | 9164591 | 509273 | 10 | 11 |
| KA18AC010 | S555437 | 444 | 956 | 9164591 | 509273 | 11 | 12 |
| KA18AC010 | S555438 | 530 | 1140 | 9164591 | 509273 | 12 | 13 |
| KA18AC010 | S555439 | 530 | 1140 | 9164591 | 509273 | 13 | 14 |
| KA18AC010 | S555109 | 750 | 1615 | 9164591 | 509273 | 14 | 15 |
| KA18AC010 | S555110 | NR | NR | 9164591 | 509273 | 15 | 16 |
| KA18AC010 | S555111 | 291 | 626 | 9164591 | 509273 | 16 | 17 |
| KA18AC010 | S555112 | 560 | 1205 | 9164591 | 509273 | 17 | 18 |
| KA18AC010 | S555113 | 490 | 1055 | 9164591 | 509273 | 18 | 19 |
| KA18AC010 | S555114 | 520 | 1120 | 9164591 | 509273 | 19 | 20 |
| KA18AC010 | S555441 | 480 | 1035 | 9164591 | 509273 | 20 | 21 |
| KA18AC010 | S555442 | 321 | 691 | 9164591 | 509273 | 21 | 22 |
| KA18AC010 | S555443 | 430 | 926 | 9164591 | 509273 | 22 | 23 |
| KA18AC010 | S555444 | 439 | 945 | 9164591 | 509273 | 23 | 24 |
| KA18AC010 | S555445 | 440 | 947 | 9164591 | 509273 | 24 | 25 |
| KA18AC010 | S555446 | 470 | 1010 | 9164591 | 509273 | 25 | 26 |
| KA18AC010 | S555447 | 490 | 1055 | 9164591 | 509273 | 26 | 27 |
| KA18AC010 | S555448 | 500 | 1075 | 9164591 | 509273 | 27 | 28 |
| KA18AC010 | S555449 | 570 | 1225 | 9164591 | 509273 | 28 | 29 |
| KA18AC010 | S555450 | 500 | 1075 | 9164591 | 509273 | 29 | 30 |
| KA18AC010 | S555451 | 460 | 990 | 9164591 | 509273 | 30 | 31 |
| KA18AC010 | S555452 | 580 | 1250 | 9164591 | 509273 | 31 | 32 |
| KA18AC010 | S555453 | 520 | 1120 | 9164591 | 509273 | 32 | 33 |
| KA18AC010 | S555454 | 490 | 1055 | 9164591 | 509273 | 33 | 34 |
| KA18AC010 | S555455 | 540 | 1160 | 9164591 | 509273 | 34 | 35 |
| KA18AC010 | S555456 | 530 | 1140 | 9164591 | 509273 | 35 | 36 |
| KA18AC010 | S555457 | 500 | 1075 | 9164591 | 509273 | 36 | 37 |
| KA18AC010 | S555458 | 490 | 1055 | 9164591 | 509273 | 37 | 38 |
| KA18AC010 | S555459 | 405 | 872 | 9164591 | 509273 | 38 | 39 |
| KA18AC010 | S555461 | 366 | 788 | 9164591 | 509273 | 39 | 40 |
| KA18AC010 | S555462 | 427 | 919 | 9164591 | 509273 | 40 | 41 |
| KA18AC010 | S555463 | 450 | 969 | 9164591 | 509273 | 41 | 42 |
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| Hole_ID | Sample_ID | Li_ppm | Li2O_ppm | Grid_North | Grid_East | Dpth_From | Depth_To |
|---|---|---|---|---|---|---|---|
| KA18AC010 | S555464 | 422 | 908 | 9164591 | 509273 | 42 | 43 |
| KA18AC010 | S555465 | 435 | 936 | 9164591 | 509273 | 43 | 44 |
| KA18AC010 | S555466 | 384 | 827 | 9164591 | 509273 | 44 | 45 |
| KA18AC010 | S555467 | 379 | 816 | 9164591 | 509273 | 45 | 46 |
| KA18AC010 | S555468 | 375 | 807 | 9164591 | 509273 | 46 | 47 |
| KA18AC010 | S555469 | 334 | 719 | 9164591 | 509273 | 47 | 48 |
| KA18AC010 | S555470 | 570 | 1225 | 9164591 | 509273 | 48 | 49 |
| KA18AC010 | S555471 | 820 | 1765 | 9164591 | 509273 | 49 | 50 |
| KA18AC011 | S555472 | 49,3 | 106,0 | 9164675 | 509216 | 0 | 1 |
| KA18AC011 | S555473 | 54,8 | 118,0 | 9164675 | 509216 | 1 | 2 |
| KA18AC011 | S555474 | 50,4 | 108,5 | 9164675 | 509216 | 2 | 3 |
| KA18AC011 | S555475 | 162,5 | 350 | 9164675 | 509216 | 3 | 4 |
| KA18AC011 | S555476 | 54,7 | 118,0 | 9164675 | 509216 | 4 | 5 |
| KA18AC011 | S555477 | 194,5 | 419 | 9164675 | 509216 | 5 | 6 |
| KA18AC011 | S555478 | 237 | 510 | 9164675 | 509216 | 6 | 7 |
| KA18AC011 | S555479 | 234 | 504 | 9164675 | 509216 | 7 | 8 |
| KA18AC011 | S555481 | 271 | 583 | 9164675 | 509216 | 8 | 9 |
| KA18AC011 | S555482 | 266 | 573 | 9164675 | 509216 | 9 | 10 |
| KA18AC011 | S555483 | 251 | 540 | 9164675 | 509216 | 10 | 11 |
| KA18AC011 | S555484 | 277 | 596 | 9164675 | 509216 | 11 | 12 |
| KA18AC011 | S555485 | 297 | 639 | 9164675 | 509216 | 12 | 13 |
| KA18AC011 | S555486 | 267 | 575 | 9164675 | 509216 | 13 | 14 |
| KA18AC011 | S555487 | 301 | 648 | 9164675 | 509216 | 14 | 15 |
| KA18AC011 | S555488 | 307 | 661 | 9164675 | 509216 | 15 | 16 |
| KA18AC011 | S555489 | 298 | 642 | 9164675 | 509216 | 16 | 17 |
| KA18AC011 | S555490 | 335 | 721 | 9164675 | 509216 | 17 | 18 |
| KA18AC011 | S555491 | 348 | 749 | 9164675 | 509216 | 18 | 19 |
| KA18AC011 | S555492 | 359 | 773 | 9164675 | 509216 | 19 | 20 |
