Tando to Acquire High Grade Vanadium Project
ASX Announcement 22 March 2018
- Tando has entered into a Binding Heads of Agreement to acquire the SPD Vanadium Project via staged all-scrip payments.
- The SPD Vanadium Project is a globally significant, high grade vanadium deposit located in a known vanadium producing region.
- Vanadium drill intersections: >1% V2O5 with mineralised units averaging 23m in thickness.
- Grade profile is one of the highest of all ASX listed vanadium projects with grade in concentrate averaging 2% V2O5 and 13% TiO2.
- Historic drilling has delineated a resource > 500Mt under the SAMREC Code (a “foreign resource” as defined in the ASX Listing Rules)
- Capital raising of $2M at $0.40 completed to rapidly advance the SPD
Tando Resources (“Tando” or “the Company”) is pleased to announce that it has signed a binding Heads of Agreement (“HoA”) to acquire 74% of the SPD Vanadium Project, a large, high grade vanadium deposit located in the established vanadium production hub of Gauteng, South Africa.
Mineralisation is hosted in two magnetite layers (Figure 1) with drill intersections returning results > 1% V2O5 near surface including (all drilling is shown on Figure 4 and detailed in Appendix 1):
- 9m at 1.34% V2O5 + 10.5% TiO2 from 9m (SFR019)
- 13m at 1.13% V2O5 + 7.43% TiO2 from 10m (SFR017)
- 14m at 1.08% V2O5 + 7.07% TiO2 from 9m (SFR013)
- 20m at 0.96% V2O5 + 8.35% TiO2 from 11m (SFR011)
- 15m at 0.92% V2O5 + 6.44% TiO2 from 8m (SFR018)
- 12.2m at 0.90% V2O5 from 127.2m & 26.9m at 0.80% V2O5 from 43.1m (SFDD001)
- 44m at 0.66% V2O5 TiO2 + 4.24% TiO2 from 35m (SFR008)
- 34m at 0.65% V2O5 + 4.58% TiO2 from 23m (SFR009)
Drill samples were passed through a Davis Tube to obtain a magnetic concentrate. Vanadium and titanium content in the concentrate is consistent, averaging 2% V2O5 and 13% TiO2 (Appendix 1). The Company plans to complete a testwork programme to determine whether hydrometallurgical processes can extract high purity vanadium and titanium products, which are sought after for numerous uses including vanadium flow batteries, where demand is forecast to increase.
Based on historic drilling data, a resource of 513 million tonnes was delineated for the SPD Vanadium Project by GEMECS Pty Ltd. The resource for the SPD Vanadium Project as shown in Table 1 is estimated in accordance with the SAMREC Code (2007) and is therefore a “qualifying foreign resource estimate” as defined in the ASX Listing Rules (further detail below and in Appendix 2). The resource was classed as inferred under the SAMREC Code.
High Grade Intersections From Quartz Bore Drilling
ASX Announcement 21 February 2018
- QBDD0001 intersects 7m at 6.44% Cu + 3.21 % Zn including 2m at 14.3% Cu + 6.33%Zn within a broader intersection of 17m at 2.95% Cu + 1.48 % Zn.
- Interpreted to represent a copper-rich volcanic centre within the Balla Balla volcanogenic massive sulphide (VMS) system
- Downhole geophysical survey on QBDD002 detects potential extension to mineralisation intersected in historical drillhole BBD009 (which returned 15m at 5.92%Zn and 0.80% Cu)
- Review of all drilling underway based on both assay results and geological/geophysical logging, with focus on near surface mineralisation with the potential to delineate open pittable Mineral Resources.
Tando Resources (“Tando” or “the Company”) is pleased to update the market with the results of the maiden drilling programme at its 100% owned Quartz Bore Project, in the Pilbara region of Western Australia.
Drillhole QBDD0001 intersected a high grade copper rich zone with assays returned of:
- 17m at 2.95 % Cu + 1.48% Zn from 340.5m,
- incl. 7m at 6.44% Cu + 3.21% Zn,
- incl. 2m at 14.3% Cu + 6.33% Zn.
(All drilling is shown on Figures 1 & 2 and detailed in Appendix 1).
In addition surveying of QBDD0002 detected a strong, coincident, DHEM and DHMMR anomalies interpreted to represent the extension of mineralisation intersected in historical drillhole BBD009 (which returned 15m at 5.92%Zn + 0.80% Cu, refer ASX Release).
