Proactiveinvestors United Kingdom Savannah Resources PLC https://www.proactiveinvestors.co.uk Proactiveinvestors United Kingdom Savannah Resources PLC RSS feed en Tue, 25 Jun 2019 21:07:09 +0100 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[News - Savannah Resources takes full control at Mina Do Barroso in Portugal ]]> https://www.proactiveinvestors.co.uk/companies/news/222499/savannah-resources-takes-full-control-at-mina-do-barroso-in-portugal-222499.html Savannah Resources PLC (LON:SAV) has taken full ownership of the Mina Do Barroso lithium project in Portugal.

Partner Slipstream Resources has swapped a 25% direct interest in the project for shares in Savannah, which will increase its stake in the junior to 16% from 5.1%.

The shares issued were priced at around 5.63p, a 13% premium to the close last night, valuing the transaction at £9.2mln and Mino do Barroso at just under £37mln. Savannah overall is valued at £44mln.

David Archer, Savannah’s chief executive, said the simplified ownership structure has significant benefits and gives shareholders greater exposure to Mina Do Barroso’s long-term value as the electric vehicle battery market evolves.

"The European lithium sector is developing at a very rapid rate. For example, in the short period since we announced our intention to secure the outstanding 25% stake in the Project, the market has witnessed Northvolt AB's successful financing of Europe's first homegrown (16GWh) gigafactory' in Sweden and its 50/50 joint venture with Volkswagen to establish a second, 16GWh battery plant in Germany,“ Archer added.

Savannah also settled the deferred consideration outstanding on its Block 5 copper project in Oman through the issue of US$200,000 worth of shares and us$100,000 in cash.

In afternoon trading, shares in Savannah Resources were 3% higher at 5.15p.

 -- Adds share price --

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Thu, 20 Jun 2019 10:18:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/222499/savannah-resources-takes-full-control-at-mina-do-barroso-in-portugal-222499.html
<![CDATA[RNS press release - Acquisition of Minority Interest - Mina do Barroso ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190620070104_14117579/ Thu, 20 Jun 2019 07:01:04 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190620070104_14117579/ <![CDATA[RNS press release - Appointment of Joint Broker ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190620070006_14117544/ Thu, 20 Jun 2019 07:00:06 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190620070006_14117544/ <![CDATA[RNS press release - Result of AGM ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190618122829_14115308/ Tue, 18 Jun 2019 12:28:29 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190618122829_14115308/ <![CDATA[News - ‘House’ broker finnCap hikes target for Savannah Resources to 23p from 22p after recent resource update ]]> https://www.proactiveinvestors.co.uk/companies/news/221724/house-broker-finncap-hikes-target-for-savannah-resources-to-23p-from-22p-after-recent-resource-update-221724.html ‘House’ broker finnCap has slightly increased its target price for Savannah Resources PLC (LON:SAV) to 23p from 22p, reflecting the lithium explorer’s recent resource update.

On 31 May, the AIM-listed firm said the estimated mineral resources at its Mina do Barroso lithium project in Portugal have been increased by around 15% to 27mln tonnes at 1.06% Li₂O for 285,900 tonnes of contained Li₂O.

READ: Savannah Resources announces another increase in the mineral resource estimate at Mina do Barroso

In a note to clients, the City broker’s analysts pointed out: “Savannah Resources offers exposure to a diversified portfolio of mining assets including lithium in Portugal, heavy mineral sands in Mozambique and copper in Oman.

“The Mina do Barroso lithium project in Portugal is the most advanced of the three projects, with a Definitive Feasibility Study expected to be completed in H2 2019.”

They concluded: “This now hosts Europe’s largest spodumene deposit and is expected to form an integral part of the current EU initiative to build a Strategic Battery Value Chain in Europe.”

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Fri, 07 Jun 2019 11:13:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/221724/house-broker-finncap-hikes-target-for-savannah-resources-to-23p-from-22p-after-recent-resource-update-221724.html
<![CDATA[Media files - Savannah Resources reports further resource increase at Mina do Barroso ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/13542/savannah-resources-reports-further-resource-increase-at-mina-do-barroso-13542.html Fri, 31 May 2019 11:27:00 +0100 https://www.proactiveinvestors.co.uk/companies/stocktube/13542/savannah-resources-reports-further-resource-increase-at-mina-do-barroso-13542.html <![CDATA[News - Savannah Resources announces another increase in the mineral resource estimate at Mina do Barroso ]]> https://www.proactiveinvestors.co.uk/companies/news/221281/savannah-resources-announces-another-increase-in-the-mineral-resource-estimate-at-mina-do-barroso-221281.html Savannah Resources PLC (LON:SAV) has announced an increase in the mineral resource estimate at its Mina do Barroso lithium project in Portugal.

The estimated mineral resources have been increased by around 15% to 27mln tonnes at 1.06% Li₂O for 285,900 tonnes of contained Li₂O.

READ the press release from Savannah Resources

The estimate of measured resources stands at 6.6mln tonnes at 1.1% Li₂O for 71,600 tonnes of contained Li₂O; indicated resources are 8.4mln tonnes at 1.0% Li₂O for 86.700 tonnes of contained Li₂O; inferred resources stand at 12mln tonnes at 1.1% Li₂O for 127,600 tonnes of contained Li₂O.

The company’ advisors have also upgraded the exploration target for Mina do Barroso, to 11-19mln tonnes at 1.0%-1.2% Li₂O, giving a potential project mineral inventory range of 38-47mln tonnes.

Meanwhile, a maiden mineral resource estimate for the Aldeia lithium deposit has been announced. Indicated resources have been put at 1.6mln tonnes at 1.3% Li₂O for 21,300 tonnes of contained Li₂O, with inferred resources pegged at 1.8mln tonnes at 1.3% Li₂O for 23,700 tonnes of contained Li₂O.

The Aldeia resource is more than 25% higher in overall grade than other deposits previously defined at Mina do Barroso, the company highlighted.