| KA18AC011 | S555493 | 359 | 773 | 9164675 | 509216 | 20 | 21 |
| KA18AC011 | S555494 | 399 | 859 | 9164675 | 509216 | 21 | 22 |
| KA18AC011 | S555495 | 362 | 779 | 9164675 | 509216 | 22 | 23 |
| KA18AC011 | S555496 | 401 | 863 | 9164675 | 509216 | 23 | 24 |
| KA18AC011 | S555497 | 435 | 936 | 9164675 | 509216 | 24 | 25 |
| KA18AC011 | S555498 | 427 | 919 | 9164675 | 509216 | 25 | 26 |
| KA18AC011 | S555499 | 391 | 842 | 9164675 | 509216 | 26 | 27 |
| KA18AC011 | S555501 | 317 | 682 | 9164675 | 509216 | 27 | 28 |
| KA18AC011 | S555502 | 415 | 893 | 9164675 | 509216 | 28 | 29 |
| KA18AC011 | S555503 | 530 | 1140 | 9164675 | 509216 | 29 | 30 |
| KA18AC011 | S555504 | 600 | 1290 | 9164675 | 509216 | 30 | 31 |
| KA18AC011 | S555505 | 670 | 1440 | 9164675 | 509216 | 31 | 32 |
| KA18AC011 | S555506 | 680 | 1465 | 9164675 | 509216 | 32 | 33 |
| KA18AC011 | S555507 | 710 | 1530 | 9164675 | 509216 | 33 | 34 |
| KA18AC011 | S555508 | 740 | 1595 | 9164675 | 509216 | 34 | 35 |
| KA18AC011 | S555509 | 810 | 1745 | 9164675 | 509216 | 35 | 36 |
| KA18AC011 | S555510 | 750 | 1615 | 9164675 | 509216 | 36 | 37 |
| KA18AC011 | S555511 | 810 | 1745 | 9164675 | 509216 | 37 | 38 |
| KA18AC011 | S555512 | 800 | 1720 | 9164675 | 509216 | 38 | 39 |
| KA18AC011 | S555513 | 690 | 1485 | 9164675 | 509216 | 39 | 40 |
| KA18AC011 | S555514 | 830 | 1785 | 9164675 | 509216 | 40 | 41 |
| KA18AC011 | S555115 | 1820 | 3920 | 9164675 | 509216 | 41 | 42 |
| KA18AC011 | S555116 | 1830 | 3940 | 9164675 | 509216 | 42 | 43 |
| KA18AC011 | S555117 | 790 | 1700 | 9164675 | 509216 | 43 | 44 |
==> picture [104 x 60] intentionally omitted <==
| Hole_ID | Sample_ID | Li_ppm | Li2O_ppm | Grid_North | Grid_East | Dpth_From | Depth_To |
|---|---|---|---|---|---|---|---|
| KA18AC011 | S555118 | 420 | 904 | 9164675 | 509216 | 44 | 45 |
| KA18AC011 | S555119 | 170,0 | 366 | 9164675 | 509216 | 45 | 46 |
| KA18AC011 | S555121 | 313 | 674 | 9164675 | 509216 | 46 | 47 |
| KA18AC011 | S555122 | 680 | 1465 | 9164675 | 509216 | 47 | 48 |
| KA18AC011 | S555123 | 610 | 1315 | 9164675 | 509216 | 48 | 49 |
| KA18AC011 | S555515 | 550 | 1185 | 9164675 | 509216 | 49 | 50 |
| KA18AC011 | S555516 | 500 | 1075 | 9164675 | 509216 | 50 | 51 |
| KA18AC011 | S555517 | 560 | 1205 | 9164675 | 509216 | 51 | 52 |
| KA18AC011 | S555518 | 580 | 1250 | 9164675 | 509216 | 52 | 53 |
| KA18AC011 | S555519 | 580 | 1250 | 9164675 | 509216 | 53 | 54 |
| KA18AC011 | S555521 | 570 | 1225 | 9164675 | 509216 | 54 | 55 |
| KA18AC011 | S555522 | 450 | 969 | 9164675 | 509216 | 55 | 56 |
| KA18AC011 | S555523 | 440 | 947 | 9164675 | 509216 | 56 | 57 |
| KA18AC011 | S555524 | 520 | 1120 | 9164675 | 509216 | 57 | 58 |
| KA18AC011 | S555525 | 440 | 947 | 9164675 | 509216 | 58 | 59 |
| KA18AC011 | S555526 | 353 | 760 | 9164675 | 509216 | 59 | 60 |
| KA18AC013 | S555124 | 680 | 1465 | 9164083 | 508905 | 36 | 37 |
| KA18AC013 | S555125 | 161,5 | 348 | 9164083 | 508905 | 37 | 38 |
| KA18AC013 | S555126 | 470 | 1010 | 9164083 | 508905 | 38 | 39 |
| KA18AC013 | S555127 | 93,4 | 201 | 9164083 | 508905 | 39 | 40 |
| KA18AC013 | S555128 | 150,5 | 324 | 9164083 | 508905 | 40 | 41 |
| KA18AC013 | S555129 | 40,5 | 87,2 | 9164083 | 508905 | 41 | 42 |
| KA18AC013 | S555130 | 120,0 | 258 | 9164083 | 508905 | 42 | 43 |
| KA18AC013 | S555131 | 64,1 | 138,0 | 9164083 | 508905 | 43 | 44 |
| KA18AC013 | S555132 | 58,9 | 127,0 | 9164083 | 508905 | 44 | 45 |
| KA18AC013 | S555133 | 630 | 1355 | 9164083 | 508905 | 45 | 46 |
| KA18AC013 | S555134 | 690 | 1485 | 9164083 | 508905 | 46 | 47 |
| KA18AC013 | S555135 | 640 | 1380 | 9164083 | 508905 | 47 | 48 |
| KA18AC014 | S555136 | 1280 | 2760 | 9164120 | 508872 | 12 | 13 |
| KA18AC014 | S555137 | 1510 | 3250 | 9164120 | 508872 | 13 | 14 |
| KA18AC014 | S555138 | 490 | 1055 | 9164120 | 508872 | 14 | 15 |
| KA18AC014 | S555139 | 154,5 | 333 | 9164120 | 508872 | 15 | 16 |
| KA18AC014 | S555141 | 293 | 631 | 9164120 | 508872 | 16 | 17 |
| KA18AC014 | S555142 | 380 | 818 | 9164120 | 508872 | 17 | 18 |
