Giyani Announces 310% Increase in Indicated Mineral Resources for K.Hill Project
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Giyani Announces 310% Increase in Indicated Mineral Resources for
K.Hill Project
TORONTO, Ontario, July 13, 2023 -- Giyani Metals Corp. (TSXV:EMM, GR:A2DUU8) ("Giyani" or the
"Company"), developer of the K.Hill battery-grade manganese project in Botswana (“K.Hill” or the
“Project”), is delighted to announce an updated Mineral Resource Estimate (“MRE”) for K.Hill.
Highlights
• 310% increase in Indicated Mineral Resources to 8.6 million tonnes (“Mt”) with approximately
3.1 Mt of contained High Purity Manganese Sulphate Monohydrate (“ HPMSM”) equivalent,
before processing recoveries are applied.
• 97% increase in Inferred Mineral Resources to 6.1 Mt with approximately 2.1 Mt of contained
HPMSM equivalent, before processing recoveries are applied.
• Company is currently undertaking a Preliminary Economic Assessment ("PEA”) based on the
new MRE, assessing the potential for K.Hill project life to extend beyond 25 years.
The MRE has been prepared by CSA Global South Africa, an ERM Group company (“CSA Global”) in
accordance with the Canadian Institute of Mining, Metallurgy and Petroleum Code (“CIM Code”) and
National Instrument 43-101 (“NI 43-101”). An independent peer review has also been performed on the
updated MRE by Paul Daigle, P.Geo., géo.
Major Mineral Resource Upgrade
In February 2022, the Company released an MRE for K.Hill based on data from 115 reverse-circulation
(“RC”) and diamond drill (“DD”) holes totalling 4,793 meters (“m”) of drilling. The updated MRE from
CSA Global has been prepared using data from 187 RC and DD holes from all drilling campaigns
conducted over the Project since 2018, totalling 10,710 m. This additional drilling, completed since
February 2022, includes 40 step-out holes along strike into a previously untested, but mineralized,
section to the west and to the south.
This collated and complete set of drilling data, together with new density determination programs and
updated optimization parameters for the constrained pit shell, has seen a strong conversion of Inferred
to Indicated Mineral Resources resulting in an increase in Indicated Mineral Resources of more than
300% and an increase of almost 100% in Inferred Mineral Resources.
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Figure 1 below shows the drill holes used in the February 2022 MRE (left) compared to the holes used
in the updated July 2023 MRE (right).
Figure 1: Comparison between the drillholes used in the 2022 and 2023 MREs.
The MRE reported has been restricted to all classified material located within an optimized pit shell
based on market data within the Company’s K.Hill feasibility study (“FS”) filed in December 2022. The
pit shell also used various technical economic parameters, derived from ongoing technical studies for
the Project. This represents the material which CSA Global considers having reasonable prospects for
eventual economic extraction.
K.Hill CSA Global MRE Statement as of July 2023 (at a cut-off grade of 7.3% MnO)
Mineral Resource
Classification
Tonnage
(Mt)
Grade
(% MnO)
Contained MnO
(Mt)
HPMSM
Equivalent (Mt)1
Indicated 8.6 15.2 1.3 3.1
Inferred 6.1 14.1 0.9 2.1
1. Before processing recoveries are applied
MRE Notes:
a) The Mineral Resource has been classified and reported under the guidelines defined by the Canadian
Institute of Mining, Metallurgy and Petroleum in their document “CIM Definition Standards for Mineral
Resources and Mineral Reserves” of May 2014.
b) Mineral Resources are not Mineral Reserves and have not demonstrated economic viability.
c) Mineral Resources are stated as in situ dry tonnes; figures are reported in metric tonnes.
d) Figures have been rounded to the appropriate level of precision for the reporting of Mineral Resources.
e) Estimation has been completed within 6 different mineralization domains.
f) Mineral Resources are reported assuming open pit mining methods.
g) The Mineral Resource is re ported within a conceptual pit shell determined using a price of US$3,800/t
HPMSM ( equivalent to US$9,054/t MnO), conceptual parameters and costs to support assumptions
relating to reasonable prospects for eventual economic extraction.
h) The Mineral Resource is reported at a cut-off grade of 7.3% MnO.
i) The estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title,
taxation, socio -political, marketing, or other relevant issues. CSA Global is not aware of any
environmental, permitting, legal, title, taxation, socio -economic, marketing, political, or other any other
relevant factors affecting the MRE.
j) HPMSM price quoted is based on 2022 market data, which was available at the time of reporting the
Mineral Resour ce. Additional pricing information will be available for input into subsequent technical
studies, and this may impact on the Mineral Resource reported.
