REG - Gemfields Group Ltd - Nairoto - Maiden Mineral Resource Estimate

GemfieldsAnnouncement

06/06/2024 07:00

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RNS Number : 3121R  Gemfields Group Limited  06 June 2024

Incorporated in Guernsey. Guernsey registration Number: 47656

South African external company registration number 2009/012636/10

Share code on JSE: GML / AIM: GEM

ISIN: GG00BG0KTL52 | LEI: 21380017GAVXTCYS5R31

("Gemfields" or the "Company")

Nairoto Gold Project - Maiden Inferred Mineral Resource Estimate for "TL5" and
Independent Technical Report Released

LONDON, 6 JUNE 2024

Gemfields, a world-leading responsible miner and marketer of coloured
gemstones, is pleased to release a Maiden Inferred Mineral Resource Estimate
for Target Area 5 ("TL5") and an Independent Technical Report ("ITR") on the
2022/2023 Exploration Programme at its gold exploration project in Cabo
Delgado, northern Mozambique.

The project is housed within Nairoto Resources Limitada ("Nairoto") which is
75% owned by Gemfields and the analysis was conducted by SRK Exploration
Limited ("SRK EX") with the Inferred Mineral Estimate declared in line with
the JORC Code (2012).

Kartikeya Parikshya, Gemfields' Managing Director for Mozambique, commented:

"This is exciting initial and early stage news for our gold project in
northern Mozambique. An Inferred Mineral Resource Estimate for TL5, just one
of our target areas, infers noteworthy gold ("Au") deposits of 103 thousand
ounces averaging more than 2 grams per tonne and lying within 80 metres of
surface. Given we have yet to drill deeper in order to understand the depth
extension, these results are a good first step as we continue our exploration
to better understand both TL5 and our other target areas.

"All being well, we hope to provide an Indicated Mineral Resource for TL5 by
the end of the year. Work will also continue in other target areas with the
hope that they can follow TL5's lead and add to the Mineral Resource.

"It is worth raising that our gold project remains outside of our core focus
of responsibly mining and marketing coloured gemstones. Gold mining is not
part of Gemfields' long-term strategy and we will in due course, once we have
further understood the resource, look for a purchaser or suitable partner for
the project."

 

Nairoto - Maiden Inferred Mineral Resource Estimate results (TL5 Prospect
Area)

·    1.58 million tonnes of mineralised rock with a gold grade of 2.02
gram per tonne ("g/t") based on a 'Low Scenario' basis, resulting in 103
thousand ounces ("koz") of gold

·    The Mineral Resource is primary mineralisation, and not part of the
soil horizon, and requires professional mining and metallurgical processing
rather than an artisanal or 'dig and pan' approach for the recovery of gold

·    Inferred Mineral Estimate relates only to the TL5 Prospect Area,
covering less than 0.1 square kilometres of the full 1,957 square kilometre
licence area

·    Results are based on 20 Reverse Circulation ("RC") drillholes
totalling 1,464 metres (details of which are set out in the Appendix below)

                            Mineralised Rock (M Tonnes)  Au (g/t)  Au (koz)
 Fresh                      1.24                         2.07      83
     VEIN1                  1.18                         2.13      81
     VEIN2                  0.06                         0.83      2
 Oxide                      0.34                         1.86      20
     VEIN1                  0.23                         2.34      17
     VEIN2                  0.11                         0.82      3
 Inferred Mineral Resource  1.58                         2.02      103

 

SRK EX have identified 18 priority target locations, covering a 115 square
kilometre area, based on the results of extensive regional soil sampling in
conjunction with available geological and geophysical information. Nairoto
intends to prioritise exploration in these target areas.

 

The full ITR is available online at:
http://www.gemfieldsgroup.com/assets/cprs-mineral-resources-and-mineral-reserves/
(http://www.gemfieldsgroup.com/assets/cprs-mineral-resources-and-mineral-reserves/)
.