#SAV pleased that #Lithium from Mina do Barroso will play a key role in helping to deliver a #ClimateNeutralEU with the development of the European lithium value chain. https://t.co/4NcHx9Nrtp

— Savannah Resources (@SavannahRes) May 29, 2019

"We continue to be encouraged by our extensive resource drilling programme which is increasing the mine life of the project, in addition to providing an inventory of higher-grade material,2 said Savannah’s chief executive officer, David Archer.

Archer noted that the latest increase represents the fifth major mineral resource hike in just 15 months at Mina do Barroso.

"With the project's development and commissioning targeted for next year, Mina do Barroso is moving closer to meeting its objective of becoming a key strategic supplier of lithium spodumene for the fast-growing European lithium-ion battery and electric vehicle industries – by the year 2025, European lithium-ion batteries are expected to represent a market worth €250bn annually,” Archer noted.

“Mina do Barroso has the potential to supply c.40% of the forecast lithium demand from Europe's automotive industry in 2025, and this latest resource and exploration target upgrade supports this potential.
"It is evident that Mina do Barroso could support the development of a mineral conversion plant with the required tonnages of the lithium raw material inputs of spodumene concentrates to act as a base load for a major lithium hydroxide production plant and a new industry for Portugal. Through the ongoing work and development programme we are gaining a firmer understanding of Mina do Barroso's outstanding potential,” Archer said.

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Fri, 31 May 2019 07:41:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/221281/savannah-resources-announces-another-increase-in-the-mineral-resource-estimate-at-mina-do-barroso-221281.html
<![CDATA[RNS press release - Portugal Update - Mineral Resource Increase ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190531070003_14093255/ Fri, 31 May 2019 07:00:03 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190531070003_14093255/ <![CDATA[RNS press release - New Corporate Presentation ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190522070006_14082731/ Wed, 22 May 2019 07:00:06 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190522070006_14082731/ <![CDATA[News - Full year financials show Savannah Resources well-funded for further work on Mina do Barroso ]]> https://www.proactiveinvestors.co.uk/companies/news/220664/full-year-financials-show-savannah-resources-well-funded-for-further-work-on-mina-do-barroso-220664.html Savannah Resources PLC (LON:SAV) booked a loss for the year to 31 December 2018 of £3.4mln, up somewhat from the £2.8mln posted in 2017.

During the year, Savannah's net assets increased to £25.4mln from £13.1mln, primarily due to an increase in exploration activity, completion of the scoping study and the ongoing execution of the definitive feasibility study at the Mina do Barroso lithium project in Portugal.

WATCH: Savannah Resources reports 'world-class' lithium hit at Mina do Barroso

Another significant driver in the net assets' growth was the increase in cash and cash equivalents of £5.3mln, as a result of well-supported equity fundraisings during the year.

Year-end cash totalled £7.7mln. In April and July 2018, Savannah raised a total of £14.7mln.

All four of Savannah’s largest shareholders increased their share positions in 2018, primarily through the record oversubscribed £12.6mln fundraise in July.

Al Marjan Ltd remained the company's largest shareholder during the year, increasing its ownership by over 21mln shares to 208.3mln. Slipstream Resources also boosted its stake to 5.1%, as various milestones in the project acquisition agreement were passed.

Mina do Barroso has now been confirmed as the largest resource of spodumene lithium in Western Europe, with a current resource of 23.5mln tonnes at 1.02% lithium oxide and a post-tax NPV of US$241mln.

A feasibility study is expected later this year.

 

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Tue, 21 May 2019 08:30:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/220664/full-year-financials-show-savannah-resources-well-funded-for-further-work-on-mina-do-barroso-220664.html
<![CDATA[RNS press release - Final Results and Notice of AGM ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190521070018_14080959/ Tue, 21 May 2019 07:00:18 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190521070018_14080959/ <![CDATA[News - Savannah Resources steams ahead with flagship Mina do Barroso project ]]> https://www.proactiveinvestors.co.uk/companies/news/220432/savannah-resources-steams-ahead-with-flagship-mina-do-barroso-project-220432.html  

What it owns

The group’s asset portfolio encompasses:

• The Mina do Barroso lithium project in Portugal

• Block 4 and 5 Copper projects in Oman

• The Mutamba Mineral Sands project in Mozambique

• Somero and Eräjärvi lithium projects in Finland

 

How is it doing

Speaking to Proactive in mid-May, Savannah’s chief executive David Archer said the firm was making “very good progress” with a feasibility study for its flagship Mina do Barroso project.

Savannah also has “second mover advantage” as it sought to apply lessons learned from the first wave of Australian lithium developments to its Portuguese project.

The project is attracting interest from potential industry partners and off-takers as well as an opportunity to develop a lithium conversion plant in Portugal which would allow the company to “lock down from end-to-end the whole lithium value chain in Europe”.

Archer has also hailed the establishment of a European cross-border battery cell consortium, which was set up by Germany and France.

"The Franco-German decision to establish this initiative, as well as the EU's plans to launch a European raw materials investment facility, highlights the seriousness of the EU to strongly commit to increasing its investment in the European lithium battery industry”, he said.

"Mina do Barroso’s relevance and location mean that it has the potential to be an extremely important strategic asset, playing a leading role in ensuring that Europe meets a significant portion of its demand for lithium internally.”

 

Broker ups price target

In June, house finnCap slightly increased its target price to 23p from 22p, reflecting the lithium explorer’s recent resource update.

On 31 May, the AIM-listed firm said the estimated mineral resources at its Mina do Barroso lithium project in Portugal have been increased by around 15% to 27mln tonnes at 1.06% Li₂O for 285,900 tonnes of contained Li₂O.

“Savannah Resources offers exposure to a diversified portfolio of mining assets including lithium in Portugal, heavy mineral sands in Mozambique and copper in Oman.

“The Mina do Barroso lithium project in Portugal is the most advanced of the three projects, with a Definitive Feasibility Study expected to be completed in H2 2019.”

 “This now hosts Europe’s largest spodumene deposit and is expected to form an integral part of the current EU initiative to build a Strategic Battery Value Chain in Europe.”

