REG - Andrada Mining Ltd - Spodumene Concentrate Produced from Lithium Ridge

Andrada MiningAnnouncement

05/12/2023 07:15

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RNS Number : 6996V  Andrada Mining Limited  05 December 2023

5 December 2023

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 (MAR) as in force in the United Kingdom pursuant to the
European Union (Withdrawal) Act 2018. Upon the publication of this
announcement via Regulatory Information Service (RIS), this inside information
is now considered to be in the public domain.

Andrada Mining Limited

("Andrada" or the "Company")

HIGH-GRADE SPODUMENE CONCENTRATE PRODUCED FROM LITHIUM RIDGE

Andrada Mining Limited (AIM: ATM), an African technology metals mining company
with a portfolio of mining and exploration assets in Namibia, announces that
it has produced high-grade lithium spodumene concentrate from mineralised
pegmatite material sourced from the Lithium Ridge licence area (ML133).

HIGHLIGHTS

§ High-grade spodumene concentrate, at a grade of 6.8% Li(2)O (75%
spodumene), produced from two Lithium Ridge exploration samples through
laboratory-scale flotation.

§ The two samples are composites of drill hole chips, each sourced from a
different pegmatite body.

§ The flotation test work achieved a Li(2)O recovery of 76% (80% spodumene
recovery).

§ Further exploration drilling is planned for metallurgical test work and
mineralogical characterisation to investigate the extent of spodumene
mineralisation in the Lithium Ridge licence area.

Anthony Viljoen (CEO) commented

"These results confirm recoverable spodumene within the pegmatites of the
Lithium Ridge licence area. The test work produced battery-grade spodumene
concentrate at very attractive lithium recoveries. This follows the conclusion
of a first phase of exploration drilling on Lithium Ridge which yielded
exceptional results as announced on 6 September 2023. Several notable drilling
intersections of up to 2.13% Li₂O were reported, and the drilling
demonstrated lithium mineralisation along a 6km strike.

The lithium mineralisation in the pegmatites of Lithium Ridge varies from
spodumene-dominant to petalite-dominant. In the area of the licence where the
composite samples were sourced, the mineral abundance map (Figure 3) shows a
high proportion of spodumene and very little petalite. However, southwest of
the licence area, displays a high grade of petalite with minor spodumene
mineralisation. The southwest area is the source of ore for the current
production of ceramic-grade petalite concentrate for Andrada's lithium pilot
plant.

Therefore, based on these results, we will proceed with the next phase of
exploration drilling, metallurgical test work and mineralogical
characterisation. This will increase geological and metallurgical confidence
as well as establish a maiden mineral resource estimate over Lithium Ridge. We
are encouraged by the progress towards our strategy of building a large-scale
lithium production base."

TEST WORK RESULTS

Metallurgical test work on the two samples selected from exploration drill
chips produced during reverse circulation drilling, was conducted by Geolabs
Global, a South African provider of mineral processing solutions. The aim of
the test was to investigate lithium mineral composition and recovery potential
in an area of the Lithium Ridge licence where significant spodumene occurrence
was observed during exploration. The samples are composites of drill chips,
and each sample was sourced from a different pegmatite body as illustrated on
Figure 3 and Figure 5 below. The samples yielded a weighted average feed grade
of 1.69% Li(2)O and 15.2% spodumene as detailed in Table 1.

 

Table 1: Sources and lithium/spodumene feed grades of the composite samples.
 Sample       Source (Figure 3)  Drill Hole Numbers  Li₂O (%)    Spodumene (%)
 Composite 1  Pegmatite Body 1   ATNN23              2.03%       16.2%
 Composite 2  Pegmatite Body 2   ATNN 17, ATNN 18    1.38%       14.2%
 Average                                             1.69%       15.2%

The samples were subjected to a standard 5-stage spodumene flotation process
to assess the potential recovery steps (Figure 1). Initial de-sliming at 25µm
and removal of the mica through flotation were followed by a spodumene rougher
flotation stage and three cleaner flotation stages.

Figure 1: Test workflow diagram

 

The two tests produced a weighted average concentrate grade of 6.8% Li(2)O or
75% spodumene, at a weighted average recovery by flotation of 76% Li(2)O or
80% spodumene. The grade-recovery curve for each composite sample is shown in
Figure 2.

 

Figure 2: Li(2)O grade-recovery curves for each composite sample.

 

 

 

 

 

 

 

 

 

 

 

The full assay results are tabulated below, confirming the potential for the
production of a battery-grade spodumene concentrate.

