REG - Aterian PLC - Rio Tinto Earn-In JV Update, Rwanda

AterianAnnouncement

14/05/2024 07:00

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RNS Number : 2137O  Aterian PLC  14 May 2024

14 May 2024

 

Operational Update:

Rio Tinto Earn-In JV Update, Rwanda

 

Aterian Plc

("Aterian" or the "Company")

 

Aterian Plc (LSE: ATN), the critical metal-focused exploration and development
company, is pleased to provide a Q1/2024 operational update on work being
conducted on the HCK Project in the Republic of Rwanda ("Rwanda"), which is
under the management of Rio Tinto Mining and Exploration Ltd ("Rio Tinto").

 

Rio Tinto, through a lithium-focused Earn-In Investment and Joint Venture
Agreement ("Agreement"), has the option to invest US$7.5 million in two stages
to earn up to a 75% interest in the HCK Project to explore for minerals vital
for a successful energy transition to renewable energy. Rio Tinto is currently
six months into Stage 1 of the Agreement.

 

Highlights:

·      Drill programme planning is commencing on schedule, with drilling
expected to commence in early Q3/2024.

·      Mechanical augers soil sampling completed multiple high-priority
in-fill targets with a total of 2,274 samples collected during Q1/2024, with
results currently pending.

·      The structural and geological interpretation from the Q4/2023
mapping programmes has been completed and will be used for drill planning over
the main HCK-1 pegmatite target zone and other areas of interest on the
licence.

·      Final structural interpretations from the ground magnetic survey
completed.

·      Engagement with earthworks contractors to cost and time schedule
drill pad preparation and drill site access upgrades.

Rio Tinto's operational field teams have collected 277 rock chip surface
samples from several mapping campaigns over the licence and 3,029 soil
geochemical samples. These assay results are pending. Soil sampling has most
recently focused on tighter in-fill control over 10 selected priority areas.
This work is supported by the completion and interpretation of ground magnetic
and radiometric geophysical surveys and geological mapping. Planning for the
initial drilling campaign is well underway, with site access and drill pad
preparatory work expected to start in June.

 

Charles Bray, Chairman of Aterian, commented:

 

"I am very pleased to provide this update and report on the significant
progress achieved from the various workstreams conducted on the HCK Project by
Rio Tinto. They have so far covered the whole licence area with multiple
geological and geophysical methods, and indications of the preliminary
analysis look very encouraging. Over the next months, drilling preparatory
ground works will begin, followed by the first holes drilled on the Project.

 

"We look forward to updating the market on our continued exploration effort
across the Company's portfolio, in addition to the work being conducted by Rio
Tinto in Rwanda, as we continue to focus on developing the critical energy
transition metal opportunities in both Morocco and Botswana."

 

The HCK Project

Aterian has a joint venture with HCK Mining Company Limited, a private and
non-related Rwandan registered entity, over the 2,750-hectare exploration
licence in southern Rwanda. Aterian holds a 70% interest in Kinunga Mining
Limited, the licence holder, with HCK Mining Company Limited having a 30%
interest.

 

The licence is located approximately 65 km southwest of Kigali and 20 km
northwest of Huye, within the Southern Province, straddling the Nyanza and
Huye District boundaries.

 

Rio Tinto has the option to invest US$7.5 million in two stages to earn up to
a 75% interest in the HCK Project to explore for minerals vital for a
successful energy transition to renewable energy.

·      Stage 1 exploration expenditures of US$3 million over a period of
up to two years to earn a 51% interest in the Licence.

·      Stage 2 exploration expenditures of US$4.5 million over a
follow-on period of up to three years to earn a further 24% interest in the
Licence, taking Rio Tinto's interest in the Licence to 75%.

Currently, Rio Tinto is six months into Stage 1.

Qualified Person

The technical disclosure in this regulatory announcement has been approved by
Simon Rollason, Chief Executive Officer of Aterian Plc. He is a graduate of
the University of the Witwatersrand in Geology (Hons) and a Member of the
Institute of Materials, Minerals and Mining, with over 30 years of experience
in mineral exploration and mining.

 

 

- ENDS -

 

This announcement contains information which, prior to its disclosure, was
inside information as stipulated under Regulation 11 of the Market Abuse
(Amendment) (EU Exit) Regulations 2019/310 (as amended).

 

For further information, please visit the Company's website:
www.aterianplc.com (http://www.aterianplc.com) or contact:

 

Aterian Plc:

Charles Bray, Executive Chairman - charles.bray@aterianplc.com
(mailto:charles.bray@aterianplc.com)

Simon Rollason, Director - simon.rollason@aterianplc.com
(mailto:simon.rollason@aterianplc.com)

 

Financial Adviser and Joint Broker:

Novum Securities Limited

David Coffman / George Duxberry

Colin Rowbury

Tel: +44 (0)207 399 9400

 

Joint Broker:

SP Angel Corporate Finance LLP

Ewan Leggat / Kasia Brzozowska

Tel: +44 20 3470 0470

 

Financial PR:

Bold Voodoo - ben@baldvoodoo.com

Ben Kilbey

Tel: +44 (0)7811 209 344

Notes to Editors:

About Aterian plc

www.aterianplc.com (http://www.aterianplc.com)

 

Aterian plc is an LSE-listed exploration and development company with a
diversified African portfolio of critical metals projects.

Aterian plc is actively seeking to acquire and develop new critical metal
resources to strengthen its existing asset base whilst supporting ethical and
sustainable supply chains as the world transitions to a sustainable, renewable
future. The supply of these metals is vital for the development of the
renewable energy, automotive and electronic manufacturing sectors that are
playing an increasing role in reducing carbon emissions and meeting climate
ambitions globally.

 

The Company has entered into a joint venture agreement with Rio Tinto Mining
and Exploration Limited for Rio Tinto to earn into the HCK project in
southern Rwanda and holds two further partnerships in Rwanda exploring and
developing lithium-tantalum-niobium-tin mining operations. Aterian currently
holds a portfolio of multiple copper-silver and base metal projects in the
Kingdom of Morocco, with a total area of 897 km(2). In January 2024, the
Company announced the acquisition of a 90% interest in Atlantis Metals. This
private Botswana registered company holds seven mineral prospecting licences
for copper-silver in the Kalahari Copperbelt and three for lithium brine
exploration in the Makgadikgadi Pans region. The total licence area in
Botswana is 4,486 km(2).

 

The Company's strategy is to seek new exploration and production opportunities
across the African continent and to develop new sources of critical mineral
assets for exploration, development, and trading.

 

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