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TORONTO, March 30, 2022 (GLOBE NEWSWIRE) — Giyani Metals Corp. (TSXV:EMM, GR:A2DUU8) (“Giyani” or the “Company“), developer of the K.Hill manganese oxide project (“K.Hill Project”) in Botswana, is pleased to announce progress on its demonstration plant (“Demo Plant”) and feasibility study (“FS”) for the K.Hill Project, and on exploration and corporate activities.
- Order placed for first long-lead item for the construction of the Demo Plant, designed to produce high purity manganese sulphate monohydrate (“HPMSM”) crystals for delivery to potential battery materials customers for product qualification.
- Plant design and process flowsheet under final review, allowing project parameters to be finalized for completion of the FS.
- Infill drilling at southerly extension of the K.Hill Project (“K.Hill Extension”) ongoing with 18 reverse circulation (“RC”) drill holes completed.
- Appointment of VP Project Development & Construction and new Country Manager, Botswana.
Demo Plant and FS Update
With the design of the process flowsheet under final review, the Company has placed an order for one crystalliser unit of the Demo Plant. The crystalliser unit is the largest and longest lead item of the Demo Plant and delivery of the unit is currently scheduled for Q4 2022. Construction and commissioning of the Demo Plant will be undertaken in South Africa before it will be transported to the K.Hill Project site in Botswana. First shipment of product samples to potential customers is now anticipated in 2023.
The Demo Plant development has three key objectives: to demonstrate that the HPMSM product specifications can be achieved based on the process flowsheet developed for the K.Hill Project; to provide product samples to potential buyers for their supply chain testing and product qualification process; and to de-risk the commercial plant development by using the Demo Plant for optimisation of the ongoing process engineering work and as a training facility.
By focusing on achievement of the highest possible HPMSM product specifications, Giyani can establish itself as a premium supplier to the growing battery market. Once commissioned, the Demo Plant will be capable of producing approximately 600kg per day of HPMSM crystals for delivery to potential customers for product testing.
The Company now has the confidence in the metallurgical testwork completed to date and the stage of development of the process flowsheet, to allow its engineering consultants to be able to move towards completion and publication of the FS. The confirmation of plant design will allow project parameters to be settled, including operating and capital expenditure, and the Company is optimistic that the FS can be released in Q3 2022.
To date, 18 RC drill holes have been completed as part of the infill drilling program at K.Hill Extension for a total of 1,690 m. The total program is expected to be approximately 55 RC drill holes and 10 diamond drill core holes for a total of approximately 7,150 m of drilling.
The objective of the program is to determine the correlation between the southern mineralized horizons and the northern resource horizons and to convert the majority of Inferred Resources in the K.Hill Extension to Indicated Resources. These Indicated Resources could be incorporated into an optimised mine development plan for the K.Hill Project.
Appointment of VP Project Development & Construction and Country Manager, Botswana
As the Company is already planning the construction phase for the K.Hill Project, it has appointed Mr. Dirk Geerligs as VP Project Development & Construction. Mr Geerligs is a civil engineer and has over 20 years’ experience in construction and project delivery of mining and industrial projects globally. He has been a consultant to Giyani since May 2021 and will join the Company on a full-time basis effective April 4, 2022.
As the Company expands its footprint in Botswana it has taken the opportunity to appoint a full time country manager to direct its activities and expanding employee base in country. Elisa Davis, a Botswana national and a geology graduate from University of Leicester in the United Kingdom, with mining and operational experience both nationally and internationally, will join the Company on a full-time basis effective April 19, 2022.
Robin Birchall, CEO of the Company, commented:
“Thanks to the tireless efforts of our technical team and project consultants, our work on the process flowsheet is nearly complete and so we can move ahead at pace with both the Demo Plant and the FS. The Company is currently working with multiple potential buyers, who have expressed a desire to receive samples as soon as available and our confidence in the metallurgical testwork to date is such that we have made a commitment to construction of the Demo Plant prior to final flowsheet review.
With the plant design at finalization, we are able to complete the last outstanding technical and economic components of the FS. It has been a meticulous process, demonstrating the high barriers to entry that exist to producing a high purity battery-grade chemical from manganese ore, but we are fully focused on completion and release of the study as soon as possible. In parallel, our work on the ground is aiming to grow the project through further delineation of both K.Hill Extension and our Otse prospect.
As we move towards breaking ground on the K.Hill Project, we are delighted to bring Dirk and Elisa into the Giyani management team. Dirk has been a consultant for Giyani for some time, but his skills have become essential as we advance towards engineering, permitting and construction. Elisa’s expertise will enhance the Company’s in-country capabilities as it continues to engage with state and local government, agencies and other stakeholders to permit and construct a mine at K.Hill.”
Giyani is a mineral resource company focused on becoming one of Africa’s first low-carbon producers of high-purity manganese sulphate precursor materials, used by battery manufacturers for the expanding electric vehicle market, through the advancement of its manganese assets in the Kanye Basin in south-eastern Botswana, (the “Kanye Basin Prospects”) through its wholly-owned Botswana subsidiary Menzi Battery (Pty) Limited. The Company’s Kanye Basin Prospects consist of 10 prospecting licenses and include the past producing Kgwakgwe Hill mine and project, referred to as the K.Hill Project, the Otse manganese prospect and the Lobatse manganese prospect, both of which have seen historical mining activities.
