LONDON (ShareCast) - (Sharecast News) - Africa-focussed natural resources investment company Armadale Capital announced "exceptionally high" purity results from ongoing metallurgical test work on diamond drill core from its wholly-owned Mahenge Liandu Graphite Project in Tanzania on Thursday.
The AIM-traded firm said the results, which included 96.8% for jumbo size graphite flakes, 97.1% for large and 97.1% for medium flake sizes, "comfortably" exceeded the 95% average used in the scoping study, and were in line with the "exceptional" graphite quality sourced from the Mahenge region in Tanzania.

It said the results confirmed that premium quality, high-value graphite concentrates could be produced from the Mahenge Liandu deposit.

Prices for premium purity graphite concentrates of at least 95% were said to be "materially higher" than the standard grade of 95% or lower.

Further optimisation work was said to be ongoing at the Bureau Veritas metallurgical laboratory in Perth, Western Australia.

This board said the test work formed part of its ongoing definitive feasibility study into a high-value 400,000 tonnes per annum graphite operation at Mahenge, with a 32-year mine life.

"As we move to gain greater traction with prospective Chinese off-take and project finance partners, it is extremely pleasing to verify high-purity graphite concentrates can be consistently produced from the Mahenge Liandu project," said Armadale Capital director Nick Johansen.

"The ability to deliver a premium product to fast-growing end markets such as lithium-ion batteries clearly enhances the project's overall economics at a time when we are steadily progressing from explorer to emerging producer.

"The board looks forward to further updating shareholders as progress executing the business plan in the lead up to the definitive feasibility study being finalised towards year end."

Email this article to a friend

or share it with one of these popular networks:

• DIGG
• FACEBOOK
• STUMBLEUPON
• MIXX
• YAHOO BUZZ
• DELICIOUS
• REDDIT
• NEWSVINE