Meridian reports on approval of trial mining licence for 30,000t manganese concentrate in the Jaburi area
Meridian reports on approval of trial mining
licence for 30,000t manganese concentrate in
the Jaburi area
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" (MnO
2
– 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 anomalies
1
will form part
of a future focus on Cu-Au exploration, based on an exploration model for a zoned polymetallic
mineral system
2
.
Figure 1: Jaburi region GU's in relation to past production areas, occurrences, and polygons of pre-
production colluvial definition. (CNW Group/Meridian Mining S.E.)
_______________________
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.
Figure 2: Clockwise from top left: HeliTEM Conductivity Grid, Digital Elevation Model, Analytic Signal
Magnetics and Total Count Radiometrics. Manganese occurrences in mapping and preproduction.
(CNW Group/Meridian Mining S.E.)
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.
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For further information:
Jonathan Richards, +1 604-681-0405, [email protected]
CO: Meridian Mining S.E.
CNW 16:55e 08-JAN-20