 

What the boss says: David Archer, CEO

“"It is evident that Mina do Barroso could support the development of a mineral conversion plant with the required tonnages of the lithium raw material inputs of spodumene concentrates to act as a base load for a major lithium hydroxide production plant and a new industry for Portugal.”

 

Video

 

  Inflexion points Definitive feasibility study for Mina Do Barroso European in initiative to develop electric battery capacity in Europe should aid Savannah Price target of 23p from finncap compared to 5.1p in market By the year 2025, European lithium-ion batteries are expected to represent a market worth €250bn annually   ]]>
Thu, 16 May 2019 14:20:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/220432/savannah-resources-steams-ahead-with-flagship-mina-do-barroso-project-220432.html
<![CDATA[Media files - Savannah Resources reports 'world-class' lithium hit at Mina do Barroso ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/13362/savannah-resources-reports--world-class--lithium-hit-at-mina-do-barroso-13362.html Wed, 15 May 2019 12:44:00 +0100 https://www.proactiveinvestors.co.uk/companies/stocktube/13362/savannah-resources-reports--world-class--lithium-hit-at-mina-do-barroso-13362.html <![CDATA[News - Savannah Resources hints at “significant” resource increase at Mino do Barroso ]]> https://www.proactiveinvestors.co.uk/companies/news/220280/savannah-resources-hints-at-significant-resource-increase-at-mino-do-barroso-220280.html Savannah Resources PLC (LON:SAV) expects to be able to “significantly” increase the existing resource and potential life of the mine at its Mina do Barroso lithium project in Portugal as the ongoing drill programme continues to yield high grade intersects.

Among the latest results was an intersect of 22 metres at 2% lithium oxide on the Aldeia block – the highest grade reported so far at Mino do Barroso.

READ: Savannah Resources moves to secure 100% control of the Mina do Barroso lithium project

Pegmatite – the rock lithium is found in – has been consistently intersected over a strike length of more than 250m and has been traced to 120m below surface, which Savannah says confirms the potential of a “significant mineralised body”.

Over 30,000m of drilling has already been carried out in under two years, but the AIM company isn’t done yet; drilling is continuing at the project to see how much further the pegmatite goes.

Mino do Barroso currently has an existing resource of 23.5mln tonnes of  ore at 1.02% lithium dioxide, but Savannah expects the recent results to contribute to a “significant increase” of that figure.

Savannah a ‘key strategic player’ in lithium mining

“These latest results from Aldeia and Grandao include the highest-grade ever reported at Mino do Barroso, demonstrating that the full scope of Mina do Barroso's exciting potential is still being realised,” said chief executive David Archer.

“High-grade mineralisation has been identified along strike and at depth, indicating the potential to further expand the existing resource and significantly increase the potential life of mine."

He added: “Results from recent workflow have continued to solidify Mina do Barroso's status as Western Europe's most significant new spodumene lithium discovery positioning Savannah as a key strategic player in Europe's upstream lithium value chain.”

In a note to clients, analysts at ‘house’ broker finnCap commented: “The new drilling programme has returned some excellent results, with high grades encountered over significant widths.

“The Mina do Barroso lithium project is already by some way the largest and most significant spodumene lithium project in Western Europe, and looks set to become larger.”

finnCap maintained a 22p price target on Savannah Resources' shares which in afternoon trading were up 0.9% at 5.50p.

 -- Adds analyst comment, share price --

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Wed, 15 May 2019 07:37:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/220280/savannah-resources-hints-at-significant-resource-increase-at-mino-do-barroso-220280.html
<![CDATA[RNS press release - Portugal Drilling Update ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190515070005_14074023/ Wed, 15 May 2019 07:00:05 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190515070005_14074023/ <![CDATA[News - Savannah Resources welcomes Franco-German initiative to develop electric vehicle batteries ]]> https://www.proactiveinvestors.co.uk/companies/news/220204/savannah-resources-welcomes-franco-german-initiative-to-develop-electric-vehicle-batteries-220204.html Savannah Resources PLC (LON:SAV) has welcomed the establishment by France and Germany of a European cross-border battery cell consortium.

The consortium will develop next-generation batteries for electric vehicles (EVs).

The initial budget will be €5bn to €6bn to come from European companies and state subsidies.

Europe’s share of global battery cell manufacturing is just 3% currently.

Savannah Resources has significant lithium resource at Mina de Barroso in Portugal.

David Archer, Savannah’s chief executive, said: "The Franco-German decision to establish this initiative, as well as the EU's plans to launch a European raw materials investment facility, highlights the seriousness of the EU to strongly commit to increasing its investment in the European lithium battery industry. 

"Mina do Barroso’s relevance and location mean that it has the potential to be an extremely important strategic asset, playing a leading role in ensuring that Europe meets a significant portion of its demand for lithium internally.” 

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Tue, 14 May 2019 08:38:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/220204/savannah-resources-welcomes-franco-german-initiative-to-develop-electric-vehicle-batteries-220204.html
<![CDATA[RNS press release - Savannah to benefit from EU Battery Consortium ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190514070012_14072510/ Tue, 14 May 2019 07:00:12 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190514070012_14072510/ <![CDATA[Media files - Savannah Resources to take full ownership of Mina do Barroso Lithium project ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/12999/savannah-resources-to-take-full-ownership-of-mina-do-barroso-lithium-project-12999.html Mon, 15 Apr 2019 11:29:00 +0100 https://www.proactiveinvestors.co.uk/companies/stocktube/12999/savannah-resources-to-take-full-ownership-of-mina-do-barroso-lithium-project-12999.html <![CDATA[News - Savannah Resources moves to secure 100% control of the Mina do Barroso lithium project ]]> https://www.proactiveinvestors.co.uk/companies/news/218552/savannah-resources-moves-to-secure-100-control-of-the-mina-do-barroso-lithium-project-218552.html Savannah Resources PLC (LON:SAV) shares were higher on Monday following news the firm is to take 100% control of its flagship asset, the Mina do Barroso Lithium project in Portugal.

The 25% that Savannah doesn’t already own is to be acquired from minority shareholders in an all-share transaction valued at approximately US$11.9mln.

