Celsius doubles mineral resource at Opuwo cobalt-copper project
- Updated Indicated and Inferred Mineral Resource at Opuwo doubles to 225.5 million tonnes, grading 0.12% cobalt, 0.43% copper and 0.54% zinc.
- 259,000 tonnes of contained cobalt demonstrates potential for Opuwo to be a significant future supplier of cobalt into the battery market.
- 970,000 tonnes of contained copper anticipated to enhance the viability of the project given current and forecast copper prices.
- Mineral Resource update is key part of the technical and commercial re-evaluation of the Company’s Opuwo cobalt-copper project.
Celsius Resources is pleased to announce it has revised upwards, by more than double, the Mineral Resource estimate at its Opuwo Cobalt-Copper Project in Namibia.
The updated Mineral Resource estimate is based on all drilling completed by Celsius at Opuwo and comprises 225.5 million tonnes at a grade of 0.12% cobalt, 0.43% copper, and 0.54% zinc (refer Table 1).
The Mineral Resource estimate represents contained cobalt of 259,000 tonnes and contained copper of 970,000 tonnes and is classified as:
- 45.3 million tonnes at a grade of 0.11% cobalt, 0.44% copper and 0.51% zinc in the Indicated category, and a further
- 180.2 million tonnes at a grade of 0.12% cobalt, 0.43% copper and 0.55% zinc in the Inferred category.
“This new JORC Mineral Resource for Celsius Resources’ Opuwo Project demonstrates the scale of this significant asset,” said Celsius Chairman Martin Buckingham.
“With the “next wave” of demand for battery minerals almost upon us, and with cobalt continuing to be a significant component in most battery types, the Opuwo project represents a potential, stable cobalt source from a non-conflict country, which could be globally significant.
“This deposit’s contained copper of 970,000 tonnes also represents material upside to the projects potential value proposition.
“The Company plans to assess ways to advance the project in parallel with our flagship Copper-Gold assets in the Philippines.”
Resource modelling and estimation has been completed by independent consultants, Mining Plus Pty Ltd, and has involved the creation of a comprehensive 3D geological model of the mineralised Dolostone Ore Formation (DOF unit), which hosts the Co-Cu-Zn mineralisation at Opuwo.
The Mineral Resource estimate covers a zone of approximately 13.5km length, with mineralisation remaining open in northerly, westerly and easterly directions, and includes the large anticlinal structure of the NW Extension as detailed in the ASX Announcements of 7 January 2019 and 18 March 2019.
As a result of the inclusion of this area the new Mineral Resource is almost double the previous Mineral Resource Estimate of 112.4 million tonnes at 0.11% Co, 0.41% Cu and 0.43% Zn (Indicated and Inferred categories; refer ASX Announcements 16 April 2018 and 13 June 2018).
The DOF unit has been traced in drilling and outcrop for over 15km with a key aspect of the DOF-hosted mineralisation being its extensive continuity and the consistency of mineralisation along strike and to depth.
Figure 1. Opuwo drilling with mineralisation wireframes and faults
To satisfy the Reasonable Prospects for Eventual Economic Extraction (RPEEE) criteria under the JORC code, preliminary evaluation of open pit and underground mining scenarios, including pit optimisation runs, have been completed to derive appropriate cut-off grades for mineralisation. At shallow depths the deposit can be exploited by open pit methods, however at depth, underground mining methods are required, resulting in two different cut-offs being applied based on which mining method is being used as detailed in Table 1.
Table 1: Opuwo Cobalt Project Mineral Resources
|Category||Mining Method||Cut-off (Co eq%)||Tonnage (Mt)||Cobalt (%)||Copper (%)||Zinc (%)||Contained Cobalt (t)|
* Note that minor rounding errors occur in this table
The Opuwo Cobalt Project is located in north-western Namibia, approximately 800 km by road from the capital Windhoek, and approximately 750 km from the port at Walvis Bay.