JORC Mineral Resource and Ore Reserves

Since acquisition of the project in June 2016, Prospect has embarked on an aggressive, phased drilling program in order to delineate JORC compliant Mineral Resource estimates. The work has included diamond and reverse circulation drilling, geological mapping and channel sampling, topographic, geophysical as well as hydrographical surveys.

To date a total of 14 mineralised stacked pegmatites have been identified covering almost 100m vertical distance, with a strike of  almost 4.5km SW-NE, by over 1km down dip.

Following announcement of a Maiden JORC Mineral Resource estimate in October 2016, the Mineral Resource estimate was updated again in July 2017 and was based on 196 drill holes representing a strike length of 2500 m and a downdip length of approximately 900 m. Further drilling undertaken after the Pre-Feasibility Study resulted in a 24% increase in the Mineral Resource estimates from the 2017 Pre-Feasibility Study. All Mineral Resource estimates were carried out by Digital Mining Services, Harare in conjunction with Roger Tyler, site geologist and Competent Person. All Mineral Resource estimates were reviewed by The MSA Group in Johannesburg.

As of March 2018, the JORC compliant Mineral Resource estimates for the Arcadia Lithium Project were:

A High-Grade Zone Mineral Resource estimate of 43.2 Mt @ 1.41% Li2O and 119 ppm Ta2O5 (1% Li2O cut-off), which is a 24% increase to the Mineral Resource estimate announced in the 2017 Pre-Feasibility Study (34.9 Mt @ 1.42% Li2O and 125 ppm Ta2O5 (1% Li2O cut-off)).

The Ore Reserve estimate has been increased to 26.9 Mt @ 1.31% Li2O and 128 ppm Ta2O5, an increase from 15.8 Mt @ 1.34% Li2O and 125 ppm Ta2O5 in the PFS.

 

Global Resource - 0.2% Li2O Cut-off

Category

tonnes

Li2O %

Ta2O5 ppm

Li2O Tonnes

Ta2O5 lbs

Measured

15,900,000

1.17%

121

184,900

4,200,000

Indicated

45,400,000

1.10%

121

501,500

12,100,000

Inferred

11,400,000

1.06%

111

121,400

2,800,000

GRAND TOTAL

72,700,000

1.11%

117

807,800

19,100,000

A high grade zone (using 1% Li2O cut-off) of 43.2Mt at 1.41% Li2O has been defined that will now be used to enhance the economics of the project.

 

High Grade Zone - 1% Li2O Cut-off

Category

Tonnes

Li2O %

Ta2O5 ppm

Li2O Tonnes

Ta2O5 lbs

Measured

10,200,000

1.45%

132

148,100

3,000,000

Indicated

27,200,000

1.39%

119

378,400

7,100,000

Inferred

5,800,000

1.45%

97

84,000

1,200,000

GRAND TOTAL

43,200,000

1.41%

119

610,500

11,300,000

On 6th Dec 2017, Prospect announced a significant increase to Arcadia’s maiden Ore Reserve estimate amounting to 26.9 Mt (+70%) at 1.31% Li2O and 128ppm Ta2O5 for 351,000 tonnes Li2O (+66%). The ore reserves supports a mine life in excess of 20 years.  Note that these reserve estimates form part of and are inclusive of the Indicated and Measured Resources declared in March 2017.

Ore Reserves declared at the Arcadia Lithium Project (>1% Li2O cut off)* 

Category Tonnes (Mt) Li2O (%) Ta2O5 (ppm) Li2O (t) Ta2O (Mlbs) Fe2O(%)
Proven 8.0 1.36 128 109,00 2.2 0.93
Probable 18.9 1.28 127 242,000 5.3 1.25
TOTAL 26.9 1.31 128 351,000 7.6 1.15

* Ore Reserves declared based on and inclusive of the Mineral Resources declared in March 2017

Arcadia is a medium - high grade, large tonnage deposit consisting of series of stacked mineralised pegmatites with definite further potential to delineate additional resources along strike and with the possibility of discovery of additional parallel ore bodies. Geochemical sampling and test drilling are ongoing at Arcadia, therefore an Exploration Target* of 80 - 100Mt at 1.2-1.5% Li2O is considered achievable in the short to medium term.