The Company is currently undertaking a feasibility study on the K.Hill Project, following an updated preliminary assessment report announced on April 12, 2021 with a post-tax NPV of USD332 million and post-tax IRR of 80%, based on a development plan to produce around 891,000 tonnes of HPMSM over a 10 year project life.
The Company will publish its year end 2021 audited Financial Statements, 2021 Annual Information Form and updated 43-101 Technical Report on www.sedar.com during the course of this week. Additional information and corporate documents may be found on www.sedar.com and on Giyani Metals Corp. website at https://giyanimetals.com/.
Qualified Persons / NI 43-101 Disclosures
Mr. Luhann Theron, MSc., Pr.Sci.Nat. 400184/15, of Lambda Tau is registered with the SACNASP. Mr. Theron is currently at site and is a qualified person, as defined by National Instrument 43-101. Mr. Theron is the Chief Geologist for the Company and has reviewed and approved the scientific and technical content contained in this press release but is not independent for the purposes of NI 43-101.
About Lambda Tau
Lambda Tau Botswana is a locally based geological services and exploration consulting services provider, offering services across Southern Africa. For more information visit https://www.lambdatau.co.za.
On behalf of the Board of Directors of Giyani Metals Corp.
Robin Birchall, CEO
Robin Birchall CEO, Director
+44 7711 313019
VP Business Development
+44 7866 591 897
+1 416 453 8818
Neither the TSX Venture Exchange (the “TSXV”) nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.
The securities described herein have not been registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or any state securities laws, and accordingly, may not be offered or sold to, or for the account or benefit of, persons in the United States or “U.S. persons,” as such term is defined in Regulation S promulgated under the U.S. Securities Act (“U.S. Persons”), except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities requirements or pursuant to exemptions therefrom. This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the Company’s securities to, or for the account of benefit of, persons in the United States or U.S. Persons.
Forward Looking Information
This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. All statements in this news release, other than statements of historical fact, that address events or developments that Giyani expects to occur, are “forward-looking statements”. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “does not expect”, “plans”, “anticipates”, “does not anticipate”, “believes”, “intends”, “estimates”, “projects”, “potential”, “scheduled”, “forecast”, “budget” and similar expressions, or that events or conditions “will”, “would”, “may”, “could”, “should” or “might” occur. Specific forward-looking statements and forward-looking information herein includes completion of receipt of TSXV approval for the private placement and completion of the private placement.
All such forward-looking statements are based on the opinions and estimates of the relevant management as of the date such statements are made and are subject to certain assumptions, important risk factors and uncertainties, many of which are beyond Giyani’s ability to control or predict. Forward-looking statements are necessarily based on estimates and assumptions that are inherently subject to known and unknown risks, uncertainties and other factors that may cause actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. In the case of Giyani, these facts include their anticipated operations in future periods, planned exploration and development of its properties, and plans related to its business and other matters that may occur in the future. This information relates to analyses and other information that is based on expectations of future performance and planned work programs.
Forward-looking information is subject to a variety of known and unknown risks, uncertainties and other factors which could cause actual events or results to differ from those expressed or implied by the forward-looking information, including, without limitation: inherent exploration hazards and risks; risks related to exploration and development of natural resource properties; uncertainty in Giyani’s ability to obtain funding; commodity price fluctuations; recent market events and conditions; risks related to the uncertainty of mineral resource calculations and the inclusion of inferred mineral resources in economic estimation; risks in how the world-wide economic and social impact of COVID-19 is managed; risks related to governmental regulations; risks related to obtaining necessary licenses and permits; risks related to their business being subject to environmental laws and regulations; risks related to their mineral properties being subject to prior unregistered agreements, transfers, or claims and other defects in title; risks relating to competition from larger companies with greater financial and technical resources; risks relating to the inability to meet financial obligations under agreements to which they are a party; ability to recruit and retain qualified personnel; and risks related to their directors and officers becoming associated with other natural resource companies which may give rise to conflicts of interests. This list is not exhaustive of the factors that may affect Giyani’s forward-looking information. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information or statements.
Giyani’s forward-looking information is based on the reasonable beliefs, expectations and opinions of their respective management on the date the statements are made, and Giyani does not assume any obligation to update forward looking information if circumstances or management’s beliefs, expectations or opinions change, except as required by law. For the reasons set forth above, investors should not place undue reliance on forward-looking information. For a complete discussion with respect to Giyani and risks associated with forward-looking information and forward-looking statements, please refer to Giyani’s Annual Information Form, all of which are filed on SEDAR at www.sedar.com.
Giyani Announces Progress on Demonstration Plant and Feasibility Study, The Canadian Business Journal Source link Giyani Announces Progress on Demonstration Plant and Feasibility Study, The Canadian Business Journal