Updates on Bulk Sampling from Starter Pit at Lofdal Heavy Rare Earth Dysprosium-Terbium Project
Press Release
NAMIBIA CRITICAL METALS INC.
Updates on Bulk Sampling from Starter Pit at Lofdal Heavy Rare
Earth Dysprosium-Terbium Project
Halifax, Nova Scotia November 29, 2021 – Namibia Critical Metals Inc. (“Namibia Critical
Metals” or the “Company” or “NMI”) (TSXV:NMI OTCQ:NMREF) is pleased to provide an update
on the development of the Lofdal Heavy Rare Earth Dysprosium-Terbium Project.
The Company has completed the work on a starter pit for bulk sampling at Lofdal initially
reported on September 20, 2021. A blast was conducted at the Area 4 deposit on October 6th
and mining of the earmarked mineralized blocks completed on October 30th. A total of 34,500
tonnes was mined from the mineralized zone to 15 metres depth of which 500 tonnes from a
depth between 12 and 15 metres was systematically blended and stockpiled to provide a
representative homogenized sample of the Area 4 deposit. From this material 300 tonnes
were selected for crushing and screening by Gecko Namibia.
The first two bulk samples of 2.7 tonnes and 1.5 tonnes were shipped to Rados Johannesburg
and Tomra Hamburg for XRF and XRT sorting test work, respectively. Final results from the
sorting test work are expected by early January 2022.
Figure 1: Blast for the bulk sampling pit in central Area 4 deposit at Lofdal by Bulk Mining Explosives (BME); stockpiles in the
left background.
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Figure 2: Crushing and screening of the bulk samples by Gecko Mining
The Lofdal heavy rare earth deposit is one of only two primary xenotime projects under
development in the world. The deposit has the potential for significant production of
dysprosium and terbium, the two most valuable rare earth elements used in high powered
magnets and other high-tech applications.
The Lofdal Project is being developed in joint venture with Japan Oil, Gas and Metals National
Corporation (“JOGMEC”) targeting a long term, sustainable supply of heavy rare earths to
Japan.
Rainer Ellmies, Vice-President of Namibia Critical Metals stated “For the first time, we have
the opportunity to produce very large bulk samples from mineralized blocks below the zone
of intense weathering for pilot-scale test work. Being not limited to small amounts of drill
core or material from surface trenches, these bulk samples allow us to conduct several pilot-
scale sorting tests as well as geotechnical test work which aim at further optimization of the
final processing flow sheet.”
About Japan Oil, Gas and Metals National Corporation (JOGMEC) and the JV
JOGMEC is a Japanese government independent administrative agency which among other
things seeks to secure stable resource supplies for Japan. JOGMEC has a strong reputation as
a long term, strategic partner in mineral projects globally. The mandated areas of
responsibilities within JOGMEC relate to oil and natural gas, metals, coal and geothermal
energy. JOGMEC facilitates opportunities with Japanese private companies to secure supplies
of natural resources for the benefit of the country’s economic development.
Rare earths are of critical importance to Japanese industrial interests and JOGMEC has
extensive experience with all aspects of the sector. JOGMEC provided Lynas with
US$250,000,000 in loans and equity in 2011 to ensure supplies of the Light Rare Ea rths
metals suite to the Japanese industry.
Namibia Critical Metals currently owns a 95% interest in the Lofdal project with the remaining
5% held for the benefit of historically disadvanta ged Namibians. The terms of the JOGMEC
joint venture a greement with the Company stipulate that JOGMEC provides $3,000,000 in
Term 1 and $7,000,000 in Term 2 to earn a 40% interest in the Lofdal project. Term 3 calls
for a further $10,000,000 of expenditures to earn an additional 10% interest. JOGMEC can
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also purchase another 1% for $5,000,000 and has first right of refusal to fully fund the project
through to commercial production and to purchase all production at market prices. The
collective interests of NMI and historically disadvantaged Namibians cannot be diluted below
a 2 6% carried working interest upon payment of $5,000,000 to JOGMEC for the dilution
protection. The JV Agreement is structured such that no NMI equity will be issued and it is
totally non-dilutive to NMI shareholders. To date, JOGMEC, has approved funding Term 1 and
2 expenditures totaling $6,600,000.
About Namibia Critical Metals Inc.
Namibia Critical Metals Inc. holds a diversified portfolio of exploration and advanced stage
projects in the country of Namibia focused on the development of sustainable and ethical
sources of metals for the battery, electric vehicle and associated industries. The two advanced
stage projects in the portfolio are Lofdal and Epembe. The Company also holds significant
land positions in areas favourable for gold mineralization.
Figure 3: Location of Namibia Critical Metals’ projects highlighting position of gold projects (Erongo, Otjiwarongo and
Grootfontein) in relation to important gold projects within the Navachab-Otjikoto gold belt
Heavy Rare Earths: The Lofdal Dysprosium-Terbium Project is the Company’s most
advanced project being fully permitted with a Mining Licence (ML 200) issued in 2021. The
project is being developed in joint venture with Japan Oil, Gas and Metals National Corporation
(“JOGMEC”) to provide a sustainable supply of he avy rare earths to Japan, most notably
dysprosium and terbium.
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Gold: The Company’s Exclusive Prospecting Licenses (“EPLs”) prospective for gold are located
in the Central Namibian Gold Belt which hosts a number of significant orogenic gold deposits
including the Navachab Gold Mine, the Otjikoto Gold Mine and more recently the discovery of
the Twin Hills deposit. At the Erongo Gold Project, stratigraphic equivalents to the meta-
sediments hosting the recent Osino gold discovery at Twin Hills have been identified and
geophysical surveys are progressing over this highly prospect ive area. The Grootfontein
Base Metal and Gold Project has potential for magmatic copper-nickel mineralization,
Mississippi Valley -type zinc-lead-vanadium mineralization and Otjikoto -style gold
mineralization. Detailed interpretation of geophysical data and regional geochemical soil
sampling have identified first gold targets, with the first targets currently being drill-tested.
Tantalum-Niobium: The Epembe Tantalum-Niobium-Uranium Project is at an
advanced stage with a well-defined, 10 km long carbonatite dyke that has been delineated by
detailed mapping and radiometric surveys and over 11,000 meters of drilling. Preliminary
mineralogical and metallurgical studies including sorting tests (XRT), indicate the potential for
significant physical upgrading. Further work will be undertaken to advance the project to a
preliminary economic assessment stage.
The common shares of Namibia Critical Metals Inc. trade on the TSX Venture Exchange under
the symbol “NMI” and the OTCQ under the symbol “NMREF”.
Rainer Ellmies, PhD, MSc Geology, EurGeol, AusIMM, is the Company’s Qualified Person and
has reviewed and approved the scientific and technical information in this press release.
Neither the 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.
For more information please contact -
Namibia Critical Metals Inc.
Darrin Campbell, President
Tel: +01 (902) 835-8760
Fax: +01 (902) 835-8761
Email: [email protected]
Web site: www.NamibiaCriticalMetals.com
The foregoing information may contain forward -looking information relating to the future performance of Namibia Critical Metals Inc. forward-
looking information, specifically, that concerning future performance, is subject to certain risks and uncertainties, and actual results may differ
materially. These risks and uncertainties are detailed from time to time in the Company's filings with the appropriate securities commissions.