Giyani Announces Corporate and Operations Update for the K.Hill Manganese Project in Botswana
TORONTO, Feb. 05, 2021 - Giyani Metals Corp. (TSXV:EMM, GR:A2DUU8) ("Giyani" or the "Company") is pleased to provide an operations and corporate update for its K.Hill Manganese Project ("K.Hill") in Southern Botswana.
Robin Birchall, CEO of the Company commented:
"We are very pleased to bring the market up to date on a number of operational and corporate activities. Concurrent to the ongoing K.Hill feasibility study, which is expected later this year, we are working on a further revision to the PEA. This updated version contains a modified, simpler processing strategy to produce HPMSM, rather than HPEMM as per the current PEA. The updated strategy is an end-market driven decision, which we believe is a positive development for K.Hill.
We are also very happy with the results of the work conducted by Terravision at K.Hill and also the proof-of-concept study carried out at the Otse prospect."
Update on K.Hill Studies
Concurrent to the ongoing feasibility study ("FS"), expected later this year, the Company is currently undertaking an update of the K.Hill preliminary economic assessment (PEA) to produce High Purity Manganese Sulphate Monohydrate (HPMSM), rather than High Purity Electrolytic Manganese Metal (HPEMM). The updated PEA released on 28 April 2020 ("2020 PEA"), assumed 100% production of HPEMM. The reason for the change is following feedback from independent market research, supported by direct discussions with potential end buyers. They have indicated that as the high purity manganese market grows, due to greater electric vehicle adoption, demand growth will be heavily skewed towards HPMSM. The revised PEA will also include an updated Mineral Resource estimate, following the ongoing drilling work completed to date and the results from an enhanced ground penetrating radar ("GPRplus™") survey.
Ground Penetrating Radar Geophysical Survey Complete
In Q4 2020, the Company appointed Terravision Intelligent Exploration ("Terravision") to conduct a GPRplus™ survey. The survey was used to quantify the extent of historically mined artisanal tunnels ("Historical Tunnels") at K.Hill. This information is required for the K.Hill geological block model to determine the depletion factor to the Mineral Resource estimate.
In addition, Terravision conducted a proof-of-concept study on Giyani's Otse prospect, using GPRplus™ as a low cost, rapid-feedback exploration tool. This is because the near-surface manganese oxide mineralization at Otse, unlike that of K.Hill, occurs in high grade pods. The results from the proof-of-concept study at Otse clearly identified the density differences between the mineralisation and the lower density host rock. Following these positive results, the Company plans to initiate a GPRplus™ survey across the wider Otse prospect area. The results of this survey will be used to better inform the forthcoming drill program planned for Otse. The Company will update the market on this in due course.
Appointment of Hydrometallurgical Laboratory
The Company has appointed both Mintek and Vietti Slurrytec to conduct hydrometallurgical ("Hydromet") laboratory work, pursuant to the FS workstreams. The samples for the Hydromet work were drilled in Q4 2020 during the K.Hill infill drilling program. All samples have been bagged and shipped to Mintek in Johannesburg, South Africa. Mintek will cover all stages of the Hydromet work, except for the solid-liquid separation analysis, which will be conducted by Vietti Slurrytec. Completion of both workstreams is expected in Q2 2021.
Dataroom Access
Pursuant to seeking project financing in due course, the Company has signed an NDA with a large global commercial lending bank institution which is currently accessing the Company's dataroom.
Update on Rock Island Sale
As previously announced in relation to the Company's disposal of its non-core gold assets in South Africa, Giyani agreed to acquire all of the shares it did not own in Lexshell 837 (Pty) Ltd. in order to consolidate 100% ownership in that company. The final installment of 832,666 common shares of Giyani was conditional on the completion of the sale of its South African gold assets to Corridor Mining Resources Proprietary Limited ("CMR"), which has not yet been completed. As that sale remains pending, Giyani and the Lexshell vendor have agreed to complete the Lexshell sale for a cash consideration of C$45,000 as a full and final settlement in lieu of the issuance of Giyani common shares.
Giyani continues to pursue the outstanding ZAR6,370,031 owed to the Company by CMR, of which ZAR300,000 has been received so far in staged payments.
About Giyani
Giyani Metals Corp. is a mineral resource company focused on the development of its K.Hill, Lobatse & Otse manganese oxide projects in the Kanye Basin, Botswana, Africa. The Company's flagship K.Hill Manganese Project is a near-surface deposit currently going through a feasibility study to produce high-purity electrolytic manganese metal and manganese sulphate, both key cathode ingredients for batteries in the expanding electric vehicle (EV) market.]
