Any doubts that BlackEarth’s Maniry project is a significant graphite resource have been erased after drilling returned more high-grade hits at the Razafy Northwest zone.

Final assays from the recently completed drilling program have confirmed that known mineralisation within the ‘Razafy Domain’ stretches along strike for more than 5km as well as the high-grade nature of the mineralisation.

Top intersections from the Razafy Northwest zone, which is part of the broader Razafy Domain, include 32.9m grading 9.7% total graphitic content (TGC) from surface, 29.7m at 8.4% TGC and 23.2m at 8.6% TGC.

BlackEarth Minerals (ASX:BEM) adds that Razafy Northwest now extends over 1.2km and remains highly prospective to the north, south and east.

Work is now underway to define resources at Razafy Northwest, which is expected to add significant material size and grade to the company’s overall inventory of defined high-grade graphite at Maniry.

“The confirmation of high-grade mineralisation at Razafy Northwest has further expanded the footprint of the overall Razafy domain,” managing director Tom Revy said.

“Given the grades and widths returned and the fact that this mineralised area is open north, south, east and at depth the board remains of the view that this area has the potential to significantly further bolster the value of the Maniry Graphite Project.

“This region has seen massive international investment over the last 1–5 years and we strongly believe this particular part of Southern Madagascar will evolve to become a globally significant supplier of graphite to the alternative energy sectors and EV markets in the future.”

Drill results and the Maniry graphite project

Along with previous drill results at Razafy Northwest such as 32.7m at 16.3% TGC from 5m including 15.3m at 25.2% TGC, this highlights the potential to increase the overall grade of the Maniry resource.

This is significant as increasing grades will increase the already attractive net present value (NPV) and internal rate of return (IRR) – both measures of a project’s profitability – for Mainry.

Under the 2019 scoping study, Mainry has estimated before tax NPV of US$103m and IRR of 42% based on a feed grade of 6.2%.

This climbs rapidly to US$201m and 68% at a 8.2% grade and $299m and 94% at a grade of 10.2%.

How far Maniry’s resource grade will become clearer later this quarter when an updated resource is due, which will in turn feed into the definitive feasibility study due next year.




This article was developed in collaboration with Blackearth Minerals, a Stockhead advertiser at the time of publishing.


This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.