Studying Next Steps For Southern Cameroon Development
Altus Strategies Plc (AIM:ALS, TSXV:ALTS) has received the results of a strategic review by independent consultants Mining Plus UK Ltd on the company’s 97% owned high-grade Bikoula iron project in southern Cameroon.
Chief Executive, Steven Poulton, said the Strategic Review will be used to determine the next steps for the development of the Project.
Highlights:
- Historical drilling includes 30.8m at 57.9% Fe from 3.8 m (potential true width of interval)
- Bikoula hosts a deposit with a historic independent JORC compliant Mineral Resource Estimate of 46 million tonnes at 44% Fe
- At least 75% of the 13 km long priority target area remains untested
- Prior metallurgical test-work yielded 62.26% Fe concentrate using gravity separation
- Bikoula is located approximately 350 km by road from recently completed deep water port
- Environmental and Social Impact Assessment Study has been completed
“We are pleased to report that independent consulting firm Mining Plus has completed a strategic economic review of the company’s high-grade Bikoula iron project in southern Cameroon,” Mr Poulton said.
“The Project hosts a substantial colluvial iron weathered blanket, which rests above a primary iron deposit. The Strategic Review examined the processing, product specification and transportation options for Bikoula and will assist the company in advancing the Project through next stages of development.
“As previously reported, preliminary metallurgical test-work on representative samples from Bikoula has yielded a high grade 62.26% Fe concentrate, using gravity separation alone. With only 25% of the 13 km long strike length of Bikoula having been tested to date, we believe the Project has considerable exploration upside potential.
“Recent infrastructure improvements in the region, including a containerised deep-water port at Kribi as well as significant road improvements, are expected to further enhance the economics of the Project.
“The Project’s economics are supported by the price of iron ore, which has traded above US$100/tonne since June 2020. The Company believes Bikoula represents an attractive standalone iron asset and we look forward to providing an update on the Project in due course.”
The Strategic Review incorporates the potential positive impacts from recent infrastructure upgrades in Cameroon, including the completion of the deep water port at Kribi (located 350 km to the west of the Project) and the construction of new roads.
Mining Plus modelled the likely capital and operational expenditures, including transportation costs from the Project by road to Kribi. The likely product specification, processing routes and shipping options (including via container) were also reviewed. The Strategic Review will now be used by the Company to determine the next steps for developing the Project, including the potential to undertake a resource expansion drilling programme.
The Project hosts an iron deposit which is the subject of an historic independent Mineral Resource Estimate (MRE) prepared by Coffey Mining South Africa (Pty) Ltd entitled “Mineral Resource Estimation and Classification of the Bikoula Iron Ore Project in Cameroon” dated April 2014 which Altus believes remains relevant and reliable.
