Savannah intersects broad zones of pegmatite at Portugal lithium project

JOHANNESBURG (miningweekly.com) – Exploration firm Savannah Resources has completed 16 reverse circulation drill holes at its Mina do Barroso lithium project, all of which intersected pegmatite.

The company will now sharpen its focus on three primary target areas – Grandao, Reservatorio and NOA.

At Grandao, seven holes for 565 m have been completed over a 200 m strike with pegmatite widths of 15 m to 27 m intersected. Savannah reports that drilling has confirmed a large sub horizontal body could be present.

At Reservatorio, seven holes for 605 m have been completed over a 400 m strike with pegmatite widths of 15 m to 39 m intersected. Drilling confirmed the potential for good down-dip extension of at least 80 m.

Drilling has not yet started at NOA.

"We are delighted that our maiden drill programme in Portugal has successfully extended the strike and depth extents of known pegmatites at the Reservatorio and Grandao deposits. Crucially, both deposits remain open along strike and down dip, and drilling is yet to commence on our third target area, NOA,” Savannah CEO David Archer said on Thursday.

All three targets are located on the key Mina do Barroso tenement, which has 21 years left to run on its 30-year mining licence, meaning that with a defined Joint Ore Reserve Committee-compliant resource a development decision could be made by the end of 2018, he added.

Savannah, which is listed on the Aim, also operates a heavy mineral sands project in Mozambique in collaboration with Rio Tinto and has an interest in two copper blocks in Oman.