Giyani Provides K.Hill Project Exploration Update
Not for distribution to U.S. newswire services or for dissemination in the United States
TORONTO, Aug. 19, 2021 (GLOBE NEWSWIRE) — Giyani Metals Corp. (TSXV:EMM, GR:A2DUU8) (“Giyani” or the “Company“), developer of the K.Hill manganese project (“K.Hill Project”) in Botswana, is pleased to provide an update on its exploration programs at the K.Hill Project as part of its feasibility study (“FS”) work, as well as ongoing exploration at its southern extension (“K.Hill Extension”) and the Otse manganese prospect (“Otse”).
- K.Hill Project FS infill drill program has resulted in the discovery of a new mineralized horizon (“B Horizon”) located below the main ore body, which is being assessed for inclusion into the upcoming mineral resource and reserve statement.
- The revised K.Hill Extension drill program completed 26 reverse circulation (“RC”) drill holes for a total of 1,803m. This program has also intersected a significant new mineralized horizon, which will be further explored with follow-up diamond drilling.
- The induced polarization (“IP”) survey at Otse has identified several geophysical anomalies, which will define target locations for a 3,000m drilling campaign, which will commence shortly.
K.Hill Project FS Infill Drilling
Results from the K.Hill Project FS infill drilling program, designed to upgrade the current inferred mineral resource to an indicated mineral resource and mineral reserve status, has confirmed the discovery of a new mineralized horizon, named the B Horizon. The B Horizon has not been included in any previous resource estimates for K.Hill Project and the Company is analysing the data with its technical consultants with respect to its inclusion into the upcoming resource and reserve statement for the K.Hill Project.
K.Hill Extension Exploration
To the south of the K.Hill Project deposit, 26 RC exploration holes have been provisionally completed, subject to deepening of two holes which initially finished in mineralized shale. The program was revised from the planned 32 RC holes as evidence obtained from drill locations early in the program identified footwall units, allowing the team to discard some of the planned locations and to drill other more prospective areas. This campaign is part of a step-out program targeting a southwards continuation of the K.Hill Project gravity signature defined in earlier geophysical surveying. A total of 383 drill samples have been shipped to SGS for assaying thus far, which is currently expected to be completed by the end of the third quarter of 2021. Another batch of samples is currently being prepared and will be shipped to SGS in August 2021.
The drilling revealed a new mineralized horizon, which seems to be similar in character to the Otse deposit. Approximately 30m and 35m of visual, medium to high grade mineralization was intersected at approximately 30m and 25m depths, in holes RCKH21_110 and RCKH21_115, respectively. Such significant mineralization was not expected at these depths and so the Company will undertake a two-hole diamond drilling program to confirm the orientation and structure of the orebody.
The existing drilling contractors will remain on site to undertake the new program, which is expected to take around four weeks and to be completed during the fourth quarter 2021.
The IP survey was conducted over an area of approximately 50 hectares, focusing on two areas surrounding historical pits in the southern portion of the prospect. The survey’s objective was to detect manganese oxide mineralization below overburden material and define drill targets, following prior geophysical surveys highlighting several anomalies indicating potential mineralization.
The field work for the survey has been completed and the consultant will deliver the results and accompanying report at the end of the third quarter 2021. Initial results show IP anomalies clearly corresponding to high grade mineralization. Targets identified will be followed up with a drilling campaign of around 3,000m, to commence in the fourth quarter 2021.
Otse is located approximately 40km east of the K.Hill Project.
Robin Birchall, CEO of the Company, commented:
“The exploration work at the K.Hill Project, the K.Hill Extension and Otse has exceeded our early expectations. The discovery of the B Horizon at K.Hill Project, and the newly identified mineralized horizon at the K.Hill Extension have the potential to add material tonnage to our existing resource base of 1.7 million tonnes for the wider K.Hill Project, increasing project life and ultimately enhancing the NPV.
At the K.Hill Project, the B Horizon has been identified below the existing deposit and work has commenced to estimate size and grade. No resources for the B Horizon have been included in our estimations for the K.Hill deposit to date.
Meanwhile, our drilling campaign at the K.Hill Extension, south of the main orebody, has confirmed the discovery of a significant new mineralized structure, which is bigger and thicker than anticipated. The K.Hill Extension is also not currently included in the existing K.Hill Project resource or the FS. If confirmed, this could also be a material addition to the resources previously discussed in our PEA, along with the B Horizon.
