Initial Resource Estimate At Pitombeiras North And Goela

TargetsJangada Mines plc (‘Jangada’ or ‘the Company’), a natural resources company, is pleased to report its initial National Instrument 43-101 (‘NI 43-101’) compliant resource estimate for its 100%-owned Pitombeiras Vanadium Project (‘Pitombeiras’ or ‘the Project’), Ceara State, Brazil. The initial resource estimate is derived from the 2019 and 2020 exploration and diamond drilling programmes executed at the Pitombeiras North and Goela targets, which are part of the eight identified ground magnetic priority anomalies associated with vanadium titanomagnetite mineralisation (‘VTM’) signature.

Highlights:

·    Total Resource estimate of 5.70Mt million tonnes at an average grade of 0.51% vanadium pentoxide (‘V2O5’), 10.09% titanium dioxide (‘TiO2’) and 50.42% of ferric oxide (‘Fe2O3’) for a contained resource of 28,990 tonnes V2O5

·   Indicated Resource estimate of 1.47 million tonnes at an average grade of 0.50% V2O5, 9.85 % TiO2 and 49.78% of Fe2O3 for a contained resource of 7,297 tonnes V2O5

·   Inferred Resource estimate of 4.23 million tonnes at an average of 0.51% V2O5, 10.17% TiO2 and 50.64% of Fe2O3 for a contained resource of 21,693 tonnes V2O5

·    Mineralisation at or near surface with significant further upside as resource remains open in all directions and to date only two out of eight known targets have been drilled

·    Additional 2,000 metres step out and infill drilling planned to commence in September 2020 for resource expansion and upgrade at Pitombeiras North and Goela targets whilst also targeting Pitombeiras South

·    Preliminary Economic Assessment to be completed following completion of drilling extension with targeted release Q1 2021

·    Company fully funded for above two initiatives

Brian McMaster, Executive Chairman of Jangada, said: “A lot has been accomplished in the less than two years since we identified this vanadium, titanium, iron project. Jangada is in the midst of unearthing an exciting opportunity and we are literally at the beginning of this journey. Given the excellent results that have been achieved to date and the extent of the remaining untested targets it is clear to see that Pitombeiras offers significant value uplift potential.  With further drilling due to commence in September to increase the size and the categorisation of the resource, and a PEA to be completed on finalisation of this to include these enhanced results, there is a lot still to come on this story and we look forward to sharing it with you in the weeks and months ahead.”

The total Resource estimate has been compiled only from the drilling done to date.  As announced on 2 March 2020, Jangada was required to suspend part of its drilling programme due to the Covid-19 pandemic, having completed only 1,360 metres from a planned 2,500 metre programme.  Given the strength of the results of the drilling conducted to date, Jangada now intends to conduct a further 2,000 metre drilling programme as infill and step out drilling for the Pitombeiras North and Goela targets, whilst also targeting the Pitombeiras South target (see Figure 1 for target locations).

The follow-on 2,000 metre drilling programme is planned to increase the overall size of the resource at these targets, as well as improve the resource categorisation of the results.  The rationale for this approach is that, given the mineralisation at these tested targets is at or near surface and the strength and consistency of the grades, enhancing the inputs into the economic model contained in the Preliminary Economic Assessment (‘PEA’) is prudent before announcing the results.  The objective of this drilling programme is to potentially delineate a further approximately 10 million tonnes at these targets.  Drilling is expected to commence in September 2020 and be completed by mid-December 2020.  Assay results will be sought and announced throughout the drilling.

Jangada notes also that the resource remains open in all directions and to date, the drilling and assay results that are feeding into the PEA are based on two out of eight known targets selected based on ground magnetic survey, using N-S oriented lines with spacing between lines ranging from 25 to 100 meters for  total of 129.79 linear kilometres, covering an area of 1,068.89 hectares.

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