WATCH: Savannah Resources boosts Mina do Barroso lithium resource to 23.5mln tonnes

Savannah will issue 163mln new shares at US$0.073 each, equating to 15.6% of the enlarged issued share capital of the company.

The largest of the vendors, resource investment specialist, Slipstream, will become a 16.0% shareholder in Savannah, increasing from a 5.1% stake.

"Since acquiring our initial 75% shareholding in Mina do Barroso in 2017, we have rapidly progressed the project, including delineating a 23.5mln tonne spodumene-bearing JORC compliant resource and completing a positive scoping study,” said Savannah chief executive David Archer.

“At the same time, legislators and battery end users in the region have come to appreciate the need for Europe to have domestic sources of battery raw materials as the region seeks to reduce emissions from the transport sector via the transition to electric vehicles.

"As a result, we see great economic and strategic value in the project and we are pleased to have the opportunity to increase our stake to 100%. The company remains focused on completing the project's definitive feasibility Study and environmental impact assessment and permitting process, which will allow a development decision to be made,” he added.

In a note to clients, analysts at ‘house’ broker finncap pointed out that the around US$11.9mln valuation from the deal is at a “substantial discount to our unrisked valuation of 25% of the project.”

As a result, finnCap raised its price target for Savannah Resources to 22p, up from 20p previously, with the shares currently trading at 5.70p, up 0.9% on Friday’s close.

 -- Adds analyst comment, share price --

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Mon, 15 Apr 2019 07:31:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/218552/savannah-resources-moves-to-secure-100-control-of-the-mina-do-barroso-lithium-project-218552.html
<![CDATA[RNS press release - Agreement to secure 100% of the Mina do Barroso ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190415070005_14040267/ Mon, 15 Apr 2019 07:00:05 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190415070005_14040267/ <![CDATA[Media files - Savannah Resources boosts Mino do Barroso lithium resource to 23.5mln tonnes ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/12925/savannah-resources-boosts-mino-do-barroso-lithium-resource-to-235mln-tonnes-12925.html Tue, 09 Apr 2019 10:17:00 +0100 https://www.proactiveinvestors.co.uk/companies/stocktube/12925/savannah-resources-boosts-mino-do-barroso-lithium-resource-to-235mln-tonnes-12925.html <![CDATA[News - Savannah Resources boosts Mina do Barroso lithium resource by 17% ]]> https://www.proactiveinvestors.co.uk/companies/news/218209/savannah-resources-boosts-mina-do-barroso-lithium-resource-by-17-218209.html Savannah Resources PLC (LON:SAV) found gains on Tuesday as the group boosted resources at the Mino do Barroso lithium project in Portugal by 17% to 23.5mln tonnes (Mt).

Within that, the measured and indicated resource now totals 13.3mln tonnes grading 1% lithium oxide.

WATCH: Savannah Resources to broaden mine planning for Mina do Barroso after new high-grade discovery

The updated resource cements the project's place as Western Europe's most significant spodumene lithium resource.

The overall amount of lithium oxide contained in Mina do Barroso amounts to 241,000 tonnes.

What’s more, the company believes significant upside remains, and that the total resource could eventually go to over 30mln tonnes.

"This is the fourth major increase in the Mina do Barroso mineral resource and it has been achieved in less than 14 months,” said chief executive David Archer. 

“The increasing mineral resource highlights the continued growth potential for the project which is underscored by the exploration target remaining unchanged. With a potential mining inventory of over 30mln tonnes, we have a long-life asset that can become a secure, long term supply source of lithium, which is a strategic metal for the burgeoning battery and electric vehicle industries of Europe."

In a note to clients, analysts at ‘house’ broker finnCap commented: “Some 58% of the resource is now contained within the Measured and Indicated categories.”

They added: “Most of the resource is contained within the Grandao deposit, where 17.7Mt at 1.04% Li₂O containing 181,800t of Li₂O has now been identified.”

finnCap reiterated a 20p price target on Savannah Resources’ shares which in late morning trading were 2.7% higher at 5.65p.

 -- Adds analyst comment, share price --

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Tue, 09 Apr 2019 08:06:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/218209/savannah-resources-boosts-mina-do-barroso-lithium-resource-by-17-218209.html
<![CDATA[RNS press release - Resource Update at Mina do Barroso Lithium Project ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190409070012_14033367/ Tue, 09 Apr 2019 07:00:12 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190409070012_14033367/ <![CDATA[RNS press release - Implementation of New Long-Term Incentive Plan ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190306070007_13991503/ Wed, 06 Mar 2019 07:00:07 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190306070007_13991503/ <![CDATA[Media files - Savannah Resources to broaden mine planning for Mina do Barroso after new high grade discovery ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/12431/savannah-resources-to-broaden-mine-planning-for-mina-do-barroso-after-new-high-grade-discovery-12431.html Mon, 04 Mar 2019 15:59:00 +0000 https://www.proactiveinvestors.co.uk/companies/stocktube/12431/savannah-resources-to-broaden-mine-planning-for-mina-do-barroso-after-new-high-grade-discovery-12431.html <![CDATA[News - Drilling boosts potential size of Savannah’s Mina do Barroso lithium project ]]> https://www.proactiveinvestors.co.uk/companies/news/215698/drilling-boosts-potential-size-of-savannahs-mina-do-barroso-lithium-project-215698.html Savannah Resources PLC (LON:SAV) has identified a new higher-grade lithium-bearing pegmatite body at Aldeia, about two kilometres to the south-east of the Grandao deposit in Portugal.

Key lithium intersections include: 21 metres at 1.50% lithium oxide (Li₂O), 20 metres at 1.36% Li₂O, 21metres at 1.24% Li₂O, and 14 metres at 1.41% Li₂O.

The pegmatite was consistently intersected over a strike length of over 200 metres and has been traced down dip for a distance of over 200 metres, confirming the potential for the presence of a significant mineralised body.

Drilling is continuing. Both the Aldeia and the newly discovered Pinheiro deposits will now be incorporated in an expanded and fully-funded definitive feasibility study, the completion of which will now extend into the second half of the year.

Savannah’s wider Mina do Barroso project currently boasts a 20mln tonne resource and has been billed as Western Europe's most significant new spodumene lithium discovery. 

