Alba Mineral Resources plc has started its Phase 2 drilling programme to increase “substantially” the mineral resource at its Thule Black Sands (TBS) ilmenite project in northern Greenland.
The company’s subsidiary White Eagle Resources Ltd, which owns and operates the project, plans to drill 125 holes for up to 1,000 metres, and conduct a digital elevation model and bathymetry surveys.
Alba also reported that its transaction continued to progress for a Greenland IPO spin-out company New Listco.
PHASE 2
Drilling will focus on the higher-grade southern area delineated by Alba’s 2018 drilling campaign.
The holes will be drilled by sonic rig, which can penetrate permafrost, at an average depth of 8m spaced on a grid of 200m x 250m with fences placed midway (infilling) between the 2018 fences.
There will be some in-fill drilling within the 2018 fences to allow for resource estimation to greater depths.
The 2018 mineral resource estimate only averaged one metre in depth because the drilling was constrained by a permafrost layer.
ECONOMICS
Following a successful drill programme, White Eagle will begin conceptual or scoping level studies to assess the economic exploitation of the project.
The studies will incorporate the metallurgical test work in progress at IHC obbins’ Brisbane test facility, which will allow a relatively fast-track assessment.
INDEPENDENT ASSESSMENT
In June, Alba published an independent JORC exploration target for Thule.
This combines the North, Central and South areas of 70-300 million tonnes of material with a range of percentage of total heavy minerals (THM%) of 35-50%, a range of ilmenite grade (as a percentage of THM) of 12-22% and a range of in-situ ilmenite grade of 6-11%.
Alba added that, in accordance with the JORC Code (2012), the potential quantity and grade of the target was conceptual and will be partially tested in the current drilling programme.