- First assay results released, company moves forward on technical phase
- Results show grades of 56.6 per cent aluminium oxide and 2.25 per cent silicone
- Lindian owns 51 per cent interest in the project and is able to increase to 75 per cent interest.
Lindian Resources has reported the first pass assay results at its Guinea Bauxite Project, as part of the process in the newly purchased mine.
Twenty-seven samples collected on site showed an average grade of 56.6 aluminium oxide and 2.25 silicone.
Lindian purchased 51 of the project in April, from KB Bauxite Guinea SARLU and shareholder Guinea Bauxite.
The company reports the results as to complete the technical due diligence phase. Lindian is to pay $US1 million over the next two years, for site purchase with options of increasing interest to 75 available.
Lindian Resources Director Steve Formica described the assay results as ‘very compelling’.
“We will provide a more comprehensive update very soon on progress in Guinea as well as report on the excellent progress we are now making in Tanzania with our drilling program,” he said.
The project is located 64 kilometres from Sangaredi Railway and 155 kilometres from deep water Kamsar Port. Lindian cited infrastructure as a compelling key to purchasing the project, providing ease of shipping bulk ore.
Guinea accounts for roughly 40 per cent of global bauxite reserves. Mining accounts for over 70 per cent of the country’s exports.
The company dropped 7.69 per cent in the ASX today, cutting shares from 1.3 cents down to 1.2 cents in a market cap of $5.236 million.
