Project Overview

The Ironveld Group has interests in Prospecting Rights in the Northern Limb of the Bushveld Complex north of Mokopane, South Africa. The Rights cover a group of seven adjacent farms, namely Cracouw, Harriets Wish, Aurora, Nonnenwerth and Kransplaats in the Capricorn District Municipality, and La Pucella and Altona in the Waterberg District Municipality, all in Limpopo Province.

In total, the Rights cover an area of 165 km2.  Ironveld intends to mine VTM as feedstock for its 15MW Smelter.


Ironveld Group - Prospecting Rights

Ironveld will mine its own VTM resource at approximately 2.4 million tons magnetite per annum as feedstock for the 15MW Smelter to produce 42,000 tons of High Purity Iron per annum, and Vanadium and Titanium products.
•Potential for vanadium and titanium by-products.
•28 kms of outcropping magnetite ore, 6.8 kms drilled to inferred resource.

Work Completed • Pre-feasibility Study published June 2013 • Definitive Feasibility Study published April 2014 • Exploration was done by MSA, and drilling was conducted by Geoserve. Assay work was done at Setpoint Laboratories and metallurgical testwork was done at Mintek. Current Activities • Getting the various statutory permissions in place • Applications sent through to the Department of Trade and Industry (DTI) for the 12I Tax Allowance (granted) and the Critical Infrastructure Programme (CIP) (awaiting approval)

It is intended that feasibility studies will be completed simultaneously with the exploration programmes in order to fast track project development.
Exploration will be outsourced to MSA, and drilling will be conducted by a suitable contractor. Assay work will be done at Setpoint Laboratories and metallurgical testwork will be outsourced to Mintek. In the course of 2012 the exploration will focus on the upgrading of the current Mineral Resource and the drilling to Inferred Mineral Resource of the balance of the properties. At the same time bulk samples will be taken from trenching and drill cores for metallurgical pilot scale testwork.
In the later part of 2012 and the first half of 2013 exploration will continue to upgrade the Mineral Resource over the most prospective part of the MML within the Ironveld Project area to a Measured Resource status.
The intention is to complete the Feasibility study in the course of 2013, with applications for mining licences to be made as and when required.

The first phase including desktop information review and was conducted between August and September 2011. This work involved the development of a geological model using published and unpublished geological, geochemical, geophysical and exploration data from Sylvania and its consultants Integrated Geological Solutions (Pty) Limited and published maps from geological institutions.

Phase two included field investigation and diamond drilling and has been conducted between September 2011 and March 2012. Initial field work was conducted to establish the chemical composition from an outcropping massive Ti-magnetite layer on the farm Nonnenwerth 421LR to confirm that the latter layer is the MML. The MML is generally characterized by high vanadium and relatively low titanium concentrations compared to other Ti-magnetite layers in the Upper Zone. The laboratory analysis from a chip sample from an outcropping Ti-magnetite layer in the northern portion of Nonnenwerth confirmed that the latter layer is the MML based on the relatively high V2O5 concentration of 1.28 per cent.

A diamond drill programme was then undertaken at intervals of 1000 m along strike with planned up- and down-dip intersection on each of the 7 drill fences/sections. Only the 18 holes drilled on Nonnenwerth have been included in the current Mineral Resource estimate while the remaining holes await detailed logging and sampling for geochemical analyses.

From the 18 boreholes drilled on Nonnenwerth, 14 intersected the targeted MML mineralisation and these results were used for the Mineral Resource estimation.

The current exploration programme has been subdivided into two phases and was undertaken between August 2011 and March 2012. The drill programme, which comprises phase two, is ongoing and follows a results-driven approach which is standard practice for early stage exploration projects.

A total of 2,477.69 m was drilled during the 2011-2012 drilling campaign in 38 diamond drillholes on the farms Cracouw, Nonnenwerth, La Pucella and Altona. Only the 18 holes drilled on Nonnenwerth were included in the Mineral Resource Estimate while the remaining holes await detailed logging and sampling for geochemical analyses.

Mineral Resource estimations on Nonnenwerth were undertaken on the MML down to a vertical depth of 120 m, at a 30% Fe cut-off for the combined northern and southern structural blocks. The Mineral Resource extends over a strike length of 6.8 km, is open-ended to the north and south and has been separately calculated for the massive Ti-magnetite layers i.e. MAG3, parting and MAG4 (= MML) and for the MML including the disseminated Ti-magnetite mineralisation in the footwall (= MML and FW).

MML Combined In-situ Inferred Mineral Resources
on Nonnenwerth <120 m at 30% Fe cut-off

Cut Off
Fe %
Million
Tonnes
SG
g/cm3
Fe
%
Fe2O3
%
Fe Metal
Mil Tons
TiO2
%
V2O5
%
SiO2
%
P2O5
%
S
%
30 21.69 4.03 42.5 60.8 9.22 13.1 1 11.1 0.01 0.10


MML and FW Combined In-situ Inferred Mineral Resources
on Nonnenwerth <120 m at 30% Fe cut-off

Cut Off
Fe %
Million
Tonnes
SG
g/cm3
Fe
%
Fe2O3
%
Fe Metal
Mil Tons
TiO2
%
V2O5
%
SiO2
%
P2O5
%
S
%
30 32.90 3.68 34.8 49.8 11.46 9.8 0.8 19.6 0.10 0.10




Project