January 17, 2020
Kazera Global plc
2019 Activities Review and Investee Company Operational Update
Kazera Global plc ("Kazera Global" or "the Company"), the AIM quoted investment company who, through its stake in African Tantalum (Pty) Limited ("Aftan"), has an interest in the Tantalite Valley Mine ("TVM " or the "Mine") in Namibia, is pleased to provide the following operational update ahead of the Company's AGM later today.
Highlights
Exploration Drill Programme
· Commenced Phase ll Drilling Program to continue the comprehensive understanding of the mineralisation on the property and to further identify the fundamental and future value of the operation
· Initial drilling of 600 meters in both Purple Haze and Homestead locations using a new drilling company, Adamas, a Namibian based drilling company that has more than 24 years' experience
· Adamas has commissioned the use of a second man carry rig which has enabled the Company to split the activities of each rig to ensure a more efficient and timely completion of Phase II of the drill programme
· Kazera has enlisted a third-party Namibian earth moving firm [EBC] with experience working in challenging mountainous terrain. This allows for all Phase II site preparations to be made before drillers arrive on site. The management of this is being coordinated with our JORC 2012 signatory, MSA Group
· The Company have contracted a third-party Namibian firm, Spes Bona, to manage the water needed for Phase II drilling. To date they have run more than 2 kilometres of piping from bore holes and installed several storage tanks.
Purple Haze and Homestead
· Purple Haze continues to show both Lithium and Tantalite mineralization in the physical core samples drilled
· During the later stages of Phase I and now during Phase II, the Company has been the first to drill virgin ground on the opposite side of the historical trench which is on the south eastern mountainous side
· Thus far each hole has intersected pegmatite as well as the continued visible signs of both Tantalite and Lithium in the same ore body
· Phase ll holes at Homestead also have intersected continued Pegmatites
Signalberg
· The Company intends to move one of the man-carry rigs to Signalberg having previously considered Signalberg to be out of reach due to the incline and terrain.
Water Management
In efforts to reduce diesel usage, the Company has endeavoured to utilize solar panels to power all water bore holes across the property. Additionally, the Company has installed a bulk diesel system directly at the village generator which enables the Company to have access to 50 days of energy supply from the generator and become much more energy and time efficient.
For further efficiency gains, the Company has now electronically measured all bore hole depths ensuring all solar pumps are the same depth and have installed a low-cost submersible pump at the main pump station. Kazera has maintained the original lister diesel engine as a backup system while reducing the everyday diesel consumption to our main pumping station.
Additionally, Kazera has installed water meters at each bore hole and pumping station in order to monitor water feeds daily. This assisted the Company in successfully passing a recent site visit by the Namibian Government's Geological Department who monitors water throughout all mines in Namibia.
Kazera Trading
As announced in the Company's Full Year Results in December, Kazera Global has registered Kazera Trading, in both Namibia and the UK, as a subsidiary to Kazera Global. Kazera Trading will function as an ore trading arm of the Company facilitating the global movement of resources such as tantalum, through leveraging the experience of Kazera's management within the supply chain. Initially, the Company will focus on the movement of Tantalite and Niobium products directly to the end user. Initial trades have already been agreed and the Company has a first small shipment out for approval in order for the end user to test the supply chain. The Company will provide further updates in due course.
Kazera has also recently signed exclusivity agreements with several EPL (Exploration Licensed) areas within Namibia with a focus to add tonnage to the existing TVM plant while establishing some level of artisanal supply from these sites.
Working Capital
The Company has the working capital necessary to complete the Phase II Drilling Programme and, in addition, expects to generate small revenue streams through Kazera Trading as initial shipments are sent to potential end user customers.
Larry Johnson, Chief Executive Officer of Kazera Global, said:
"Having now moved to the Mine permanently, I am delighted to now see operations progressing daily. Our first phase of drilling was a success and has given the Company the confidence to now proceed with a second phase; the first phase having only de-risked 30% of our over 450-hectare licence.
"We continue to communicate with global leaders and users of our products and are pleased to see more parties signing NDA's to view the mine and our operations.
"Furthermore, I am conscious to utilise the boards expertise and I am working to diversify us beyond the Mine by using it as a launch pad within Namibia to upgrade products while building a global supply chain through Kazera Trading.
"Finally, the continued support of our investors is not taken lightly and is appreciated as we remain committed to building value and growing the business. I look forward to updating shareholders further throughout 2020."
**ENDS**
Kazera Global plc (c/o Camarco) Larry Johnson (CEO) |
Tel: +44 (0)203 757 4980 |
finnCap (Nominated Adviser and Joint broker) Scott Mathieson / Anthony Adams (corporate finance) |
Tel: +44 (0)207 220 0500 |
Shore Capital (Joint broker) Jerry Keen (corporate broking) |
Tel: +44 (0)207 408 4090 |
Peterhouse Capital Limited Duncan Vasey / Lucy Williams |
Tel: +44 (0)207 220 9797 |
Camarco (PR) Gordon Poole / James Crothers / Monique Perks |
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