The German mining company Tantalus Rare Earths AG, chaired by the Australian Stephen Forman, has just appointed three new members to its supervisory board. (...)
Tuesday, February 09, 2010
Tantalus Rare Earths receives 'spectacular' assay results at Madagascar concession
Tantalus Rare Earths AG (XETRA:TAE) announced the first preliminary assay results of their massive sampling campaign conducted on its concession on the Ampasindava Peninsula in northern Madagascar between September and December 2009. The results show "spectacular" grades of up to 31% of total rare earth oxides. The remaining results are pending and expected later this month.
On the 300 square kilometre concession area a historic, non-JORC/NI43-101 compliant resource of approximately 15 million tons at 1.52% rare earth elements (REE) equivalent has been estimated, which given current prices, estimates the in-ground value at US$1.5bn, Tantalus said. The historic estimates originate from work conducted by a soviet geological mission during the late nineteen eighties and the early nineteen nineties.
Previously, through tectonic-geological interpretation, three distinct radiometric anomalies were identified on the concession with zones covering 12km, 4km and 2.7km respectively. The zones are composed of individual anomalies totalling over 30 km in strike length. The newly discovered mineralized zones are more substantial than the mineralization originally described by the Soviets, evidenced in part by the discovery of ore boulders approximately 2km north-west of the known mineralization, Tantalus said.
During the period from September to early December 2009, these anomalies were systematically surveyed and sampled by Tantalus geological teams.
The most spectacular assay results were returned from two trenches, which were excavated on a weak radiometric anomaly. Channel samples measuring 5 metres in length were taken and 5 of 40 preliminary assay results have been received to date. Among the results TANT2-477053 was the highest grading with 31.09% rare earth oxide (REO), TANT2-477067 returned 16.40% REO and TANT2-477059 contained 9.16% REO. The other two samples graded approximately 3% REO.
Only the clay layer derived from the weathering of the underlying quartz syenites was channel sampled from the trenches. Internationally these so-called ion adsorption clays are the single most important source for heavy rare earth elements. So far, ion adsorption clays are only mined in southern China where the REE grades are much lower, generally below 1%, Tantalus said.
Furthermore the company states that these REE bearing clays can be excavated through inexpensive mining methods and the REEs can be easily extracted with very high recovery grades of up to 99%. Tantalus currently estimates that REE bearing clays cover an area of well over 1km on the concession area and more detailed sampling could reveal that the mineralized area is indeed much bigger.
Tantalus is continuing with its exploration schedule, which includes a 40,000m drill program consisting of both RC (Reverse Circulation) and diamond drilling. The results of which are expected during the course of 2010. To support the proposed drilling, the company is improving the infrastructure on the property, which includes construction of access roads and bridges. The drilling campaign will start in April 2010, after the construction phase is completed in March.
Data from the Soviet geological mission and the companys own analysis show that the Tantalus ore contains, besides rare earths, appreciable amounts of tantalum oxide of 210 parts per million (ppm), niobium oxide 1900 ppm and 2% zirconium. Present knowledge indicates that the ratio of light to heavy rare earths is between 80:20 % to 67:33% which is very favourable when compared to other projects, Tantalus said. Moreover the company believes that the low grades of uranium and thorium (below 0.1 % for Th and 0.01 % for U) is also very favourable as it decreases the negative environmental impact and reduces ore processing costs.
AR1 Price at posting:
5.0¢ Sentiment: None Disclosure: Not Held
(20min delay)