| KA18AC014 | S555143 | 700 | 1505 | 9164120 | 508872 | 18 | 19 |
| KA18AC014 | S555144 | 357 | 769 | 9164120 | 508872 | 19 | 20 |
| KA18AC014 | S555145 | 1280 | 2760 | 9164120 | 508872 | 20 | 21 |
| KA18AC014 | S555146 | 780 | 1680 | 9164120 | 508872 | 21 | 22 |
| KA18AC014 | S555147 | 434 | 934 | 9164120 | 508872 | 24 | 25 |
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APPENDIX 2 – JORC Code, 2012 Edition – Table 1 Report
Section 1 Sampling Techniques and Data
| Criteria | JORC Code explanation | Commentary |
|---|---|---|
| Sampling techniques |
>Nature and quality of sampling (e.g. cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as downhole gamma sondes, or handheld XRF instruments, etc.). These examples should not be taken as limiting the broad meaning of sampling. >Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used. >Aspects of the determination of mineralisation that are Material to the Public Report. In cases where ‘industry standard’ work has been done this would be relatively simple (e.g. ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (e.g. submarine nodules) may warrant disclosure of detailed information. |
Drilling geology results reported herein relate to Reverse Circulation (RC) drillholes at the Kitotolo-Katamba Lithium Project. A full list of hole collars that includes coordinates, azimuth, dip and depth can be found in Drillhole Information Appendix 1, and significant pegmatite intercepts information is contained tables in the body of the report and as Appendix 2. The azimuth of Force’s drill holes is oriented approximately perpendicular to the interpreted strike of the mineralised trend. Holes are weakly oblique to orthogonal in a dip sense (see cross-sections). • Forces RC drill spoils are collected into two sub-samples: • 1 metre split sample, is homogenized and riffle split at the sample prep facility and then calico-bagged. Usually these weigh 2-3 kg. • 30-40 kg primary sample is collected in polyweave bags and retained until assays have been returned and deemed reliable for reporting purposes. |
| Drilling techniques |
>Drill type (e.g. core, reverse circulation, open- hole hammer, rotary air blast, auger, Bangka, sonic, etc.) and details (e.g. core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is oriented and if so, by what method, etc.). |
RC Drilling technique used by Force and reported herein comprises standard Reverse Circulation (RC) 4 and ¾ inch face sampling hammer (5.5- inchdiameter bit). The rig used is a custom made RC rig and running a 2000 CFM 750 psi compressor. The RC rig was operated by Equity Drilling (DRC), |
| Drill sample recovery |
>Method of recording and assessing core and chip sample recoveries and results assessed. >Measures taken to maximise sample recovery and ensure representative nature of the samples. >Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material. |
RC sample recoveries are weighed and recorded by 4CE for each metre. To date sample recoveries have averaged >90%. • Contamination is monitored regularly. Minor issues have been encountered in this program, due to large amounts of ground water. • The cyclone and splitter are regularly cleaned using compressed air, especially in wet intervals. • Drill collars are sealed to prevent sample loss and holes are normally drilled dry to prevent poor recoveries and contamination caused by water ingress. Wet intervals are noted in case of unusual results |
| Logging | >Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies. >Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc.) photography. >The total length and percentage of the relevant intersections logged. |
Standard sample logging procedures are utilised by 4CE, including logging codes for lithology, minerals, weathering etc. • A chip tray for the entire RC or RAB hole is completed. A sub-sample is sieved from the large RC bags at site into chip trays over the pegmatite interval to assist in geological logging. • Geology of the RC and RAB drill chips were logged on a metre basis with attention to main rock forming minerals within the pegmatite intersections. • Entire drilled interval of RC logged. • Pegmatite sections are also checked under a LW/SW UV light for mineral identification on an ad hoc basis. These only provide indicative qualitative information. |