 "The discovery of this new higher grade Aldeia Block A pegmatite is likely to add further tonnage to the overall mineral resource inventory of the Mina do Barroso project,” said Savannah chief executive David Archer.

“These excellent results mean we will now look to incorporate these deposits as part of the early mining schedule of a potential mine development.”

In a note to clients, analysts at ‘house’ broker finnCap commented: “The new drilling programme has returned some excellent results, with high grades encountered over significant widths.

“The Mina do Barroso lithium project is already by some way the largest and most significant spodumene lithium project in Western Europe and looks set to become larger.

finnCap repeated a 20p price target on Savannah Resources shares, which in afternoon trading were 0.9% higher at 5.35p.

 -- Adds analyst comment, share price --

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Mon, 04 Mar 2019 08:47:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/215698/drilling-boosts-potential-size-of-savannahs-mina-do-barroso-lithium-project-215698.html
<![CDATA[RNS press release - New Higher-Grade Discovery at Mina do Barroso ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190304070004_13988172/ Mon, 04 Mar 2019 07:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190304070004_13988172/ <![CDATA[Media files - Metallurgical testwork highlights potential for lithium production ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/12159/metallurgical-testwork-highlights-potential-for-lithium-production-12159.html Mon, 11 Feb 2019 08:40:00 +0000 https://www.proactiveinvestors.co.uk/companies/stocktube/12159/metallurgical-testwork-highlights-potential-for-lithium-production-12159.html <![CDATA[News - Drilling on Savannah’s Mina do Barroso project confirms continuity of lithium mineralisation ]]> https://www.proactiveinvestors.co.uk/companies/news/214338/drilling-on-savannahs-mina-do-barroso-project-confirms-continuity-of-lithium-mineralisation-214338.html Follow-up drilling work undertaken by Savannah Resources PLC (LON:SAV) has confirmed continuity of lithium mineralisation at the Grandao, Reservatorio and Pinherio deposits on the Mina do Barroso lithium project in Portugal.

Key lithium intersections at Grandao include 46.11 metres at 1.04% Li₂O, 19.7 metres at 1.28% Li₂O, and 15.27 metres at 1.37% Li₂O. Key intersections at Reservatorio include 36 metres at 1.15% Li₂O, while key intersections at Pinheiro include 15 metres at 0.97% Li₂O.

WATCH: Metallurgical testwork highlights potential for lithium production

Drilling has focused on building confidence in the continuity of mineralisation at Grandao and Reservatorio, with recent results confirming the geological model for these deposits.

The results underpin the company's strategy of aiming to become Europe's most significant producer of lithium spodumene concentrates in response to the growing demand from the expanding European electric vehicle market. 

"The impressive continuity of lithium mineralisation revealed by these results continues to underpin the true potential of the Mina do Barroso lithium project,” said Savannah chief executive David Archer. 

“While much of the recent drilling has been focused on increasing the mineral resource categories for the definitive feasibility study that is currently underway, the drilling programme at Mina do Barroso continues to deliver expansions to the mineralised zone at Grandao, extensions in depth at Reservatorio and further encouraging results from the Pinheiro deposit. In particular, Pinheiro is shaping up well as a further spodumene lithium deposit and is set to augment the three main deposits that have been defined to date.”

In late morning trading, shares in Savannah Resources were 2% higher at 5p.

In a note to clients, analysts at ‘house’ broker finnCap commented: “The drilling programme continues to return significant intersections of lithium mineralisation as Savannah aims to increase the current Mineral Resource Estimate of 20.1Mt at 1.04% Li₂O containing 209,000t of Li₂O.

“This is the largest known spodumene deposit in Western Europe. We maintain our 20p price target.”

 -- Adds share price, analysts comment --

 

 

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Mon, 11 Feb 2019 07:58:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/214338/drilling-on-savannahs-mina-do-barroso-project-confirms-continuity-of-lithium-mineralisation-214338.html
<![CDATA[RNS press release - Continuity of Lithium Mineralisation Confirmed ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190211070004_13964047/ Mon, 11 Feb 2019 07:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190211070004_13964047/ <![CDATA[News - Metallurgical testwork at Mina do Barroso continuing to highlight potential for battery-grade lithium production ]]> https://www.proactiveinvestors.co.uk/companies/news/213478/metallurgical-testwork-at-mina-do-barroso-continuing-to-highlight-potential-for-battery-grade-lithium-production-213478.html Metallurgical test work from the Mina do Barroso project owned by Savannah Resources PLC (LON:SAV) continues to show that a conventional 6% Li₂O low-impurity concentrate can be produced with high recoveries.

Drill core samples taken from the Grandao deposit have produced concentrates containing 6%-6.5% Li2O, with corresponding lithium recoveries in excess of 80%.

WATCH: Savannah Resource s 'building a world-class team' as it advances Mina do Barroso towards feasibility

The Grandao deposit currently represents the first five years of mine production.

The lithium concentrates produced have low iron and impurity levels, with market research and initial customer discussions indicating that such concentrates should be suitable for conversion to either lithium carbonate or lithium hydroxide for use in lithium-ion batteries.

Planning is now underway to run a pilot programme on a bulk sample of ore to define the process flow sheet to a level suitable for final plant design.

"To see such excellent results from the metallurgical test work is encouraging as it continues to validate Mina do Barroso as a conventional lithium project in terms of the process flow-sheet and the product produced,” said chief executive David Archer. 

“Ongoing test work will continue to help refine our understanding of the behaviour of the produced material and I look forward to continuing to update our shareholders over the coming months.''

In late morning trading, shares in Savannah Resources were 1% higher at 4.95p.

In a note to clients, analysts at ‘house’ broker finnCap commented: “This is a major step forward for the project, as not all spodumene deposits are suitable for the production of high-grade saleable concentrates. We maintain our 20p price target.”

