Mahenge Liandu Graphite Project

Armadale owns a 100% interest in the Mahenge Liandu Graphite Project in south-east Tanzania

 
 
Overview

Armadale acquired a 100% interest Mahenge Liandu in July 2016.

The Project is located in a highly prospective region in south-east Tanzania, with a high-grade JORC compliant Inferred mineral resource estimate of 51.1Mt @ 9.3% TGC including 38.8Mt which is classified as Indicated. This resource establishes Mahenge Liandu as one of the largest high-grade projects in Tanzania, and work to date has demonstrated Mahenge Liandu’s potential as a commercially viable deposit.

Social and environmental studies are underway, marking the first step in the application process for mining lease approvals from the Tanzanian Government and a scoping study is progressing and is anticipated for release by the end of Q1 2018.

Regional Geology

Regionally, the Mahenge Liandu Project area is within the Usagaran (Mozambique belt) Neoproterozoic system which principally comprises high-grade (amphibolites-grade) metamorphic rocks of both sedimentary and igneous origin ranging from schists to gneisses, including marbles, amphibolites, graphitic schist, mica and kyanite schist, acid gneisses, hornblende, biotite and garnet gneisses, quartzite and granulites which are overlain by Cretaceous sedimentary rocks in the east and Karoo Sediments in south west.

Structural Geology

The prospect is within the Pan-African Mozambique Belt, which is the orogenic belt resulting from orogenic activities that happened during Neo Proterozoic times. The belt extends along the eastern border of Africa from Ethiopia, Kenya to Tanzania. The orogenic event resulted in a complex series of geological events and was later affected by the east African rift system. The belt consists of high-grade mid-crustal rocks with a Neoproterozoic metamorphic overprint. It is divided into the Western Granulite and Eastern Granulite. The deposit is situated in the Usagaran association, where a younger sequence of sedimentary rocks (Cretaceous) has been thrust over the older Western Granulite Complex

Local Geology

The local geological setting of the Liandu prospect is characterised by complex deformation and metamorphism. The rocks are dipping roughly east to north east with dips ranging from 30° to 80° (degrees). An interpretation of structural measurements from both the regional and local mapping suggests synformal folding plunging to the north, which has the original mapping by government geologists overlain with the more detailed 2015-2016 field mapping.

The main lithology in the area include medium to high-grade metamorphic rocks, predominately a graphitic mica schist and hornblende gneiss. Other lithologies include marbles, muscovite gneisses/granitic gneisses and amphibolites. The rocks are sometimes silicified and, in many cases, have retained their original sedimentary bedding properties.

Resource Update

The Mahenge Liandu Desposit was upgraded in accordance with the JORC 2012 compliant code in February 2018 to 51.1Mt @ 9.3% TGC using a 3.5% TGC lower cut-off. 75% of this resource is in indicated category. A summary of the Resource is shown in Table 1.

Table 1. Mahenge Liandu Resource Statement

 

Tonnage (Mt)

% Cut-Off TGC

Average %TGC

Inferred

12.4

3.5

9.1

Indicated

38.7

3.5

9.3

Measured

0

3.5

0

Total

51.1

3.5

9.3

Competent Person statement

The information in this Recourse estimate is based on information compiled by Mr Matt Bull, a competent person, who is a Member of the Australian Institute of Geoscientists. Mr Bull has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a competent person as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Bull consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.