Background to Nairoto

Nairoto is a joint venture between Gemfields (75%) and Mwiriti Lda (25%), the
Group's existing partner in Montepuez Ruby Mine ("MRM").

Nairoto became fully functional in January 2020. Nairoto is the beneficial
owner of 12 licences located about 30 kilometres to the north of the MRM
concession, covering an area of 1,957 square kilometres. The licences hold
exploration potential for gold (both primary and secondary) as well as ruby
and allied minerals through a blend of prospecting and mining licences.

Nairoto requested SRK EX to undertake a review of its 2022/2023 exploration
programme and advise on the Mineral Assets of the 12 licences. SKR EX was also
requested to review the geological and exploration data for TL5 Prospect on
Mining Concession 9783C and which has resulted in the declaration of a maiden
Inferred Mineral Resource Estimate.

Mining Concession 9783C has a current expiry date of June 2044.

It should be noted that an Inferred Mineral Resource is not a Mineral Reserve
and does not demonstrate economic viability at this stage.

Competent Person Statement

Beyond SRK's external review, the technical information contained in this
announcement was reviewed by Jonathan Deane, Head of Geology for Nairoto, who
is a registered Natural Scientist with the South African Council for Natural
Scientific Professions ("SACNASP") in Geological Science.

Mr Deane has sufficient experience that is relevant to the style of
mineralisation and type of deposit under consideration and to the activity
being undertaken to qualify as a Competent     Person as defined for the
purposes of the JSE Listings Requirements and AIM Guidance Note on Mining and
Oil & Gas Companies dated June 2009.

Appendix: Drilling Results - RC drilling intersections (TL5 Prospect Area)

Based on all available assay results to date, 12 drillholes indicated Au
intersections. Reported assay results ranged from <0.01 to 25.50 g/t Au. A
total of 123 RC samples returned assay values greater than or equal to 1.00
g/t Au.

 Drillhole ID   From (m)       To (m)         Intersection
 TL5 RC001      39             44                            5 m            at 0.36 g/t Au
 TL5 RC002      29             45                            16 m           at 1.51 g/t Au
                                              including      6 m            at 2.68 g/t Au from 32 m
                62             67                            5 m            at 1.28 g/t Au
 TL5 RC003A     53             72                            19 m           at 1.75 g/t Au
                                              including      3 m            at 2.46 g/t Au from 53 m
                                              and            6 m            at 2.93 g/t Au from 65 m
 TL5 RC004      5              36                            31 m           at 6.47 g/t Au
                                              including      8 m            at 4.39 g/t Au from 5 m
                                              and            12 m           at 12.28 g/t Au from 21 m
 TL5 RC005      31             51                            20 m           at 3.21 g/t Au
                                              including      7 m            at 6.78 g/t Au from 43 m
 TL5 RC006      48             77                            29 m           at 2.90 g/t Au
                                              including      3 m            at 3.97 g/t Au from 48 m
                                              and            10 m           at 4.63 g/t Au from 56 m
 TL5 RC007      13             22                            9 m            at 3.81 g/t Au
                                              including      4 m            at 6.37 g/t Au from 15 m
 TL5 RC007A     22             35                            13 m           at 2.70 g/t Au
                                              including      5 m            at 4.21 g/t Au from 30 m
 TL5 RC008      40             60                            20 m           at 2.61 g/t Au
                                              including      2 m            at 7.13 g/t Au from 57 m
 TL5 RC010      20             23                            3 m            at 0.44 g/t Au
 TL5 RC018      37             43                            6 m            at 0.80 g/t Au
 TL5NRC001      11             14                            3 m            at 1.21 g/t Au
                25             40                            15 m           at 1.84 g/t Au
                                              including      6 m            at 3.36 g/t Au from 28 m
                45             55                            10 m           at 1.03 g/t Au (hole ended in mineralisation)
 Source: SRK EX, 2024. Notes: A cut-off grade of 0.3 g/t Au was used when
 identifying possible Au intersections

