Montepuez ruby strategy on track with another discovery and first sales in Thailand; Caula graphite project shows significant vanadium potential; First cashflow at Caula targeted for H1 2019

Quarterly Activities & Cashflow Report
Quarterly Activities & Cashflow Report
Sydney, April 26, 2018 AEST (ABN Newswire) - Mustang Resources Ltd (ASX:MUS) (OTCMKTS:MTTGF) provides the Company's Quarterly Activities Report.


Montepuez Ruby Project, Mozambique

- During the quarter Mustang made strong progress on the Montepuez Ruby Project located in the heart of this globally significant gem-field

- A total of 29,069.1 carats were recovered from the processing of 43,940m3 (~68,107 tonnes) of stockpiled material at Montepuez with:

o An average grade of 0.42 carats/tonne achieved for the quarter, 13.5% higher than Q4 2017; and

o A total of 329,309 carats of rubies in the Company's available-for-sale inventory as at 10 April 2018

- New ruby-bearing gravels discovered during the quarter, located 3.5km directly south-west of Mustang's 200tph processing plant

- New sales and marketing office established in Chanthaburi:

o Maiden sales of A$230,953 achieved by 10 April 2018

o 18,288 carats of mostly lower and medium quality rubies sold at an average price of A$12.67 per carat

- Total sales of ~A$1.23M achieved since September 2017 through the sale of 100,184 carats at an average price of A$12.29 per carat recovered from exploration activities

- Significant interest received from well-known international jewellery brands and buyers who seek sustainable and responsibly produced rubies with full supply chain assurance

Caula Graphite & Vanadium Project, Mozambique

- Associated vanadium present at Caula project with MOD014 intersecting 125m of vanadium at an average of 0.42% V2O5 (incl. multiple intersections from 0.7% to 1.02% V2O5)

- Assays show grades of up to 24.2% Total Graphitic Carbon (TGC) and 1.02% Vanadium (V2O5) including:

o 125m (from 17m downhole) at 14.1% TGC average (incl. multiple intersections from 23 to 24% TGC); including

-- 96 m downhole at 24.2% TGC

-- 52 m downhole at 23.9% TGC

o 125m (from 17m downhole) at 0.42% V2O5 average (incl. multiple intersections from 0.7% to 1.02% V2O5); including

-- 74m downhole at 1.02% V2O5

-- 71m and 75m downhole at 0.98% V2O5

- Caula emerging as one of the world's higher-grade graphite and vanadium projects

- Graphite and vanadium strategy announced in March 2018 with focus on fast-tracking a dual graphite and vanadium development plan to deliver first cashflow in H1 2019

- Further higher-grade results (up to 0.68% V2O5) over extensive widths from diamond drilling on Licence 5873L, 7.5km south of previous drilling on Mustang's Caula Graphite & Vanadium Project in Mozambique


- In January 2018 Arena Investors LP, a major US institutional investor with more than US$750 million in assets under management, committed to invest a net A$19.95 million in Mustang under a multi-tranche convertible note facility

- First tranche of A$1.9 million received on signing of agreement with follow-on tranche of A$3.8 million approved by shareholders in February 2018 and available for drawdown by the Company in May 2018

- Non-renounceable 1 for 4 pro rata rights issue at an issue price of $0.023 per New Share closed on Thursday, 22 March 2018 at 5.00pm WST

- Total subscription amount received from the Entitlement Offer (before costs) was $2,454,485 made up of $1,696,675 of entitlements plus $757,810 of shortfall taken up by eligible shareholders

- Appointment of experienced resources executive Dr. Evan Kirby as a Non-Executive Director. He is a metallurgist with more than 40 years' experience

- Mustang had A$2.137 million cash on hand as at 31 March 2018

To view the full report, please visit:

About Mustang Resources Ltd

New Energy Minerals Ltd is an ASX-listed company (ASX:MUS) focused on the development of the Caula Vanadium-Graphite Project in Northern Mozambique, located along strike from the Syrah Resources Ltd (ASX:SYR) Balama Project. In July 2018 New Energy Minerals announced a maiden vanadium mica-hosted JORC Measured Resource for Caula of 22Mt at 0.37% V2O5 for 81,600 tonnes of contained vanadium pentoxide. The Company concurrently announced a 317% increase in its JORC Graphite Resource to 21.9Mt at 13.4% Total Graphitic Carbon ("TGC") (8% cut-off), for a total of 2,933,100 tonnes of contained Graphite, all in the measured category.

The Company has a highly experienced board and management team with a 15-year track record of investment and successful project development in Mozambique and the Africa region. With the aim to become a key provider of vanadium and graphite, both key components used in battery production.



Managing Director:
Bernard Olivier
M: +61-4-08948-182
T: +27-66-4702-979

Media & Investor Relations:
Paul Armstrong
T: +61-8-9388-147

Related Companies

Mustang Resources Ltd   

ABN Newswire This Page Viewed:  (Last 7 Days: 34) (Last 30 Days: 176) (Since Published: 2130) 

Mustang Resources Ltd NEWS: RECENT VISITS (19480)

Research Report

Social Media