IronRidge Resources brings in SRK for exploration in Gabon
IronRidge Resources (LON:IRR) has hired well known mining consultants SRK for early stage exploration on its Gabon projects. It expects work to begin by the start of next month (June).
SRK has extensive global experience of completing resource estimates for iron ore projects around the world, particularly in West Africa, noted the firm.
It is also expert in metallurgy and mineral processing, geotechnical studies, environmental and social studies, mine development and waste management.
Its key staff in Gabon are French speaking and familiar with local working conditions and experienced at dealing with the Gabonese government at all levels.
SRK is currently managing exploration for the administration at the giant Belinga project, estimated to contain more than 1bn tonnes at 62% Fe and which lies just on the northern boundary of IronRidge’s project at Belinga Sud in Northern Gabon, IronRidge told investors.
Last month, the firm said at Belinga, preliminary field studies had confirmed the existence of a high-grade hematite cap with iron grades of up to 66.8% iron.
The firm has cash of £8.2mln to fund further exploration at its Belinga and Tchibanga projects, where, at the latter, gravity data has already identified 21 targets.
IronRidge chief executive Vincent Mascolo said today: "The appointment of SRK is the result of a rigorous process to ensure that both the best exploration methodology is applied, and value for monies invested is achieved.
"We look forward to working closely with SRK as we progress in Gabon."
House broker SP Angel said: "An exploration budget of US$12.8m has been set to conduct exploration at both the Tchibanga and Belinga projects with a 10,000m drilling programme planned at Tchibanga."
It noted that SRK, which did the CPR (competent person’s report) for the IPO, have assessed the value of the iron ore projects to be US$38.1mln or around £25mln based on a probability model on future cash flows at Tchibanga and Belinga with the majority of the value (75%) being assigned to Tchibanga.
"With SRK Exploration Services now appointed to implement the exploration programmes at Tchibanga and Belinga Sud, we look forward to news flow from these projects as they progress."
IronRidge shares were unchanged at 5.25p.
Khephren FANGA