Triton Minerals (ASX:TON) continues to progress work on its Ancuabe and Nicanda Hill graphite projects in Mozambique.
This follows the company signing a binding US$2 billion offtake agreement over 20 years with China’s Yichang Xincheng Graphite Co Ltd for its Mozambique graphite (TMG).
At Ancuabe, a 100 kilogram bulk sample is progressing through detailed metallurgical test work program at Mintek, Johannesburg.
This has already resulted in positive initial flotation results.
The company has also engaged Coastal and Environmental to produce an Environmental Impact Study while a mapping and sampling program is underway.
Preparations have also started for the initial drilling program.
Triton has also started preparations for the 2015 drilling season at its Nicanda Hill Project.
DRA Global is continuing with feasibility work, which remains on schedule.
In addition, talks are continuing with potential strategic partners for development of graphite and vanadium.
A revision of the resource model is underway to provide a more accurate basis for the Definitive Feasibility Study. Results of this are expected soon.
Managing director Brad Boyle said the progress on the two projects demonstrate just how quickly Triton is advancing them.
Ancuabe
Initial floatation results from the detailed metallurgical test work program being undertaken by Mintek has returned positive results.
For the Rougher Concentrate using an initial 850micron grind these positive results show:
- 97% graphite recovery;
- Head grade of 14.4%TGC;
- Flotation time of 9 minutes;
- Overall rougher concentrate grade of 80% TGC with a 17% rougher mass recovery; and
- First stage rougher concentrate grade of 87% TGC achieved without any cleaning flotation stages.
This data suggests that after the full suite of cleaning stages the concentrate should achieve >90%TGC whilst preserving and retaining a large proportion of large and jumbo flake size.
The company had previously noted that preliminary mineralogical work results had identified that about 85% of the graphite flakes are greater than 212μm in size while 60% of the flakes recovered from the crusher discharge range between 600μm and 3300μm (jumbo graphite flakes).
Triton believes that these results are encouraging and continues to support its belief that the Ancuabe project contains world class graphitic material.
Further metallurgical tests are underway on the Ancuabe samples and Triton expects to receive the final flotation results from Mintek in the coming weeks.
Coastal and Environmental Services has been engaged to produce an Environmental Impact Study at Ancuabe. It also manages the Nicanda Hill environmental program.
The company is carrying out a further mapping and sampling program.
Field preparations are also being made for the up-coming limited initial drill program at Ancuabe, which is expected will commence in May/June 2015.
The primary focus of this small drilling program is to confirm and test the extents of the graphite mineralised zones already identified by Triton.
Nicanda Hill
Field preparations have commenced for the 2015 drilling season that is due to begin during May.
This drilling campaign is designed to achieve the following objectives:
- Obtain representative metallurgical samples from within the optimised pit shell;
- Obtain samples for geotechnical studies;
- Limited infill resource drilling to obtain a proportion of measured resources; and
- Hydrological testing.
Yichang Xincheng Offtake
Triton confirmed the offtake agreement with YXGC is legally binding and will continue in full force and effect unless an additional formal offtake agreement is agreed and signed by the parties.
Should a more formal offtake agreement not be reached within 6-12 months following commencement of full production, the parties will in good faith negotiate a formal off-take agreement which will replace the Contract and incorporate any additional terms required to finalise the strategic relationship.
In addition, while the graphite concentrate will be traded at a minimum of US$1,000 per tonne, the companies will negotiate new terms should the global graphite market price fall below US$650 per tonne.
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