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Completion of Second Exploration Drill Hole

RNS Number : 8572U
African Potash Ltd
21 October 2014
 

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African Potash Limited / Index: AIM / Epic: AFPO / Sector: Mining

21 October 2014

African Potash Limited ('African Potash' or 'the Company')
Completion of Second Exploration Drill Hole

 

African Potash, the AIM listed company focused on sub-Saharan potash assets, is pleased to announce the successful completion and intersection of multiple potash seams at its second exploration drill hole at its Lac Dinga Potash Project in the Republic of Congo ('Lac Dinga' or 'the Project').  This latest drill hole was completed at one of two target locations delineated from seismic data at Lac Dinga and to have successfully intersected potash mineralisation.

 

Highlights:

 

·     LDDH_002 intersected a 112m thick salt sequence

·     The salt sequence includes multiple potash seams totalling about 48m which represents 43% of the total interval

·     The salt sequence in LDDH_002 confirms laterally extensive salt and potash mineralisation which is characteristic of the Congolese costal basin - further underpins the Project's potential to host a significant commercial deposit

·     The salt sequence intersected in LDDH_002 shows internal similarity to that of LDDH_001 and suggest laterally extensive potash horizons at shallow depth

·     About 250km2 of the licence area is interpreted to be underlain by salt-bearing strata and to occur at a depth of about 300m to 420m below surface

 

African Potash CEO, Edward Marlow, said, "The successful intersection of multiple potash seams at Lac Dinga from our first two hole exploration drill programme is an exceptional  endorsement for our exploration concept and supports our confidence that the Project has the potential to host a large-scale commercial potash mine.  This is an initial indicator for the wider resource potential of Lac Dinga and we can now move forward with confidence and plan further exploration activities in order to continue to prove-up the tangible value of the Project.  I look forward to providing shareholders with further news over the coming weeks regarding the analysis of the potash mineralisation and our future development programmes at Lac Dinga."

 

Further Information

 

The second of two exploratory drill holes that African Potash sited, based on the interpretation of approximately 415 line kilometres of 2D oil industry seismic data, has now been successfully completed (Figure 1).  The objective for the maiden drilling programme was to test the interpreted locations for the presence of the prospective salt sequence and for the development of high-grade sylvite (KCl) within the carnallite [KMgCl3x6(H2O)] bearing layers.  

 

LDDH_002 was drilled in the central part of the Project area near the basin margin where a potash-bearing salt sequence was interpreted to be located over an intra-basin high and below a uniformly developed anhydrite layer at the top of the salt.  The seismic data indicated a laterally flat to moderately undulating and undisturbed salt horizon (Figure 2) throughout the target area.

 

LDDH_002 was stopped at a depth of 460m and intersected as predicted the salt sequence at about 346m below surface.  Immediately above the salt is a 6m thick impermeable layer of anhydrite and clay. The base of the salt is at 458m below surface and is underlain by siltstone and dolomite.

 

The salt sequence measures about 112m and is composed of three salt cycles that are separated by two 5-10m thick layers of claystone (inset Figure 2).  The salt sequences contain a cumulative thickness of  48m of potash beds which represent about 43% of the total interval (inset Figure 2).  The salt sequence and potash mineralisation is similar to that intersected in LDDH_001, and this provides a very positive indication of the lateral extent and therefore potential for potash mineralisation with the Company's Lac Dinga permit.

 

No analytical results are available as yet as the core awaits processing and sampling. However, the down-hole natural gamma profile (inset Figure 2) confirms observations from geological logging of multiple thick (up to 11m thick) potash beds.  The mineralogy of the potash beds cannot be confirmed at present.  It is possible that the beds consist of carnallitite and +/-sylvinite, however the quantification of each mineral can only be determined after reviewing the results of chemical analysis and the results of crystallographic studies which are currently underway.

 

Figure 1: Location of Lac Dinga Project and LDDH_002 drill hole location.

 

Figure 2: Geological interpretation of seismic line CK_88_24 and location of LDDH_002 (cf. Figure 1). Inset shows an enlargement of the salt sequence and its internal layering and corresponding gamma profile.

 

Competent Person Statement:

 

Scientific or technical information in this release has been prepared by Dr Simon Dorling of CSA Global Pty Ltd, African Potash's geological consultant.  Dr Simon Dorling is a member of the Australasian Institute of Geoscientists (MAIG) and has sufficient experience which is relevant to the style of mineralisation under consideration and to the activity which they are 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" (the JORC Code).  Dr Simon Dorling consents to the inclusion in this report of the Information, in the form and context in which it appears.

 

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For further information visit www.africanpotash.com or contact the following:

Ed Marlow

African Potash Limited

+44 (0) 20 7408 9200      

Stewart Dickson (Corporate Finance)

Cantor Fitzgerald Europe

+44 (0) 20 7894 7000      

David Foreman (Corporate Finance)

Cantor Fitzgerald Europe

+44 (0) 20 7894 7000      

Jeremy Stephenson (Corporate Broking)

Cantor Fitzgerald Europe

+44 (0) 20 7894 7000      

Richard Greenfield

GMP Securities Europe LLP

+44 (0) 20 7647 2836      

Susie Geliher

St Brides Media & Finance Ltd

+44 (0) 20 7236 1177      

Charlotte Heap

St Brides Media & Finance Ltd

+44 (0) 20 7236 1177      

 

About African Potash

 

African Potash was established to invest in/acquire potash assets or projects in sub-Saharan Africa. The Directors believe the fundamentals of the global potash market, a key source of potassium fertiliser, represent a compelling opportunity to create shareholder value.

 

The Company is currently focused on the Lac Dinga Project in the Republic of Congo and has a highly experienced Board with a proven track record in identifying, operating and developing resource projects in Africa.

 

 


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