Norge Mining announces mineral resource estimate for Øygrei area

Highlights

• Maiden mineral resource estimate of 1.55 billion t, containing mean grades of 1.74% phosphorus pentoxide (P₂0₅), 4.95% titanium dioxide (TiO₂) and 0.07% vanadium pentoxide (V₂O₅).
• This is a world-class resource of EU Critical Raw Materials, defined as materials of strategic importance for the European economy but for which the EU currently relies on imported supply, and could potentially support a mine life in excess of 50 years.
• Exploration work at Øygrei is ongoing with the aim of improving the understanding of, and extending, the mineral resource.
• During the past 2 years, Norge Mining has completed more than 25 000 m of drilling throughout the Bjerkreim Exploration Project, building on earlier work by the Norway Geological Survey (NGU). The company expects to report a maiden mineral resource estimate for the Høyland area in the coming months following analysis of information collected from ongoing drilling in that area.
• The mineral resource estimate at Øygrei was prepared according to the JORC reporting standard by SRK Exploration Services Ltd, part of the SRK Group, which is an independent international mining, exploration and environmental consultant.

John Vergopoulos, CEO of Norge Mining, said: “The publication of this mineral resource estimate marks a major milestone for Norge Mining. It confirms that Øygrei alone, which forms a small part of our Bjerkreim Exploration Project, contains a world-class deposit of vanadium, titanium and phosphate. These three minerals are all on the EU’s list of Critical Raw Materials, giving Norway a major opportunity to play a pivotal strategic role in the future supply of these materials.

“Exploration work is ongoing to upgrade and extend the resource at Øygrei, which is just 10 km² of our total licence area. We are carrying out extensive exploration work in other areas of the Bjerkreim project and expect to announce further mineral resource estimates in the coming months.”

Exploration target

Norge Mining’s exploration work at Øygrei is ongoing to upgrade and extend the resource. Given the work to extend the resource, SRK has delineated an exploration target, also as defined by the JORC Code, of between 1 and 2 billion t of mineralisation with similar grades to that already reported (between 1.5 and 2% P₂O₅, 4.5 and 5.5% TiO₂ and 0.05 and 0.09% V₂O₅).

This exploration target is based on the assumed continuity of the mineralised layers at Øygrei to the northwest and at depth and has yet to be confirmed by drilling albeit that there is surface geology to support this and the mineralisation drilled to date remains open in these directions. It should be noted that the exploration target potential tonnage and grade estimates are conceptual in nature, that there has been insufficient exploration to estimate a mineral resource and that it is uncertain if further exploration will result in the estimation of a mineral resource.

Next steps

Exploration work at Øygrei is ongoing with a substantial, planned programme of 14 000 m of additional drilling. Data from this drilling work will be used to upgrade and extend the resource and also to provide information for a scoping study, which is expected to begin shortly, to give an initial financial appraisal of the development of Øygrei. The drilling work and scoping study are expected to be completed this year. Norge Mining is also carrying out ongoing exploration work elsewhere in the Bjerkreim Exploration Project.

Read the article online at: https://www.globalminingreview.com/exploration-development/17022021/norge-mining-announces-mineral-resource-estimate-for-ygrei-area/