Bushveld updates Vametco mineral resources

The AIM-traded firm said total ore reserves as of 31 December had increased by 10% compared to the previous estimate, totaling 293,400 tonnes vanadium oxide in magnetite at a grade of 2% percent vanadium oxide.

It said the combined inferred and indicated mineral resource, comprising three sams - lower, intermediate and upper - stood at 180.4 million tonnes at an average grade of 1.98% vanadium oxide, with an average magnetite content of 35%.

Within that, the ore reserve in the probable category for the three seams was reported at 51 million tonnes at an average grade of 2% percent vanadium oxide, with an average magnetite content of 28.9%.

The lower seam - the primary ore seam and the thickest - had a probable reserve of 41.2 million tonnes at an average grade of 2.03% vanadium oxide.

Bushveld said the decrease in the total 2023 mineral resource, by 0.61% fewer tonnes compared to the 2022 estimate, was due to mining activities over the last 12 months, with no mineral resource exploration carried out during the period.

The year-on-year depletion of 1.1 million tonnes was offset by an increase in tonnage through improved definition of the existing pit design and an adjustment to modifying factors, resulting in an increase in total ore reserves from 46.4 million tonnes to 51.0 million tonnes as of 31 December.

That adjustment was based on pit-to-plant reconciliation production data supplied by Bushveld Vametco Alloys, leading to a significant increase in upper seam ore tonnes.

At 1452 BST, shares in Bushveld Minerals were down 42.22% at 0.65p.

Reporting by Josh White for Sharecast.com.