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Updated Development Plan and PEA
As a result of the new MRE, the Company has commenced a study to analyze the implications of
extending project life beyond 25 years, as well as considering the potential installation of a second
processing line to double capacity at the proposed K.Hill plant site. An updated PEA for K.Hill based on
the new MRE and a development plan targeting optimal plant feed grade has been commissioned and
results are expected before year end.
CSA Global has reported the MRE using a cut-off grade of 7.3% MnO, which offers the Company
greater flexibility in its mine planning and grade scheduling to optimise the feed grade to the plant. The
table below shows the estimated block model at various cut-off grades.
Cut-off Grade
(MnO%)
Tonnage
(Mt)
Grade
(MnO%)
Contained MnO
(Mt)
HPMSM Equivalent
(Mt)1
7.3 14.7 14.7 2.2 5.2
12.0 8.7 18.1 1.6 3.8
13.0 7.3 19.1 1.4 3.4
14.0 6.1 20.3 1.2 2.9
1. Before processing recoveries are applied
Note: This tabulation does not represent a Mineral Resource and only serves to illustrate tonnage, grade and
content scenarios at various cut-offs within the reporting pit shell.
Testing of mineralized material from this newly defined resource will be undertaken by the Company
using portions of the 100 t of sample material currently held at the demonstration plant (“Demo Plant”)
in Johannesburg. Sufficient variability exists in the sample material collected to make composite
samples to demonstrate that material from this newly defined resource can be processed to make
HPMSM.
Danny Keating, President and CEO of the Company, commented:
“The size of the updated resource suggests that K.Hill can support production of this critical battery raw
material for more than 25 years enhancing the Project’s long term benefit to off-takers. It also gives us
a realistic basis to assess higher cut-off grades, improve plant feed grades as well as assessing a
doubling of throughput once the plant has been successfully commissioned. This establishes the
potential for K.Hill to become one of the most attractive high purity manganese projects in the world
today in addition to offering substantial project development optionality.
The hard work undertaken by our exploration team has consistently delivered resource growth and now
we can finally demonstrate the true scale of the Project. The MRE and pending updated PEA for K.Hill,
which will be followed by an optimized FS, will be run in parallel to the ongoing construction and future
commissioning of the Demo Plant, which remains the Company’s priority. The submission of our current
environmental impact assessment for K.Hill will also not be affected by planning for future potential
capacity upgrades.”
About Giyani
Giyani’s mission is to become a sustainable, low-carbon producer of battery materials for the electric
vehicle (“EV”) industry. The Company has developed a hydrometallurgical process to produce high-
purity manganese sulphate monohydrate, a lithium-ion battery cathode precursor material critical for
EVs, directly from ore from its manganese oxide deposits in Botswana, wholly-owned by its Botswana
subsidiary Menzi Battery Metals (Pty) Limited. The Company’s assets include K.Hill and the Otse and
Lobatse manganese prospects, each of which has seen historical mining activities.
Additional information and corporate documents may be found on www.sedar.com and on Giyani Metals
Corp. website at https://giyanimetals.com/.
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Qualified Persons / NI 43-101 Disclosures
The MRE was carried out by Mr. Anton Geldenhuys (MEng), a registered Professional Natural Scientist
(SACNASP, membership number 400313/04) of CSA Global, who is an independent Qualified Person
as defined by CIM Definition Standards for Mineral Resources an d Mineral Reserves in accordance
with NI 43 -101. Mr. Geldenhuys is a geoscientist, is qualified as a geologist (Honours) and engineer
(Masters) and has over 22 years of relevant industry experience. Mr. Geldenhuys is a member in good
standing of the South African Council for Natural Scientific Professions (SACNASP) and has sufficient
experience relevant to the commodity, style of mineralization and activity which he is undertaking to
qualify as a Qualified Person under NI 43-101.
Mr. Anton Geldenhuys (MEng) , a registered Professional Natural Scientist (SACNASP, membership
number 400313/04) of CSA Global is a qualified person, as defined by National Instrument 43-101. Mr.