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Section 2 Reporting of Exploration Results
| Criteria | JORC Code explanation | Commentary |
|---|---|---|
| Verification of sampling and assaying |
>The verification of significant intersections by either independent or alternative company personnel. >The use of twinned holes. >Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols. >Discuss any adjustment to assay data. |
4CE’s project geologists were supervised by 4CE’s Head of Exploration • All field data is entered into excel spreadsheets (supported by look-up tables) at site and subsequently validated as it is imported into the centralised 4CE database. • Hard copies of survey and sampling data are stored in the local office and electronic data is stored on multiple backup hard drive Samples were assayed for a multi element suite of 48 elements. However, the presented data has been reduced to just Li. In addition Li2O has been reported. It has been calculated from the reported assay result for Li in ppm. The calculation is %Li2O = (ppm Li x 2.153)/10000 and the presented results have been rounded to the second decimal place. No adjustments have been made to reported assay data. |
| Location of data points | >Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation. >Specification of the grid system used. >Quality and adequacy of topographic control. |
The geological data, including start-point, end-points have been surveyed using handheld GPS devices, giving an accuracy of +/- 3m in open-ground. WGS84 UTM (Zone 35S) No topographic survey has been undertaken. Hand held GPS coordinates have been utilised to locate sampling to date. |
| Data spacing and distribution |
>Data spacing for reporting of Exploration Results. >Whether the data spacing, and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied. >Whether sample compositing has been applied. |
Between 300m along strike and between 50 and 200m down-dip across strike. Refer figures in report. This data may be used to support a resource in the future, but only once the drill density has been assessed as sufficient to do so. If not, infill drilling may be required so that confidence is improved sufficiently to do so. Not applicable as no resource estimation. Sampling undertaken to date was of a reconnaissance nature and wide spread along geologic bodies. No sample compositing was used or reported in results |
| Orientation of data in relation to geological structure |
>Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type. >If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material. |
Force’s drilling is oriented perpendicular to the interpreted strike of mineralisation (pegmatite body) as mapped or predicted by the geological model. In some areas the rocks may trend at an angle to the drill traverse. Because of the dip of the hole, drill intersections are apparent thicknesses and overall geological context is needed to estimate true thicknesses. All drill holes are orientated -600and were inclined and drilled orthogonal to the strike of the pegmatite. None-the-less, modern exploration software is easily able to visualize these in 3 dimensions and integrate the drill traces with more recently surveyed drilling by 4CE and, which were oriented approximately perpendicular to the interpreted strike of the mineralised trend. Results to date, indicate drilling was orientated correctly. |
| Sample security | >The measures taken to ensure sample security. |
