Uranex (ASX:UNX) has intersected wide zones of graphite at its Nachu Graphite Project in Tanzania with mineralisation beginning at or near surface.
Notably, the NARC057 drill hole contains over 140 metres of graphitic mineralisation, highlighting the value of the project.
It also supports the company signing earlier this month a Memorandum of Understanding for state-owned China National Materials Industry Import and Export Corporation to offtake 100,000 tonnes of graphite per annum for five years.
This includes an option to extend for a further five years.
Significant graphitic mineralisation has been intersected in all holes drilled to date with graphite confirmed at depths beyond 220 metres.
A 150 line kilometre electromagnetic survey is nearing completion with initial results correlating well with previous studies and identified drill targets.
Two rigs are currently drilling holes for the current program, which will allow the company to declare a maiden JORC Resource by November this year. A third rig will arrive in the near future.
Drilling will include both reverse circulation and diamond drilling and will include deeper hole analysis to confirm graphitic mineralisation at depth using closer spaced holes in accordance to JORC requirements.
Uranex had earlier this month signed a Memorandum of Understanding for state-owned China National Materials Industry Import and Export Corporation to offtake 100,000 tonnes of graphite per annum for five years with an option to extend for a further 5 years.
Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.