Anton Geldenhuys has reviewed and approved the scientific and technical content containe d in this
press release.
An updated NI 43-101 technical report for the K.Hill Project will be filed on SEDAR at www.sedar.com
within 45 days of this announcement.
About CSA Global
CSA Global is a geological and mining consulting company that provides technical and expert services,
training and independent corporate advice to public and private mining companies, financial and legal
group. CSA Global is an ERM Group Company that has been providing services to its clients across all
mineral commodities and regions globally for over 35 years. Website: https://www.csaglobal.com
On behalf of the Board of Directors of Giyani Metals Corp.
Danny Keating, President and CEO
Contact:
Danny Keating
President & Chief Executive Officer
+44 7799 214 083
George Donne
VP Business Development
+44 7866 591 897
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policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.
The securities described herein have not been registered under the United States Securities Act of 1933, as amended
(the "U.S. Securities Act"), or any state securities laws, and accordingly, may not be offered or sold to, or for the account
or benefit of, persons in the United States or "U.S. persons," as such term is defined in Regulation S promulgated under
the U.S. Securities Act ("U.S. Persons"), except in compliance with the registration requirements of the U.S. Securities
Act and applicable state securities requirements or pursuant to exemptions therefrom. This press release does not
constitute an offer to sell or a solicitation of an offer to buy any of the Company's securities to, or for the account of benefit
of, persons in the United States or U.S. Persons.
Forward Looking Information
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation.
All statements in this news release, other than statements of historical fact, that address events or developments that
Giyani expects to occur, are "forward-looking statements". Forward-looking statements are statements that are not
historical facts and are generally, but not always, identified by the words "expects", "does not expect", "plans",
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"anticipates", "does not anticipate", "believes", "intends", "estimates", "projects", "potential", "scheduled", "forecast",
"budget" and similar expressions, or that events or conditions "will", "would", "may", "could", "should" or "might" occur.
All such forward-looking statements are based on the opinions and estimates of the relevant management as of the date
such statements are made and are subject to certain assumptions, important risk factors and uncertainties, many of which
are beyond Giyani's ability to control or predict. Forward-looking statements are necessarily based on estimates and
assumptions that are inherently subject to known and unknown risks, uncertainties and other factors that may cause
actual results, level of activity, performance or achievements to be materially different from those expressed or implied by
such forward-looking statements. In the case of Giyani, these facts include their anticipated operations in future periods,
planned exploration and development of its properties, and plans related to its business and other matters that may occur
in the future. This information relates to analyses and other information that is based on expectations of future
performance and planned work programs.
Forward-looking information is subject to a variety of known and unknown risks, uncertainties and other factors which
could cause actual events or results to differ from those expressed or implied by the forward-looking information, including,
without limitation: inherent exploration hazards and risks; risks related to exploration and development of natural resource
properties; uncertainty in Giyani's ability to obtain funding; commodity price fluctuations; recent market events and
conditions; risks related to the uncertainty of mineral resource calculations and the inclusion of inferred mineral resources
in economic estimation; risks in how the world-wide economic and social impact of COVID-19 is managed; risks related
to governmental regulations; risks related to obtaining necessary licenses and permits; risks related to their business
being subject to environmental laws and regulations; risks related to their mineral properties being subject to prior
unregistered agreements, transfers, or claims and other defects in title; risks relating to competition from larger companies
with greater financial and technical resources; risks relating to the inability to meet financial obligations under agreements
to which they are a party; ability to recruit and retain qualified personnel; and risks related to their directors and officers
becoming associated with other natural resource companies which may give rise to conflicts of interests. This list is not
exhaustive of the factors that may affect Giyani's forward-looking information. Should one or more of these risks and
uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those
described in the forward-looking information or statements.
Giyani's forward-looking information is based on the reasonable beliefs, expectations and opinions of their respective
management on the date the statements are made, and Giyani does not assume any obligation to update forward looking
information if circumstances or management's beliefs, expectations or opinions change, except as required by law. For
the reasons set forth above, investors should not place undue reliance on forward-looking information. For a complete
discussion with respect to Giyani and risks associated with forward-looking information and forward-looking statements,
please refer to Giyani's Annual Information Form, all of which are filed on SEDAR at www.sedar.com.