Drilling of DHEM and DHMMR anomalies at the adjacent Salt Creek deposit (owned by Venturex Resources (ASX.VXR)) intersected grades including 18.7m at 2.42% Cu and 9.85m at 8.76% Zn (ASX.VXR Release 12 January 2017).
Initial results from the downhole surveying, and specifically the success of the DHMMR technique, led the Company to complete a surface MMR survey at the Balla Balla Prospect while the equipment was available at the end of the drilling programme. Data from this survey is being finalised and interpreted, is anticipate to assist in identifying near surface extensions to the Balla Balla VMS system.
The Balla Balla Prospects were discovered via airborne EM with no detailed ground or downhole surveys being completed until the surveys carried out by Tando. The Company will consider implementing MMR surveys at the West Balla and East Balla Prospects should the Balla Balla survey be successful.
The high grade intersection in QBDD0001 is interpreted to represent a volcanic centre within the VMS system at Balla Balla due to its copper-rich content. Drillholes QBDD0003 and QBDD0004 detected broad intervals of anomalous zinc (10m and 17m respectively) which delineate the distal portions of the same VMS system.
The information gained from the Company’s drilling is being fed into a new interpretation for the mineralised VMS system at Balla Balla enabling a review of all drilling completed on the Quartz Bore Project. The new interpretation will aid targetting of future drilling, which will both test the targets defined above as well as focus on near surface mineralisation and the potential to delineate open pittable Mineral Resources.
Managing Director Bill Oliver commented:
“Our maiden drilling programme at Quartz Bore has given us a substantial dataset and important new insight into the controls on mineralisation. By systematically drilling along the strike of the deposit we are better placed to interpret the high grade zinc and copper results from historical drilling, enabling more efficient infill drilling as well as identifying priority extensional targets.”
Compelling Targets Defined By VTEM Survey At Mt Sydney
ASX Announcement 18 January 2018
- Substantial number of near surface EM anomalies detected in airborne survey at 100% owned Mt Sydney Project.
- Clear analogy with adjacent Braeside Project (owned by Rumble Resources) where the maiden drilling programme included a high grade zinc discovery.
- Key regional scale structures extend directly from Braeside Project into the Mt Sydney Project. EM anomalies are clustered along these structures.
- In addition a compelling large scale target defined by broad coincident EM and magnetic anomaly, interpreted to represent a deeper intrusive body.
- Drill targets to be delineated by detailed geological mapping and geochemical surveys during 2018 field season.
Tando Resources (“Tando” or “the Company”) is pleased to advise that it has received preliminary data from the VTEMmax survey carried out in December 2017 at its 100% owned Mt Sydney Project, in the Pilbara region of Western Australia. The Mt Sydney Project is located adjacent to, and along strike from, Rumble Resources (ASX.RTR, “Rumble”) Braeside Project.
The VTEMmax survey comprised approximately 1,300 line kilometres flown in an east-west orientation by Geotech Australia, at a 400m line spacing. Initial processing of the data has detected a substantial number of near surface EM anomalies aligned along major regional structures within the Mt Sydney Project (Figure 1 and 2). These structures extend directly from the Braeside Project and represent the key targets for base metal mineralisation. EM anomalies lying on these structures are therefore highly prospective.
Rumble recently announced results from its maiden drilling programme including a high grade zinc discovery at the Braeside Project (refer ASX.RTR Announcement 16 January 2018). Mineralised zinc-lead intersections reported include 4m at 9.64%Zn + 0.41%Pb from 32m, 2m at 3.08% Zn + 2.98% Pb from 60m and 3m at 2.19%Zn + 0.95%Pb from 49m. The reconnaissance nature of this drilling makes the presence of mineralisation very encouraging for regional base metal prospectivity and enhances the potential of the base metal targets within Tando’s Mt Sydney Project.
In September 2017 Rumble completed a VTEMmax survey at the Braeside Project which highlighted a multitude of conductors associated with the identified regional base metal trends (refer ASX.RTR Announcement 4 September 2017). Mineralisation has been intersected in drilling at the Barker Well, Cassius Clay, Ragged Hills North and Mt Brockman Prospects, prospects where VTEM anomalies were detected.
In addition a broad coincident magnetic and EM anomaly has been detected in the south of the Mt Sydney project area (Figure 2). While further processing and geological information is required to refine this target it appears to be a deeper-intrusive, larger body. Rumble has stated that the Braeside drill results supported a porphyry related base metal deposit style model and the magnetic and EM anomaly observed at Mt Sydney could be consistent with a target of this nature, or other intrusion related mineralisation styles.