 

Table 2: Assays from final flotation concentrate products.
 Sample            Li₂O (%)    SiO₂ (%)    Al₂O₃ (%)      Fe₂O₃ (%)      TiO₂ (%)    CaO (%)  MgO (%)  K₂O (%)    MnO (%)  P₂O₅ (%)
 Composite 1       7.00        50.48       26.52          1.00           0.08        0.25     0.2      0.27       0.14     3.77
 Composite 2       6.62        53.36       25.4           1.83           0.04        0.34     0.08     0.42       0.354    2.813
 Weighted Average  6.84        51.66       26.06          1.34           0.06        0.29     0.15     0.33       0.23     3.38

 

Figure 3 below shows the mineral abundance in the feed and final concentrate
of each composite sample, demonstrating the potential to upgrade the spodumene
in the feed to a high-grade concentrate. The Composite 2 sample recorded a
spodumene grade of 80%.

 

Figure 3: Mineral abundance in the feed and final concentrate of the composite
samples.

 

 

 

 

 

 

The Company believes the spodumene mineralisation could also be amenable to
dense medium separation ("DMS"). The fine particle size distribution of the
drill chip samples made it unsuitable for DMS test work, but future sampling
and test work will cater for DMS testing.

 
LITHIUM RIDGE

Lithium Ridge (ML133) is a fully permitted mining licence located
approximately 35 km southeast of the town of Uis and Andrada's operating Uis
Mine. The Company completed an initial exploration drilling programme on
Lithium Ridge in Q3 2023 (see announcement dated 6 September 2023). A second
phase of drilling, including mineralogical characterisation, is planned for Q1
2024 to increase geological confidence, prove continuity of mineralisation
along strike, and to establish a maiden mineral resource estimate. In
addition, the Company plans to conduct comprehensive metallurgical test work
to support future feasibility studies for a mining and processing facility at
Lithium Ridge.

Figure 4: Andrada's mineral licenses in the Erongo Region of Namibia. ML134 ("Uis"), ML133 ("Lithium Ridge") and ML129 ("Spodumene Hill") all occur within a 40 km radius of the town of Uis.

 

 

 

 

 
 
 
 
Figure 5: Map displaying the localities of the drill holes and the mapped surface exposure of pegmatites in the area from which the composite samples were taken. Composite 1 was sourced from hole ATNN23 and Composite 2 was sourced from ATNN17 and ATNN18. Line A-A' indicates the position of the cross section shown in Figure 6 below.
 

 

 

 

 

* The composite samples do not represent the full pegmatite intersections of
the holes but were taken from selected sub-samples within the full
intersections.

 

Figure 6: Section line A-A' displaying a projection of the reported drill hole for which the results are reported in this announcement. Since there is only a single intersection of pegmatite, the morphology of the unit was inferred from mapped surface expressions. All holes were drilled at an inclination of 60° from the horizontal.
 
 
 
 
 
COMPETENT PERSON

The technical data in this announcement has been reviewed by Laurence Robb, a
Non-Executive Director of Andrada. Laurence Robb (BSc Hons, MSc, PhD, FGS,
FGSSA, FRSSA) has more than 40 years of industry-related geological
experience. He is registered as a Professional Natural Scientist with The
South African Council for Natural Scientific Professions and is a Chartered
Geologist with the Geological Society of London. He was Professor of Economic
Geology and Director of the Economic Geology Research Institute at the
University of the Witwatersrand's School of Geosciences. He is currently based
at Oxford University as a Visiting Professor. He has reviewed the technical
disclosures in this release and consents to the release of the information
contained herein.

 

 CONTACT
 Andrada Mining Limited                       +27 (11) 268 6555

 Anthony Viljoen, CEO

 Sakhile Ndlovu, Head of Investor Relations
 Tavistock Financial PR (United Kingdom)      +44 (0) 207 920 3150

 Jos Simson

 Catherine Drummond

 Adam Baynes
 Nominated Adviser
 WH Ireland Limited                           +44 (0) 207 220 1666

 Katy Mitchell/Andrew de Andrade
 Corporate Advisor and Joint Broker
 H&P Advisory Limited                         +44 (0) 20 7907 8500

 Andrew Chubb

 Jay Ashfield

 Nilesh Patel
 Stifel Nicolaus Europe Limited               +44 (0) 20 7710 7600

 Ashton Clanfield

 Callum Stewart

 Varun Talwar

About Andrada Mining Limited

Notes to editors

Andrada Mining Limited is a London-listed technology metals mining company
with a vision to create a portfolio of globally significant, conflict-free,
production and exploration assets. The Company's flagship asset is the Uis
Mine in Namibia, formerly the world's largest hard-rock open cast tin mine.

Andrada is managed by a board of directors with extensive industry knowledge
and a management team with deep commercial and technical skills. Furthermore,
the Company is committed to the sustainable development of its operations and
growth of its business. This is demonstrated by the manner in which the
leadership team places significant emphasis on creating value for the wider
community, investors, and other key stakeholders. Andrada has established an
environmental, social and governance system that has been implemented at all
levels of the Company and aligns with international standards.

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