This outpaced even Kibaran's internal expectations and may exceed known current and historic graphite resources in the country.
There is now an Indicated Mineral Resource estimate of 12.8 million tonnes at 10.0% TGC for 1,281,200 tonnes of contained graphite.
It will set the scene for a Scoping Study now targeting up to 40,000 tonnes per annum of graphite production. Although this may be light as the new resource could see a target of 100,000 tonnes per annum.
The Resource estimate was carried out by CSA Global and was based on data sets compiled from drilling, trenching and other geological activity.
Notably, the Mineral Resource estimate represents only 20% of Kibaran's Epanko project area and as the mineralisation remains open, there is significant potential for further resource growth.
The deposit has the potential to support increased production levels to cater for future rises in demand for premium quality, large flake graphite.
It is also important to note that a substantial amount of graphite mineralisation exists within the model at lower TGC cut-off grades than the 8% used in this JORC update.
At a 5% cut-off grade there is a total of 80Mt at 7.5% TGC for 6,052,800 tonnes of contained graphite.
The Indicated Mineral Resource estimate provides Kibaran with a technical basis to revise its 'Terms of Reference' for its scoping study.
The updated study will evaluate the production parameters on the production metrics and the indicated resource estimate allows for a future study based on an expansion to 100,000tpa of natural flake production subject to future market demand increases.
The revised scoping study is well advanced and will be announced prior to month's end.
Executive Director Andrew Spinks commented:
"The Kibaran Board of Directors is extremely pleased with this outcome, as it not only confirms the confidence shown in drilling results released over the past months but has delivered a result over and above our internal expectations.
It places Kibaran in good stead to become a key producer and supplier of premium quality graphite to the sophisticated European market and to that end, the Company is now actively pursuing a second off-take agreement for the Epanko project.
Kibaran is in discussion with a number of industrial groups in both Europe and North America in this respect."
Kibaran has delivered an impressive updated mineral resource and indicated resource base following on from numerous broad, high grade drilling intersections over the past few months.
Notably, there is resource upside as it only covers 20% of the Epanko project area.
The project has scope to support increased production levels to cater for future rises in demand for premium quality, large flake graphite.
It is already a significant deposit when cast alongside past graphite producing operations in the East African region including Tanzania: 8.3% TGC from the Merelani Graphtan Mine and Mozambique: 9.5% TGC from the Ancuabe Mine.
That Kibaran is in discussions with numerous industrial groups in both Europe and North America is telling.
A near term price catalyst will be the signing of a second off take deal.
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