Renascor extends Project area at South Australian graphite project
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Renascor Resources has entered into a land access and option agreement that will permit the company to explore in, and potentially purchase the land around its Siviour graphite project in South Australia.
The area in question includes the northwestern extension of the Siviour inferred resource and other areas immediately along-strike of the existing mineral resource.
Notably, recent drilling to the immediate south of the northwestern zone has included assays that are amongst thickest and highest-grade intersections to date within the project area – with results of 36m at 8.5% Total Graphitic Carbon (TGC) from 34m and 32m at 5.3% TGC from 27m.
Renascor Resources (ASX:RNU) considers the northwestern extension area to offer similar potential for thick, high-grade graphite and an opportunity to further extend the current pit design in future staged expansions to Siviour’s production capacity.
“Siviour is already one of the largest graphite deposits in the world, with the current Mineral Resource offering the potential to produce up to 150,000 tonnes of graphite flake concentrates per year in a staged development over a 40-year mine-life,” MD said.
“The agreement announced today helps further secure the project’s long-term future as a Tier 1 graphite project capable of significant growth to respond to the increasing demand for Purified Spherical Graphite for lithium-ion batteries.”
Renascor will now seek to increase the size and improve the confidence level of the Siviour Mineral Resource within this northwestern area to support potential increases in production capacity beyond production levels being considered in its optimised Battery Anode Material Study.
Pending drill rig availability and final regulatory approvals, Renascor expects to commence drilling in the current quarter.
This article was developed in collaboration with Renascor Resources Limited, 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.