It has lodged a 65sq km investigation permit application over crystalline, coarse flake graphite occurrences in the Aracena Metamorphic Belt, Huelva province in SW Spain.
Several strata-bound graphite occurrences and former small mines occur over an 11km strike length within a sequence of high grade metamorphic rocks near the small town of Cortegana.
Interestingly, three areas of old workings have been identified at La Nina, San Carlos and Hormiga, which were worked on a small scale in the early 1900's with reported grades of 10-20%C in deposits 1-8m thick.
However, graphite deposits up to 24m thick have been reported. To the best of Meteoric's knowledge, no drilling or modern exploration has been carried out in the Cortegana graphite belt.
Meteoric's 100%-owned permit application covers all of the available known graphite occurrences in the Aracena Metamorphic Belt, an area of undulating forest and olive groves with a good network of roads and ready access to power.
The eastern part of the permit application covers the margin of the Sierra de Aracena nature park, however exploration permits are allowed within this park subject to certain conditions.
Whilst Meteoric cannot guarantee grant of the permit, the company understands that it has priority of application according to the mining law and knows of no reason why it should not be granted the permit.
Investigation Permits are a form of exploration title allowing detailed exploration and definition of resources and are granted for a period of three years with provision to extend the title for a further three years.
Meteoric has engaged a Europe-based consultant to propose an exploration programme in readiness for grant of the permit. As graphite is an excellent conductor and has a strong electromagnetic response,
Meteoric plans to assess the use of airborne electromagnetic surveying in identifying further high grade crystalline graphite deposits within the 20km-long stratigraphic sequence hosting the graphite occurrences within the permit.
Spain welcomes foreign investment
Foreign investment in Spain is welcomed, particularly at this time, and the government is supportive of exploration and mining.
The market outlook for coarse crystalline graphite remains bright, particularly in energy applications, composite materials and uses related to the new material, graphene.
Meteoric is very encouraged by the potential of the Cortegana graphite belt to produce premium quality flake graphite and is planning to start assessment of this opportunity as soon as the permit is granted.
Although early days, and the permit has to be granted, this is a skilful deal taking advantage of encouragement by the Spanish Government to welcome foreign investment given the economic slowdown. In addition, the prospectivity of the Cortegana graphite belt to produce premium quality flake graphite appears strong. The deal should add significant value to Meteoric and its shares look cheap at $0.03 on this deal alone.