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Mount Burgess Mining conducts placement, exploration focused on rare earth targets in Namibia

Mount Burgess Mining (ASX: MTB) has completed a placement to professional investors comprising 26.4 million shares at $0.008 to raise $211,000, to provide a funding boost to exploration.

Mount Burgess has already outlined where the funds will be allocated, which includes the Tsumkwe rare earth project in Namibia, and the Kihabe-Nxuu project in Botswana.

Exploration at Tsumkwe

Exploration and drilling at the project will follow up rare earth targets identified just last month, after a further eight tests confirmed that the rare earth element mineralogy is predominantly comprised of synchysite - mainly associated with K feldspar, ranging in size from 5 microns up to 200 microns.
Mount Burgess said that the rare mineral synchysite was confirmed by XRD by the CSIRO in May this year.
The results were from SEM/PLM analysis of drill chip samples from a recent percussion hole.
Whilst monazite is a common trace mineral in granites and mineral sands/placer deposits, synchysite and bastnesite are rarely detected in most rocks.
Mount Burgess said that the predominance of synchysite in this instance is therefore seen as prospective.

The company will also target an elevated base metal and iron target delineated by recent drilling, along with a copper/cobalt anomaly recently identified from soil geochemical sampling.

Exploration at Kihabe-Nxuu

At the company’s Kihabe-Nxuu zinc lead silver project in Botswana, assays from close-spaced geochemical soil sampling have generated significant soil geochemical anomalies, all with potential to increase the company’s resource base.

These include:

- Wanchu, zinc lead 1.2 kilometre long anomaly;
- Tswee Tswee, zinc lead 55 hectare anomaly;
- Target 52, zinc lead 4 kilometre long anomaly;
- Lebala, zinc lead copper 10 hectare anomaly; and
- Copper, copper cobalt 2.4 kilometre long anomaly.

Mount Burgess said that the company is also continuing with soil geochemical sampling over several other prospective areas within the wholly owned 3,000 square kilometre neo-Proterozoic belt.

About Kihabe-Nxuu

The project has vast potential, with the company previously eyeing development into a mining operation.

Earlier in the year 25 million tonnes at 3% zinc metal equivalent was selected for a Scoping Study, which included 750,000 zinc equivalent metal tonnes and a 2.5 million mining rate over 10 years.

The current resources include 3.3 million ounces of silver with potential for copper, vanadium, gallium and germanium credits.

Another plus at the project is low strip ratios and high zinc metal recoveries of 93%.