Bushveld Minerals Limited (AIM: BMN), a diversified mineral development company with projects in Africa, today announces that, following the announcement on 6 November 2015 to acquire the Brits Vanadium Project for US$600,000 (six hundred thousand dollars) (the “Acquisition”), that in addition to the ZAR6,000,000 (six million rands) already paid, the Company will issue 7,000,000 (seven million) Bushveld ordinary shares to Sable Metal and Minerals Limited in respect of the remaining approximately ZAR3,000,000 (three million rands) consideration payable in connection with the Acquisition.
The acquisition of the Brits Project complements Bushveld’s strategy to consolidate quality vanadium resources on the Bushveld Complex and develop brownfield processing opportunities for its vanadium platform. The acquired project is adjacent to Vametco Alloys’ operation (primary vanadium mining and processing operation) and is known, from historical exploration undertaken, to have excellent vanadium mineralisation with some of the highest V2O5 grades encountered in the entire Bushveld Complex. Grades of up to 2.4% V2O5 were reported from magnetite concentrate from disseminated and massive magnetite bands close to the lower contact of the Upper Zone of the Complex. An exploration programme to confirm and supplement earlier work, and thereby quantify the resource and grade distribution patterns, is planned and will include geochemical soil sampling, geophysical data interpretation and the drilling of an estimated 20 boreholes. This phase of exploration will ultimately lead to the preparation of a JORC compliant resource. The project area is proximal to very good road and rail infrastructure and several other potential processing facilities.