 

 

 

 

-ENDS-

 

 

Further information on Gemfields Group Limited can be found at:

 GEMFIELDSGROUP.COM (http://WWW.GEMFIELDSGROUP.COM)

 

To join our investor mailing list, contact us on:
ir@gemfields.com (mailto:ir@gemfields.com)

 

For any press enquiries please contact us on:
gemfields@camarco.co.uk (mailto:gemfields@camarco.co.uk)

 

 

 

 

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) no. 596/2014 which forms part of domestic UK
law pursuant to the European Union (withdrawal) act 2018 ("MAR").

 

 

 

 

 

 

 

 

ENQUIRIES

 

 

 GEMFIELDS            Sean Gilbertson / David Lovett / Ian Hughes

                      ir@gemfields.com (mailto:ir@gemfields.com)

T:  +44(0) 20 7518 3400
 SPONSOR (JSE)        Investec Bank Limited
 NOMINATED ADVISER    Liberum

(AIM) & BROKER
Scott Mathieson / John More / Anake Singh
                      T: +44(0) 20 3100 2222
 FINANCIAL PR/ IR     Camarco
                      Gordon Poole / Emily Hall / Charlie Dingwall

T: +44(0) 20 3757 4980

 

ADDITIONAL INFORMATION ON GEMFIELDS

 

Gemfields is a world-leading responsible miner and marketer of coloured
gemstones. Gemfields is the operator and 75% owner of both the Kagem emerald
mine in Zambia (believed to be the world's single largest producing emerald
mine) and the Montepuez ruby mine in Mozambique (one of the most significant
recently discovered ruby deposits in the world). In addition, Gemfields also
holds controlling interests in various other gemstone mining and prospecting
licences in Zambia, Mozambique, Ethiopia and Madagascar.

 

Gemfields' outright ownership of Fabergé - an iconic and prestigious brand of
exceptional heritage - enables Gemfields to optimise positioning, perception
and consumer awareness of coloured gemstones through Fabergé designs,
advancing the wider group's "mine and market" vision.

 

Gemfields has developed a proprietary grading system and a pioneering auction
platform to provide a consistent supply of coloured gemstones to downstream
markets, a key component of Gemfields' business model that has played an
important role in the growth of the global coloured gemstone sector.

 

 

GEMFIELDS

GEMFIELDS.COM (https://gemfields.com/) (https://gemfields.com/) | INVESTORS
(https://www.gemfieldsgroup.com/) (https://www.gemfieldsgroup.com/)
|FOUNDATION (https://www.gemfieldsfoundation.org/)

INSTAGRAM (https://www.instagram.com/gemfields/)
(https://www.instagram.com/gemfields/) | FACEBOOK
(https://www.facebook.com/Gemfields/) (https://www.facebook.com/Gemfields/) |
TWITTER (https://twitter.com/GemfieldsLtd?lang=en)
(https://twitter.com/GemfieldsLtd?lang=en) | YOUTUBE
(https://www.youtube.com/channel/UCArCE0JFtakTP-tHq6v0KVg)

 

FABERGÉ

FABERGÉ.COM (https://www.faberge.com/) | INSTAGRAM
(https://www.instagram.com/officialfaberge/)
(https://www.instagram.com/officialfaberge/) | FACEBOOK
(https://www.facebook.com/OfficialFaberge)
(https://www.facebook.com/OfficialFaberge) | TWITTER
(https://twitter.com/OfficialFaberge) (https://twitter.com/OfficialFaberge) |
YOUTUBE (https://www.youtube.com/user/officialfaberge)

 

KAGEM MINING LINKEDIN (https://www.linkedin.com/company/kagem-mining-ltd)

MONTEPUEZ RUBY MINING LINKEDIN
(https://www.linkedin.com/company/montepuez-ruby-mining)

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