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Rainbow Rare Earths - Kiyenzi Drilling Data

RNS Number : 4318U
Rainbow Rare Earths Limited
25 November 2019
 

 

25 November 2019

Rainbow Rare Earths Limited

("Rainbow" or the "Company")

(LSE: RBW)

 

Kiyenzi Drilling Data 

 

Rainbow Rare Earths Ltd, the Rare Earth Element ("REE") mining company, is pleased to provide the following update on its exploration and mine development programme.

Highlights

- 2 borehole samples analysed - including sections of 13.87m @4.85% Total Rare Earth Oxides ("TREO") and 11.64m @ 3.86% TREO

- Additional drill cores amounting to more than 1,000m sent for analysis to enable rapid evaluation and formulation of comprehensive Mineral Resource Statement

 

Kiyenzi drilling history

Rainbow has historically focused on the areas of Gasagwe and Murambi for its production of Rare Earth Elements from Burundi.

During 2018 the Company undertook a drilling campaign at Kiyenzi. This campaign followed on from an exploration programme comprising a ground gravity survey and trenching. In total 30 core holes were drilled, for a total of 1,428m. Drilling was relatively shallow - with the exception of one hole which was drilled to a depth of 150m, all the other holes averaged a depth of just 44m. Drilling was carried out on a loose 25m grid.

In October 2019, Rainbow commenced with the shipment and evaluation of the remaining Kiyenzi cores in order to generate a comprehensive dataset which would enable Rainbow to produce an updated, robust and code-compliant Mineral Resource Estimate currently being undertaken by CSA Global.

The first two diamond core holes, 29 and 31, have been analysed and show continuous mineralisation from first mineralisation strike (both of which were at shallow depths):

·    Hole 29 from 17.70m to 38.32 m for a mineralised section of 20.62m at an average grade of 3.45%.  including the following sections (shown at % TREO):

o 0.20m @ 45.79%

o 1.32m @ 4.99%

o 0.17m @ 30.47%

o 0.15m @ 33.11%

o [email protected] 26.52%

o 0.17m @ 19.10%

o 0.22m @ 13.7%

o 0.12m @ 23.29%

 

Excluding a section of the core of 6.75m which graded 0.58%, implies an average grade for the remaining 13.87m of 4.85%.

·    Hole 31 from 12.45m to 48.90m for a mineralised section of 36.45m at an average grade of 1.63%, with selected sections grading as follows:

o 0.38m @ 10.96%

o 0.42m @ 9.13%

o 1.05m @ 3.05%

o 0.30m @ 11.41%

o 0.27m @ 11.78%

o 0.70m @ 4.51%

o 0.90m @ 3.34%

o 0.90m @ 3.15%

o 0.17m @ 13.62%

o 0.14m @15.39%

 

Excluding a section of the core of 24.81m which graded 0.58%, implies an average grade for the remaining 11.64m of 3.86%.

Commenting on the results, Rainbow CEO George Bennett said: "With the historical data we have and these encouraging results, I am optimistic that the remaining drill core will yield equally good results, ensuring we have multiple future mining areas giving us mining flexibility while maintaining our record of one of the highest grading REE mines on the continent."

**ENDS**

For further information, please contact

Rainbow Rare Earths Ltd

Company

George Bennett

Jim Wynn

+27 82 652 8526

+44 (0) 20 3910 4551

 

SP Angel Corporate Finance LLP

Joint Broker

Ewan Leggat

Charlie Bouverat

+44 (0) 20 3470 0470

Turner Pope Investments

Joint Broker

Andy Thacker

Zoe Alexander

+44 (0) 20 3657 0050

St Brides Partners Ltd

IR and PR

Priit Piip

+44 (0) 20 7236 1177

 

Notes to Editors:

Rainbow's focus is the Gakara Project in Burundi, one of the highest-grade (47%-67% Total Rare Earth Oxide) rare earths projects globally and the only African producer.

 

The Company began production of rare earth concentrates in Q4 2017 and has a ten-year distribution and offtake agreement with multinational ThyssenKrupp Materials Trading secured for the sale of at least 5,000tpa of concentrate produced.

 

The Gakara basket is weighted heavily towards the magnet rare earths, including neodymium and praseodymium, which are driving demand and account for 70% of annual global REE sales due to their use in vital components in motors, generators, wind turbines, and electric vehicles.


This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [email protected] or visit www.rns.com.
 
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