Bluejay Mining Plc ORD 0.01p (LON:JAY), the AIM and FSE listed company with projects in Greenland and Finland, has today announced that drilling, bulk sampling and feasibility and permitting programmes are now underway at the Pituffik Titanium Project in Greenland (‘Pituffik’ or the ‘Project’). These work streams all form part of the Company’s 2017 exploration work programme. To view the press release with the illustrative maps and diagrams please click here.
Overview of the Work Programmes:
· Drilling underway
o Focus is to expand and upgrade the current resource of 23.6Mt at 8.8% ilmenite, which is independently proven to be the highest-grade mineral sand ilmenite project globally
§ Emphasis is on validating the significant tonnage potential along the additional 25km of raised beach licence area not currently included in the resource as well as the existing resource (see Figure 5 in PDF).
o 35 holes completed within one week, in an extensive programme using sonic drilling to improve and extend the current resource.
§ To date ilmenite rich sediment has been observed in all drill samples, confirming the rich regional potential and extent of mineralisation across entire onshore 30km licence, areas of the raised beach remain open at depth due to only having 30m of drilling equipment on hand (see Figure 1 in PDF).
o Auger drilling completed to the east and west of Moriusaq and will move to Itelak shortly.
§ To date ilmenite rich sediment has been observed in all 35 holes drilled, further confirming the regional extent of mineralisation across entire onshore licence area.
· Proof-of-concept bulk sampling programme commenced – material to support ongoing offtake discussions.
o The first batch, containing 250 tonne ilmenite rich run-of-mine product, has been shipped from Pituffik.
o Based on visual estimates the ilmenite concentrations in the bulk sample are better than expected. (See Figure 2 in PDF)
o An additional 250 tonne bulk sample destined for separation to provide ilmenite concentrate for customer analysis purposes is now advanced and expected to be completed within a similar timeframe.
· Bathymetry survey underway to enable a robust assessment of shipping options
o Completion expected in Q3 2017.
o Designed to identify possible shipping channels both to and from Pituffik as well as optimal fixed-point mooring locations for Handymax sized bulk carriers adjacent to the Moriusaq area.
o Near shore surveying also completed for ship loading option study underway. (see Figure 3 in PDF)
· Orbicon Arctic A/S on track to complete the final baseline sampling programme for the Environmental Impact Assessment (‘EIA’) by end of August 2017 (See Figure 4 in PDF).
· Pre-consultation period for EIA and Social Impact Assessment (‘SIA’) studies now complete.
o All stakeholder comments (12 stakeholder responses in total) incorporated into final Terms of Reference (‘TOR’) and resubmitted to Government for final approval.
o Once TOR approval has been received, the Company will finalise the EIA as part of the exploitation licence application process. Both the EIA & SIA are advancing well.
· Feasibility study due for delivery H2 2017. Operational unit cost is low and project economics appear robust based on internal modelling.
· Successful analyst trip to site completed. The Company hosted several analysts and corporate advisors on site.
· Well-funded to maintain active development programme – current cash position of over £5.2 million with majority of work programmes prepaid.
Bluejay Mining Plc ORD 0.01p CEO Roderick McIllree said, “I am delighted to report that our 2017 work programme is now well advanced. With drilling started, bathymetry survey commenced, and licencing application modules such as the EIA, SIA & stakeholder engagement all progressing as stated earlier this year it was very pleasing to see the onsite team implementing and managing multiple work programmes in an efficient and effective manner.
“We have already proven that Pituffik is the highest-grade mineral sand ilmenite project globally. Now we are focussed on demonstrating the significant size of the asset, securing an off-take partner and defining a viable logistics solution to ship our premium quality ilmenite product, as we remain on track to commence commercial production in 2018.
“Despite having only recently commenced the onsite part of the work programmes, Pituffik continues to exceed our expectations, with early results already confirming the significant commercial potential of our Project. Indicative of this is the first hole drilled on the active beach area immediately east of the current resource limit, where we intersected what appears to be extremely high-grade ilmenite bearing material throughout the entire 5.5m hole depth. This is a remarkable outcome; it’s clear we have a project of unique and special value and I am convinced that the resource upgrade expected Q4 2017 / Q1 2018 will confirm Pituffik as being globally significant in terms of tonnage as well as maintaining its position as being the highest-grade project globally.
“I look forward to updating shareholders on permitting, off-take and customer acceptance developments alongside the recent technical breakthroughs being achieved in the metallurgical process and design of the operation, as well as several other longer lead items regarding creating value out of the existing portfolio of licences.”