 -- Adds share price, analyst comment --

 

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Tue, 29 Jan 2019 07:44:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/213478/metallurgical-testwork-at-mina-do-barroso-continuing-to-highlight-potential-for-battery-grade-lithium-production-213478.html
<![CDATA[RNS press release - Mina do Barroso Project, Met Test Work Results ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190129070004_13949496/ Tue, 29 Jan 2019 07:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20190129070004_13949496/ <![CDATA[RNS press release - Change of NOMAD ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181224070007_13914237/ Mon, 24 Dec 2018 07:00:07 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181224070007_13914237/ <![CDATA[Media files - Savannah Resources 'building a world class team' as it advances Mina do Barroso towards feasibility ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/11648/savannah-resources--building-a-world-class-team--as-it-advances-mina-do-barroso-towards-feasibility-11648.html Tue, 18 Dec 2018 09:42:00 +0000 https://www.proactiveinvestors.co.uk/companies/stocktube/11648/savannah-resources--building-a-world-class-team--as-it-advances-mina-do-barroso-towards-feasibility-11648.html <![CDATA[News - Savannah teams up with two “prestigious” organisations to help progress Portuguese lithium project ]]> https://www.proactiveinvestors.co.uk/companies/news/211381/savannah-teams-up-with-two-prestigious-organisations-to-help-progress-portuguese-lithium-project-211381.html Savannah Resources PLC (LON:SAV) has formalised its relationship with a university research team led by Professor Noronha – the man who first discovered lithium near the company’s Mina do Barroso project in northern Portugal 30 years ago.

As well as the team from the University of Porto, Savannah has also teamed up with the Laboratorio Nacional de Energia e Geologia (LNEG) – a governmental research and development institution with “significant experience” in lithium processing technologies.

IN-DEPTH: Savannah expects ‘significant revenues’ from Mina do Barroso

So far, the trio has completed a preliminary mineralogy study and a first draft processing flowsheet for the treatment, recovery and concentration of spodumene from samples of Grandao and NOA deposits at MdB.

“We were delighted to enter into this agreement with these two prestigious organisations within Portugal,” said Savannah’s technical director Dale Ferguson.

“This agreement formalises the work that has been undertaken to date and we believe notable benefits so far have been achieved for the Project such as the noteworthy metallurgical outcomes that have been attained.

“The Portuguese government supports the development of the lithium industry in Portugal as evidenced by the recent government approval in the Council of Ministers of the 'strategic guidelines for the valorisation of the potential of lithium minerals in Portugal’.”

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Tue, 18 Dec 2018 07:53:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/211381/savannah-teams-up-with-two-prestigious-organisations-to-help-progress-portuguese-lithium-project-211381.html
<![CDATA[RNS press release - Cooperation Agreement with Porto University & LNEG ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181218070004_13907015/ Tue, 18 Dec 2018 07:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181218070004_13907015/ <![CDATA[News - Savannah Resources reports significant lithium intersections from drilling at Mina do Barroso ]]> https://www.proactiveinvestors.co.uk/companies/news/211309/savannah-resources-reports-significant-lithium-intersections-from-drilling-at-mina-do-barroso-211309.html Savannah Resources PLC (LON:SAV) said drilling at the Grandao and Pinheiro deposits within its Mina do Barroso project in Portugal has returned a series of significant lithium intersections.

The company said highlights from diamond drilling at Grandao were 2.9m at 1.05% lithium oxide (Li2O) from 84m in drill hole 18GRADD010, 0, 29.55m at 1.67% Li2O from 95.45m in hole 18GRADD011 and 20.7m at 1.21% Li2O from 41.5m in hole 18GRADD017.

Results from reverse circulation drilling at Granado included 28m at 1.17% Li₂O from 15m in drill hole 18GRARC118 and 27m at 1.41% Li₂O from 36m in hole 18GRARC120.

At Pinheiro, results included 9m at 1.05% Li₂O from 39m in drill hole 18PNRRC012 and 27m at 0.91% Li₂O from 57m in hole 18PNRRC017.

READ: Savannah Resources says successfully produced saleable quartz, feldspar products for use in ceramics industry

 "The ongoing drilling programme at Mina do Barroso continues to define excellent widths and grades of lithium mineralisation at both the Grandao and Pinheiro deposits,” said chief executive David Archer.

“Thanks to much of the resource definition work and geotechnical drilling to support the definitive feasibility study being largely complete, we anticipate a slower drilling tempo at the C-100 Mining Lease in 2019.”

Archer said in 2019 the company plans to drill test the  Aldeia ground with the reverse circulation rig while the diamond drill rig will focus on obtaining material for the ongoing metallurgical test-work programme as well as some geotechnical drilling.

A total of 295 holes for 24,723m have been drilled to date at Mina do Barroso as part of the ongoing reverse circulation and diamond drill programme, primarily focused on the Grandao, Reservatorio and NOA deposits.

"The year 2018 has been exceptional for the metres drilled and the resource defined in such a quick time and we look forward to continuing excellent progress for the project next year,” said Archer. 

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Mon, 17 Dec 2018 08:23:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/211309/savannah-resources-reports-significant-lithium-intersections-from-drilling-at-mina-do-barroso-211309.html
<![CDATA[RNS press release - Further Zones of Lithium Mineralisation Discovered ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181217070005_13905272/ Mon, 17 Dec 2018 07:00:05 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181217070005_13905272/ <![CDATA[News - Savannah Resouces expects 'significant revenues' from Mina do Barroso ]]> https://www.proactiveinvestors.co.uk/companies/news/211252/savannah-resouces-expects--significant-revenues--from-mina-do-barroso-211252.html Savannah Resources PLC (LON:SAV) expects a boost to revenues after ongoing metallurgical test work successfully produced saleable quartz and feldspar products from its Portuguese Mina do Barroso project.

The products are used in the ceramics industry with strong demand coming from the Portuguese and Spanish markets.

The company said the production of quartz and feldspar products will mean that the company will reduce the volumes of non-saleable material that will need to be emplaced on site in contoured and vegetated landforms. 

What that means is a significant proportion of the material that is mined and processed through the plant will be shipped off site as a saleable product, which will lift revenue and reduce costs.

READ: Savannah Resources says successfully produced saleable quartz, feldspar products for use in ceramics industry

Chief executive David Archer said the quartz and felspa are of “very high quality” and will therefore fetch a premium pricing.

