We can't ignore the Mustang graphite assets also which are whisker away from being JORC compliant and is another reason why they have their heads down. CJ has said more than once in interviews that they are looking at ways of unlocking the enormous value there forshareholder value. Caula could be one of the highest grade graphite deposits in the world. The JORC estimate will be published soon followed by an initial scoping study. When the final results come out this will lift the share value enormously in many opinions and will make many outside investors take note.
These results are helping calculate a maiden JORC Resource estimate — the Australasian Code of Report for Exploration Results, Mineral Resources and Results from the first five diamond drill holes have returned grades of up to 26% total graphitic carbon (TGC).
Caula is along the geological strike from the
Syrah Resources world-class Balama graphite project, a billion dollar company with some others nearby..
Christiaan Jordaan commented: “It is already clear that Caula will be one of the highest-grade graphite deposits in the world.
“This high grade will enable us to generate a top-quality product at a relatively low cost, maximising margins and providing protection against any price volatility.”
Drill result details on file
A total of five diamond drill holes have been completed at one date on the Caula Project where
results include:
- 40 metres at 15.9%TGC average with multiple intersections of 24-25% TGC;
- 14 metres at 12.9%TGC average with multiple intersections of 21-23% TGC;
- 87 metres at 15.2% TGC average with multiple intersections of 25-26% TGC;
- 63 metres at 12.1% TGC average with multiple intersections of 22-25% TGC; and
- 63 metres at 11.1% TGC average with multiple intersections of 21-22% TGC.
Mustang expects to publish this UTD estimate shortly followed by an initial scoping study.
They also intend to undertake a comprehensive analysis of flake size distribution and preliminary flowsheets for high-quality graphite concentrate products. This is aimed at confirming field observations which suggest the Caula graphite deposit contains large flake-sizes.
Background
The Caula project sits within Mustang’s Balama Project licence areas in Mozambique – not to be confused with Syrah’s Balama Project nearby.
Due to the successful results at Caula, Mustang has decided to name this project in its own right and the licence areas which do not form part of Caula will continue to be referred to as the Balama Project.
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Some have put the proposed value of this project around $20 million, (what's the market cap now?), so you can see such an enormous asset has got to value add in one way or another for any funding we require shortly. Maybe this is part of the sounds of silence? We shall see.