Rock chip samples were shipped directly from the field by the company in sealed polyweave bags or similar containers using a reputable transport company with shipment tracking capability so that a chain of custody can be maintained. Each bag was sealed with a security strap tag as used by ITRI protocols. The samples were locked in a shed if they were stored overnight at any point during transit, including at the drill site prior to shipping. The laboratory confirmed the integrity of the rice bag seals upon receipt |
| Audits or reviews |
>The results of any audits or reviews of sampling techniques and data. |
The sampling techniques and data have been reviewed and the assay results are believed to give a reliable indication of the lithium mineralisation within the samples. |
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| Criteria | JORC Code explanation | Commentary |
|---|---|---|
| Mineral tenement and land tenure status |
> Type, reference name/number, location and ownership including agreements or material issues with third parties such as joint ventures, partnerships, overriding royalties, native title interests, historical sites, wilderness or national park and environmental settings. > The security of the tenure held at the time of reporting along with any known impediments to obtaining a licence to operate in the area. |
The Kitotolo-Katamba licences consist of both Exploitation Permits and Research Permits PE 13247 valid for 30 years and Exploitation Permit PR12453 valid for 5 years with further renewals of 5 years. See above, no other known impediments. |
| Exploration done by other parties |
> Acknowledgment and appraisal of exploration by other parties. |
The licence area has been subject to small scale artisanal mining Apart from the mining and test pit excavations, there has been no other exploration licences below alluvial layers and no lithium exploration has taken place. |
| Geology | > Deposit type, geological setting and style of mineralisation. |
The Kitotolo-Katamba Project is an early stage exploration project in terms of Lithium potential. There are high grade lithium occurrences only at this stage. Further exploration programs will be required to determine whether the project has further economic potential. The Project lies within the mid-Proterozoic Kibaran Belt - an intracratonic domain, stretching for over 1,300 km through Katanga and into southwest Uganda. The belt strikes predominantly SW-NE and is truncated by the NS to NNW-SSE trending Western Rift system. The Kibaran comprises a sedimentary and volcanic sequence that has been folded, metamorphosed and intruded by at least four separate phases of granite. The latest granite phase (900 to 950 My ago) is assigned to the Katangan cycle and is associated with widespread vein and pegmatite mineralisation containing tin, Tungsten, Tantalum, Niobium, Lithium and Beryllium. Deposits of this type occur as clusters and are widespread throughout the Kibaran terrain. In the DRC, the Katanga Tin Belt stretches over 500 km from near Kolwezi in the southwest to Kalemie in the northeast comprising numerous occurrences and deposits of which the AVZ (Manono) deposit is currently the largest. The geology of the Manono area is poorly documented and no reliable maps of local geology have been observed for the licence area. |
| Drill hole Information |
> A summary of all information material to the understanding of the exploration results including a tabulation of the following information for all Material drill holes: > easting and northing of the drill hole collar > elevation or RL (Reduced Level – elevation above sea level in metres) of the drill hole collar > dip and azimuth of the hole > down hole length and interception depth > hole length. > If the exclusion of this information is justified on the basis that the information is not Material and this exclusion does not detract from the understanding of the report, the Competent Person should |
Drill hole information is tabled as Appendix 1 in the report. |
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| Data aggregation methods |