Mina do Barroso - Europe’s biggest lithium mine – is expected to produce volumes of about 300,000 tonnes per annum of saleable feldspa and 200,000 tonnes of saleable quartz per annum.

“(The products) should be able to generate some very significant revenues and help build a dynamic, new operation in the northern part of Portugal,” he said.

The group hopes to progress its definitive feasibility study towards delivery in 2019 with the aim of first production in 2020.

Potential to increase resource estimate and mine life at Mina do Barroso

Savannah sees potential to increase the current mineral resource estimate of Mina do Barroso, which currently stands at over 20mln tonnes.

Archer said the company hopes to revisit the resource estimate in the new year after carrying out more than 25,000 metres of drilling and 250 drill holes, making it one of the most active exploration programmes in Europe in recent years.

 

“It’s been one of those fabulous projects that really gets both bigger and better with more drilling that we undertake,” he said.

“It’s one of the most intensively executed drill campaigns that I think has been undertaken in Europe in recent years.”

Savannah has already increased the mineral resource estimate by more than 500% in just over a year and the recent discovery of three new lithium pegmatites at the Pinherio deposit could add to the overall mine life.

The new discoveries covered a considerable strike of over 250 metres and depths over 100m and are expected to positively impact the feasibility study.

Meanwhile, recent drilling at its Reservatorio and NOA deposits has also confirmed the continuity and grade of the mineral resource estimate reported in February.

'Encouraging grades' at Mina do Barroso

Overall, grades at Mina do Barroso are encouraging, according to Archer.

“The grades are very encouraging indeed, we’ve got intersections of up to 34 metres of 1.6% lithium, which is regarded at the high end of the lithium grade range so it should be very accretive to the overall mine development plan or help the initial cash flows as we take the project forward into development,” he said.

“We think it will really help to enhance the feasibility study and the overall economics of the plan.”

Savannah is currently in discussions with potential offtake partners and commercial partners for the project. Archer said these potential partners are “keen to see a project like this with a good mine life so I think we’ll be extending that mine life”.

Other assets

Savannah also holds the Mutamba mineral sands project in Mozambique, the Block 4 and 5 copper projects in Oman, and the Somero and Eräjärvi lithium projects in Finland.

The company’s subsidiary Matilda Minerals submitted an application for an additional mining lease in Mozambique over an area of 119 square kilometres, with a defined mineral resource estimate of 65mln tonnes.

The lease covers an area contiguous to two pending lease applications made by FTSE 100 miner Rio Tinto PLC (LON:RIO) and formed part of a consolidation of mineral sands projects under a consortium agreement between the two companies.

Once granted, the total area of the three leases will cover 399 square kilometres.

At Oman, the project is in the final stages of licensing and the group hopes to see that completed shortly. “It’s a project that’s on a fairly modest scale, but we’ve been overwhelmed by the degree of interest from copper traders," Archer said. 

Meanwhile, early work at Eräjärvi has confirmed encouraging grades and defining significant pegmatites at surface containing key lithium minerals.

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Fri, 14 Dec 2018 07:12:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/211252/savannah-resouces-expects--significant-revenues--from-mina-do-barroso-211252.html
<![CDATA[Media files - Saleable quartz and feldspar boon for Savannah Resources ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/11606/saleable-quartz-and-feldspar-boon-for-savannah-resources-11606.html Thu, 13 Dec 2018 12:18:00 +0000 https://www.proactiveinvestors.co.uk/companies/stocktube/11606/saleable-quartz-and-feldspar-boon-for-savannah-resources-11606.html <![CDATA[News - Savannah Resources says successfully produced saleable quartz, feldspar products for use in ceramics industry ]]> https://www.proactiveinvestors.co.uk/companies/news/211123/savannah-resources-says-successfully-produced-saleable-quartz-feldspar-products-for-use-in-ceramics-industry-211123.html Savannah Resources PLC (LON:SAV) has announced that ongoing metallurgical test work has successfully produced saleable quartz and feldspar products for use in the ceramics industry from its Portuguese Mina do Barroso Project.

The AIM-listed resource development company - which is focused on becoming Europe's most significant producer of lithium spodumene concentrates  - said the production of quartz and feldspar products will mean that the company will reduce the volumes of non-saleable material that will need to be emplaced on site in contoured and vegetated landforms. 

It added that the test work for co-product and specifications have been independently evaluated and confirmed by ceramics industry expert, First Test Minerals Ltd

The company said: “Importantly, the potential pricing of the products which can be produced have been identified as being significantly higher, by First Test Minerals, than those conservative values used in the recent Scoping Study of US$39/tonne for feldspar and US$33/tonne for quartz.” 

The group said this is a very positive outcome and is part of Savannah's ongoing commitment to design a project which minimises any potential environmental impacts.

Savannah's CEO, David Archer commented: "The area in which we operate is a major quarrying region for ceramic materials which supply the vibrant ceramics industries in both Portugal and Spain.” 

He added: “I look forward to providing further updates as we progress our Feasibility Study towards delivery in 2019."

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Thu, 13 Dec 2018 07:49:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/211123/savannah-resources-says-successfully-produced-saleable-quartz-feldspar-products-for-use-in-ceramics-industry-211123.html
<![CDATA[RNS press release - Saleable Co-products at Mina Do Barroso Project ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181213070003_13901841/ Thu, 13 Dec 2018 07:00:03 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181213070003_13901841/ <![CDATA[Media files - Savannah Resources strengthens team as Mina do Barroso lithium project advances ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/11363/savannah-resources-strengthens-team-as-mina-do-barroso-lithium-project-advances-11363.html Thu, 29 Nov 2018 08:19:00 +0000 https://www.proactiveinvestors.co.uk/companies/stocktube/11363/savannah-resources-strengthens-team-as-mina-do-barroso-lithium-project-advances-11363.html <![CDATA[RNS press release - Appointment of Non-Executive Director ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181127070025_13881104/ Tue, 27 Nov 2018 07:00:25 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181127070025_13881104/ <![CDATA[News - Savannah Resources expands project team at Mina do Barroso with new consultancy appointments ]]> https://www.proactiveinvestors.co.uk/companies/news/209896/savannah-resources-expands-project-team-at-mina-do-barroso-with-new-consultancy-appointments-209896.html Savannah Resources PLC (LON:SAV) had added several Portuguese and international consultancies to the team overseeing its Mina do Barroso lithium project in Portugal.

