Aziana Limited (ASX:AZK) has opened an online data room to a third party that could joint venture develop its Manantenina Bauxite Project in Madagascar.
While under the radar to some investors, it shouldn't be as Manantenina offers a number of bauxite riches that a JV partner would salivate over.
Boasting a deposit to date of 10.09 million tonnes at Esama over 6.25 square kilometres, with available alumina of 30-45% and reactive silica of less than 2.5%.
There looks to be significant resource upside to boot, of 120-160 million tonnes which would be attractive to a partner to do the heavy financial lifting to develop a Direct Shipping Ore product from the project.
As is the case with many bauxite deposits, the Indonesian export ban of bauxite has re-heightened interest in Manantenina.
The project hails as the largest undeveloped Indian Ocean based bauxite deposit with an advantageous project location vs West African projects.
The discovery by Aziana of this new bauxite (gibbsite) occurrences over a defined area of over 90 square kilometres of its tenure will gain attention in the second half of 2014 as the Indonesian ban begins to bite.
So it will be with interest to see the progress with the third party running a ruler over Manantenina.
Antanisoa graphite project in Madagascar
The bauxite project alone is cause for optimism, but that is not the only quiver, as Aziana has a very interesting looking graphite project in Madagascar.
Antanisoa graphite license lies within two hours drive from Antananarivo.
Antanisoa boasts a 12.5 square kilometres holding in an area with a long history of graphite mining. Aziana has been busy and completed a methodical exploration program that confirmed extensive seams of graphitic carbon up to 10 metres in thickness and up to 25.7% Graphitic Carbon.
Which looks very promising for early exploration.
Pointing to how prospective Madagascar and the company's ground is, Aziana has identified further leases that are prospective for the discovery of high grade, large flake graphite.
Where to for Antanisoa?
Bring in a joint venture partner and acquire further highly prospective leases near Antananarivo.
Anosivola copper gold project in Madagascar
Which brings us to the Anosivola copper/gold/silver project.
Trenching over the shear zone has returned very high grades of copper, gold and silver mineralisation within the oxide horizon.
Surface trenches returned continuous channel intersections including sample results of 7.3 metres at 8.76% copper, 0.08g/t gold, and 10.72g/t silver.
So there is potential at Anosivola too.
In country drilling capacity in the country is challenging so it may need to bring in a rig or partner with another explorer to advance the Anosivola copper/gold project.
Even so drilling has shown extensive and intense hydrothermal alteration within the AEB.
One hole at the north end of the Bevomanga area intersected malachite bearing weathered gneiss from 2-12 metres and strongly quartz-epidote-chlorite-magnetite altered gneiss to total depth of 50 metres.
Initial Diamond Drilling has intersected 10.2 metres at 3.66% copper, 0.02 g/t gold, and 5.8 g/t silver from near surface at 1.85 metres at Bevomanga.
So there is potential there in spades.
An IP survey with follow-up dipole-dipole IP has highlighted eight potential primary sulphide anomalies lying from 70 to 150 m deep as targets for a further drilling campaign.
Louisiana oil and gas assets
Negotiations continue for the sale of Aziana's Louisiana oil and gas assets following an offer from a nearby producer. So far there is no formal offer document or term sheet.
A cash offer of $12.5 million was touted from a nearby operator who needs to secure the potential oil and gas reserves on Sleeping Tiger for his production platform. So far the buyer has been unable to complete a sale agreement or provide evidence of funds.
However, the leases are located in the Gulf of Mexico in shallow waters just three kilometres off the Louisiana coastline, an area exhibiting abundant infrastructure and substantial production. In addition, they are still considered highly prospective and attractive for new commercial developments. So the prospect of a sale seems good at some stage.
Analysis
Aziana is prudently laying off risk looking for a joint venture party for its Manantenina and Antanisoa projects. The sale of its Louisiana oil and gas assets to a neighbour would be a good result.
However, it is the bauxite project that draws immediate attention given the results and promise it holds. That said, the graphite project is also a potential game changer. Gaining a JV partner for either would pave an exciting runway for Aziana given a paltry market cap of $5 million currently ascribed to it.
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