> In reporting Exploration Results, weighting averaging techniques, maximum and/or minimum grade truncations (e.g. cutting of high grades) and cut-off grades are usually Material and should be stated. > Where aggregate intercepts incorporate short lengths of high-grade results and longer lengths of low grade results, the procedure used for such aggregation should be stated and some typical examples of such aggregations should be shown in detail. > The assumptions used for any reporting of metal equivalent values should be clearly stated. |
All results being reported for RC drill samples are based on 1 metre intervals to provide a 2-3kg sample. No top/lower cut have been applied. At this stage it is considered that an insufficient data set has been collected to allow geostatistical methods of any relevance. Methodology may change as the collected dataset increase Not included in the reported results |
|---|---|---|
| Relationship between mineralisation widths and intercept lengths |
> These relationships are particularly important in the reporting of Exploration Results. > If the geometry of the mineralisation with respect to the drill hole angle is known, its nature should be reported. > If it is not known and only the down hole lengths are reported, there should be a clear statement to this effect (e.g. ‘down hole length, true width not known’). |
The nature of drillholes with respect to geology is discussed above. Because of the dip of the hole, drill intersections are apparent thicknesses and overall geological context is needed to estimate true thicknesses. Refer to figures in report. All results being reported for pegmatites mineralisation are based on 1m interval lengths. The mineralisation and host rocks are interpreted to dip consistently between 200and 270NW. The geometry of the mineralisation reported is not well understood, as it is under cover and early stage exploration, however the pegmatite is not of uniform thickness and their orientations vary down-dip and along strike. No top/lower cut have been applied. |
| Diagrams | >Appropriate maps and sections (with scales) and tabulations of intercepts should be included for any significant discovery being reported. These should include, but not be limited to a plan view of drill hole collar locations and appropriate sectional views. |
Refer to this press release body of text |
| Balanced reporting |
>Where comprehensive reporting of all Exploration Results is not practicable, representative reporting of both low and high grades and/or widths should be practiced to avoid misleading reporting of Exploration Results. |
Due to the nature of the early stage project status and limited sampling to date, the results should be considered indicative only and not material. All results should be considered in the limited context of the sampling program. The samples collected to date are considered representative of the intersected mineralisation. |
| Other substantive exploration data |
>Other exploration data, if meaningful and material, should be reported including (but not limited to): geological observations; geophysical survey results; geochemical survey results; bulk samples–size and method of treatment; metallurgical test results; bulk density, groundwater, geotechnical and rock characteristics; potential deleterious or contaminating substances. |
No further data available. |
| Further work | > The nature and scale of planned further work (e.g. tests for lateral extensions or depth extensions or large-scale step- out drilling). >Diagrams clearly highlighting the areas of possible extensions, including the main geological interpretations and future drilling areas, provided this information is not commercially sensitive. |
Further work may include mapping, soil sampling and bed rock sampling for geochemical anomalies to identify prospective target zones and then small amount of drill testing of higher priority targets. RC/ Diamond drilling is planned to define further shallow mineralisation along strike and down dip. In-fill drilling also planned between current sections to demonstrate grade continuity. |
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