The resource development firm said new appointments included firm Knight Piésold as the lead on geotechnical and hydrological engineering and consultancy Quadrante to consult on transport and logistics.

READ: Savannah Resources jumps as it discovers three new lithium deposits at Mina do Barroso project

Savannah had also appointed Portuguese communications firm CV&A Consultores, with firm S317 Consulting recruited to develop a stakeholder management strategy, design a community engagement plan, and source EU funding for the project.

Australian financial advisory firm Noah's Rule had also been brought on board as a funding advisor, with firm’s Nagrom and ALS continuing to provide assay and metallurgical testwork services. VISA Consultores was also continuing to work on an environmental impact statement assessment for the project.

The new appointments follow on from the recruitment of lithium consulting engineer Primero Group, which was appointed in July as the primary engineering group and lead manager for a feasibility study at the project.

READ: Savannah appoints consulting engineer Primero Group to undertake Mino do Barroso feasibility study

David Archer, chief executive of Savannah, said that the “high calibre team” now in place underpinned Mina do Barroso’s “significance” in European de-carbonisation and the development of electric vehicles.

He added that the feasibility study was “progressing well” and is aimed for completion next year.

Earlier in November, the company was boosted by the discovery of three new lithium pegmatites in the Pinheiro deposit at the project, providing “significant potential” to increase the current mineral resource to its current figure of over 20mln tonnes.

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Mon, 26 Nov 2018 08:08:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/209896/savannah-resources-expands-project-team-at-mina-do-barroso-with-new-consultancy-appointments-209896.html
<![CDATA[RNS press release - Mina do Barroso Lithium Project Team Expands ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181126070007_13879418/ Mon, 26 Nov 2018 07:00:07 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181126070007_13879418/ <![CDATA[RNS press release - Exercise of Warrants ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181113070007_13864193/ Tue, 13 Nov 2018 07:00:07 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181113070007_13864193/ <![CDATA[Media files - Europe's biggest Lithium Mine just got bigger says Savannah ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/11127/europe-s-biggest-lithium-mine-just-got-bigger-says-savannah-11127.html Wed, 07 Nov 2018 14:14:00 +0000 https://www.proactiveinvestors.co.uk/companies/stocktube/11127/europe-s-biggest-lithium-mine-just-got-bigger-says-savannah-11127.html <![CDATA[News - Savannah Resources jumps as it discovers three new lithium deposits at Mina do Barroso project ]]> https://www.proactiveinvestors.co.uk/companies/news/208702/savannah-resources-jumps-as-it-discovers-three-new-lithium-deposits-at-mina-do-barroso-project-208702.html Savannah Resources PLC (LON:SAV) shares jumped in late-morning trading Wednesday after it discovered three new lithium pegmatites in the Pinheiro deposit at its Mina do Barroso project in Portugal.

The mining firm said the three new pegmatites covered a “considerable” strike of over 250 metres and depths of over 100m.

WATCH: Europe's biggest Lithium Mine just got bigger says Savannah

Savannah added that there was “significant potential” to increase the current mineral resource estimate of the project, which currently stands at over 20mln tonnes.

The key intersections at Pinheiro included:

-     23m at 1.14% Li₂O (lithium oxide) from 9m in 18PNRRC003

-     14m at 1.21% Li₂O from 18m in 18PNRRC004

-     90m at 1.23% Li₂O from 39m incl. 34m at 1.6% Li₂O from 94m in 18PNRRC005

-     69m at 1.29% Li₂O from 20m incl. 24m at 1.58% Li₂O from 48m in 18PNRRC007

-     35m at 1.19% Li₂O from 16m incl. 21mm at 1.45% Li₂O from 19m in 18PNRRC009

The company said the new discoveries were likely to positively impact the current feasibility study, with further work at Pinheiro to be fast-tracked to include the results.

The firm also said drilling at its Reservatorio and NOA deposits confirmed the continuity and grade of the mineral resource estimate reported in February.

These included:

• Reservatorio:

- 23m at 1.29% Li₂O from 24m in 18RESRC023

- 27m at 1.03% Li₂O from 24m in 18RESRC026

-  24m at 1.00% Li₂O from 26m in 18RESRC029

- 42m at 1.21% Li₂O from 51m in 18RESRC033

- 27m at 1.08% Li₂O from 58m in 18RESRC037

• NOA:

- 19m at 0.97% Li₂O from 99m in 18NOARC012

- 21m at 0.92% Li₂O from 57m in 18NOARC013

Savannah also said that phase 3 of the metallurgical test work programme was ongoing and is scheduled to be completed in the fourth quarter.

David Archer, chief executive of Savannah, said: “The drilling has outlined what is now the fourth major deposit on the mining lease and highlights the still unconstrained nature of the resource potential of the overall lease area.

He added: “Having already increased our Mineral Resource Estimate by +500% in a little over a year we are excited by the discovery of three new pegmatites at the Pinherio deposit which could further enhance the scheduling flexibility of a mine development and add to the overall mine life at Mina do Barroso."

In a note to clients, analysts at City broker Northland Capital Partners said the results "clearly hold potential" to increase the project's mineral resource estimate, adding that the discovery of a "fourth major deposit" highlighted the "unconstrained nature of the resource potential of the overall lease area".

Shares were up 4.2% at 6.2p.

-- Updates share price and adds broker comment --

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Wed, 07 Nov 2018 07:55:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/208702/savannah-resources-jumps-as-it-discovers-three-new-lithium-deposits-at-mina-do-barroso-project-208702.html
<![CDATA[RNS press release - Portugal Drilling Update ]]> https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181107070004_13857552/ Wed, 07 Nov 2018 07:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3780/LSE20181107070004_13857552/