25th Jun 2014 08:31
LONDON (Alliance News) - Savannah Resources PLC Wednesday said preliminary results from a recent air magnetic survey of its Jangamo heavy mineral sands project in Mozambique have shown the potential for multiple, multi-kilometre long strandlines in the eastern and western parts of the tenement.
Strandlines are old fossil shorelines some distance inland where concentrated heavy minerals accumulated in the past. An air magnetic survey is a type of geophysical survey carried out using a magnetometer aboard or towed behind an aircraft.
The minerals exploration and development company said the re-worked strandlines are likely to carry higher-grade heavy mineral sands and noted that most of the new targets have yet to be tested.
As a result, the company has now begun drill testing the potential strandlines, while its drill rig is on site during the site's 2014 drilling programme.
Savannah Resources said the airmagnetic survey has now been confirmed as an effective exploration tool to detect potential strandline targets, and it expects full results of the tests towards the end of June.
The company is now focused on delineating a potential maiden resource at the Jangamo project and will start a scoping study in the second half of the year to prove the potential of the site.
In April, the company said it received positive results from ground magnetic surveys at Jangamo and announced that further testwork at the site had defined high-grade zones of up to 5% heavy mineral sands including ilmenite, rutile and zircon.
Savannah Resources shares were up 2.9% to 4.50 pence, putting it amongst the leading AIM ALL-Share risers during early trading on Wednesday.
By Tom McIvor; [email protected]; @TomMcIvor1
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