Furthermore, the Otse project, 40km to the east of the K.Hill Project, continues to look exciting and we hope the upcoming drilling campaign will confirm a material new resource, any production from which could be trucked to our proposed K.Hill Project processing plant.”
Giyani is a mineral resource company focused on becoming one of Africa’s first low-carbon producers of high-purity electrolytic manganese precursor materials, used by battery manufacturers for the expanding electric vehicle market, through the advancement of its manganese assets in the Kanye Basin in south-eastern Botswana, (the “Kanye Basin Prospects”) through its wholly-owned Botswana subsidiary Menzi Battery (Pty) Limited. The Company’s Kanye Basin Prospects consist of 10 prospecting licenses and include the past producing Kgwakgwe Hill mine and project, referred to as the K.Hill Project, the Otse manganese prospect and the Lobatse manganese prospect, both of which have seen historical mining activities.
The Company is currently undertaking a feasibility study on the K.Hill Project, following an updated preliminary assessment report announced on 12 April 2021 with a post-tax NPV of USD332 million and post-tax IRR of 80%, based on a development plan to produce around 891,000 tonnes of high-purity manganese sulphate monohydrate over a 10 year project life.
Additional information and corporate documents may be found on www.sedar.com and on Giyani Metals Corp. website at https://giyanimetals.com/.
NI 43-101 Disclosures
Mr. Luhann Theron, MSc., Pr.Sci.Nat. 400184/15, of Lambda Tau is registered with the SACNASP. Mr. Theron is currently at site and is a qualified person, as defined by National Instrument 43-101. Mr. Theron is the Chief Geologist for the Company and has reviewed and approved the scientific and technical content contained in this press release but is not independent for the purposes of NI 43-101.
About Lambda Tau
Lambda Tau Botswana is a locally based geological services and exploration consulting services provider, offering services across Southern Africa. For more information visit https://www.lambdatau.co.za
On behalf of the Board of Directors of Giyani Metals Corp.
Robin Birchall, CEO
Robin Birchall CEO, Director
+44 7711 313019
Corporate Secretary and Investor Relations
+1 416 453 8818
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Forward Looking Information
This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. All statements in this news release, other than statements of historical fact, that address events or developments that Giyani expects to occur, are “forward-looking statements”. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “does not expect”, “plans”, “anticipates”, “does not anticipate”, “believes”, “intends”, “estimates”, “projects”, “potential”, “scheduled”, “forecast”, “budget” and similar expressions, or that events or conditions “will”, “would”, “may”, “could”, “should” or “might” occur. Specific forward-looking statements and forward-looking information herein includes completion of receipt of TSXV approval for the private placement and completion of the private placement.
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Forward-looking information is subject to a variety of known and unknown risks, uncertainties and other factors which could cause actual events or results to differ from those expressed or implied by the forward-looking information, including, without limitation: inherent exploration hazards and risks; risks related to exploration and development of natural resource properties; uncertainty in Giyani’s ability to obtain funding; commodity price fluctuations; recent market events and conditions; risks related to the uncertainty of mineral resource calculations and the inclusion of inferred mineral resources in economic estimation; risks in how the world-wide economic and social impact of COVID-19 is managed; risks related to governmental regulations; risks related to obtaining necessary licenses and permits; risks related to their business being subject to environmental laws and regulations; risks related to their mineral properties being subject to prior unregistered agreements, transfers, or claims and other defects in title; risks relating to competition from larger companies with greater financial and technical resources; risks relating to the inability to meet financial obligations under agreements to which they are a party; ability to recruit and retain qualified personnel; and risks related to their directors and officers becoming associated with other natural resource companies which may give rise to conflicts of interests. This list is not exhaustive of the factors that may affect Giyani’s forward-looking information. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information or statements.
Giyani’s forward-looking information is based on the reasonable beliefs, expectations and opinions of their respective management on the date the statements are made, and Giyani does not assume any obligation to update forward looking information if circumstances or management’s beliefs, expectations or opinions change, except as required by law. For the reasons set forth above, investors should not place undue reliance on forward-looking information. For a complete discussion with respect to Giyani and risks associated with forward-looking information and forward-looking statements, please refer to Giyani’s Annual Information Form, all of which are filed on SEDAR at www.sedar.com.