Additional information and corporate documents may be found on www.sedar.com and on Giyani Metals Corp. Website: https://giyanimetals.com/.
About Terravision
Terravision Intelligent Exploration is a UK based private exploration services company, who is a leader in the use of enhanced ground penetrating radar, known as GPRplus™, in mineral exploration. GPRplus™ is a ground-scanning device, which verifies and investigates the presence of mineral resources and geological features, by detecting differences in ground density, up to a depth of 200m. For more information visit https://www.terravisionradar.com/mining
About Mintek
Mintek is South Africa's national mineral research organisation and is one of the world's leading specialists in mineral processing, extractive metallurgy, and related areas. Mintek works closely with industry and other R&D institutions and provides service testwork, process development and optimisation, consulting and innovative products to clients worldwide. For more information visit https://www.mintek.co.za
About Vietti SlurryTec
Vietti Slurrytec are metallurgical specialists in dewatering and separation of clay containing slurries. For over 25 years, the company has worked to provide suitable process design and control philosophy to improve process efficiency and lower operation costs for its clients.
For more information visit https://www.viettislurrytec.com/
On behalf of the Board of Directors of Giyani Metals Corp.
Robin Birchall, CEO
Contact:
Robin Birchall CEO, Director
+44 7711 313019
rbirchall@giyanimetals.com
Thomas Horton
VP, Business Development
+44 7866 913207
thorton@giyanimetals.com
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The securities described herein have not been registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws, and accordingly, may not be offered or sold to, or for the account or benefit of, persons in the United States or "U.S. persons," as such term is defined in Regulation S promulgated under the U.S. Securities Act ("U.S. Persons"), except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities requirements or pursuant to exemptions therefrom. This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the Company's securities to, or for the account of benefit of, persons in the United States or U.S. Persons.
Forward Looking Information
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. All statements in this news release, other than statements of historical fact, that address events or developments that Giyani expects to occur, are "forward-looking statements". Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "does not expect", "plans", "anticipates", "does not anticipate", "believes", "intends", "estimates", "projects", "potential", "scheduled", "forecast", "budget" and similar expressions, or that events or conditions "will", "would", "may", "could", "should" or "might" occur. Specific forward-looking statements and forward-looking information herein includes completion of receipt of TSXV approval for the private placement and completion of the private placement.
All such forward-looking statements are based on the opinions and estimates of the relevant management as of the date such statements are made and are subject to certain assumptions, important risk factors and uncertainties, many of which are beyond Giyani's ability to control or predict. Forward-looking statements are necessarily based on estimates and assumptions that are inherently subject to known and unknown risks, uncertainties and other factors that may cause actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. In the case of Giyani, these facts include their anticipated operations in future periods, planned exploration and development of its properties, and plans related to its business and other matters that may occur in the future. This information relates to analyses and other information that is based on expectations of future performance and planned work programs.
Forward-looking information is subject to a variety of known and unknown risks, uncertainties and other factors which could cause actual events or results to differ from those expressed or implied by the forward-looking information, including, without limitation: inherent exploration hazards and risks; risks related to exploration and development of natural resource properties; uncertainty in Giyani's ability to obtain funding; commodity price fluctuations; recent market events and conditions; risks related to the uncertainty of mineral resource calculations and the inclusion of inferred mineral resources in economic estimation; risks related to governmental regulations; risks related to obtaining necessary licenses and permits; risks related to their business being subject to environmental laws and regulations; risks related to their mineral properties being subject to prior unregistered agreements, transfers, or claims and other defects in title; risks relating to competition from larger companies with greater financial and technical resources; risks relating to the inability to meet financial obligations under agreements to which they are a party; ability to recruit and retain qualified personnel; and risks related to their directors and officers becoming associated with other natural resource companies which may give rise to conflicts of interests. This list is not exhaustive of the factors that may affect Giyani's forward-looking information. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information or statements.
Giyani's forward-looking information is based on the reasonable beliefs, expectations and opinions of their respective management on the date the statements are made, and Giyani does not assume any obligation to update forward looking information if circumstances or management's beliefs, expectations or opinions change, except as required by law. For the reasons set forth above, investors should not place undue reliance on forward-looking information. For a complete discussion with respect to Giyani and risks associated with forward-looking information and forward-looking statements, please refer to Giyani's financial statements and related MD&A, all of which are filed on SEDAR at www.sedar.com.
