Black Rock Mining (ASX:BKT) has begun a critical step in optimising its marketing strategy for its graphite holdings in Tanzania by initiating metallurgical testwork on samples from three key properties.
Core and rock samples from the Mahenge project’s Epanko north and Ulanzi areas totalling 800 kilograms are currently being tested for process flowsheet design and graphite concentrate marketing purposes.
This work will indicate the expected concentrate purities from conventional flotation.
Additional testwork is planned to determine chemically upgraded purity and the suitability of Mahenge graphite flake for a suite of value-added applications including; expanded graphite, expandable graphite, spherical graphite testwork and other industrial applications.
Results are expected in December.
Bagamoyo update
Material from Black Rock’s recently acquired Bagamoyo jumbo flake graphite project 125 kilometres by road from Dar es Salaam port will also be tested.
Following the company’s announcement last month that it had an option agreement over the project, a composite sample of our Bagamoyo graphitic rock is being prepared for flake characterisation and preliminary flotation testwork.
Core samples from Bagamoyo are expected in December, when drilling is planned at the central lode.
The metallurgical program is expected to be completed by late next month, about the same time as the expected Mahenge resource statement.
Bagamoyo covers over 1100 square kilometres, and hosts exceptionally coarse flake graphite - which Black Rock said was typically 2-7mm flake with >10mm flake observed.
The graphite is mapped in outcrop and float rock over a 1-kilometre strike area, with four additional outcrops uncovered over a 7-kilometre area.
Exploration success
Start-up of metallurgical testwork on Black Rock material follows immediately on the publication of new drilling assays at Ulanzi that returned 73 metres at 10.25% total graphitic carbon (TGC), including 20 metres at 14.58% TGC; and 72 metres at 9.43% TGC, including 18 metres at 13.18% TGC.
Adding interest, many holes have contained significantly higher grade intervals of 12% to 17% TGC.
Last month assays included 54 metres at 9.8% TGC, 52 metres at 8.95% TGC and 70 metres at 9.5% TGC.
Mineralisation remains open to the north and south, and to date no holes have tested the eastern or hanging wall side of the mineralised structure, so upside potential exists to widen overall widths of mineralisation.
The results are interpreted as confirming the potential of Ulanzi to be the company’s most prized development area.
An exploration target for the broader Mahenge property has been established at between 84 million tonnes to 115 million tonnes at 8.66% to 10.34% TGC.
Analysis
Black Rock’s move to begin metallurgical testing on its graphitic material is a significant step in the development of its assets and the potential commercialisation of any processed products in the future.
This is because the data to be gathered from the program is considered essential for fully understanding the attributes of the properties as well as for optimising process routes, concentrate quality and marketing strategies.
Along with an upcoming Mahenge resource statement, results from this work in December represent a possible price catalyst for Black Rock stock, which has enjoyed a 31% increase in value over the past two months with Mahenge exploration newsflow to its latest price of A$0.055.
Black Rock has also demonstrated investor support last month with a A$5 million capital raising for Mahenge, which exceeded the initial target of $4 million due to strong interest on the back of drill hits grading as high as 17.7% TGC.
Work to better understand Bagamoyo is also an important step forward for Black Rock as the project represents significant coarse flake graphite production potential over a flat lying to shallow dipping zone of mineralisation on relatively flat ground.
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