Burke Graphite Project
The Burke Graphite Project is located in the Cloncurry region in North Central Queensland, where there is access to welldeveloped transport infrastructure to an airport at Mt Isa (~122km) and a port in Townsville (~783km).
Lithium Energy holds an approximate 76.5% interest in the Burke Graphite Project and the underlying Burke Tenements. Pursuant to the Burke SPA, the Company will own a 100% interest in the Burke Tenements upon quotation of its securities on the ASX.
A Mineral Resource Estimate (MRE) for the Burke Mining Tenement has defined a maiden Inferred Mineral Resource of:
6.3 million tonnes @ 16% Total Graphitic Carbon (TGC) for 1,000,000 tonnes of contained graphite; and
Within the mineralisation envelope there is included higher grade material of 2.3 million tonnes @ 20.6% TGC (with a TGC cut-off grade of 18%) for 464,000 tonnes of contained graphite which will be investigated further.
The above Mineral Resource estimate is based on and fairly represents information and supporting documentation prepared by the Competent Person referred to in Section 8.5, being a person recognised under the JORC Code (2012).
In addition to the high-grade nature of the deposit, the Burke Mining Tenement:
Comprises natural graphite that has been demonstrated to be able to be processed by standard flotation technology to international benchmark product categories. Flotation tests have confirmed that a concentrate of purity in excess of 95% and up to 99% TGC can be produced using a standard flotation process.
Contains graphite from which Graphene Nano Platelets have been successfully extracted directly from the Burke Mining Tenement via Electrochemical Exfoliation (ECE). The ECE process is relatively low cost and environmentally friendly compared to other processes, yet it can produce very high purity Graphene products. The ECE process is however not applicable to the vast majority of worldwide graphite deposits as it requires a TGC of over 20% and accordingly the Burke Mining Tenement has potentially significant processing advantages over other graphite deposits.
Is located in the relatively safe and mining friendly jurisdiction of Queensland, Australia with well-developed transport infrastructure and logistics nearby.
Is potentially amenable to low cost open-pit mining.
High Grade Intersections from Drilling
A maiden drilling campaign was undertaken between 24 April 2017 and 14 May 2017 to test the graphite mineralisation in the Burke Mining Tenement. Total metres drilled were 735.2m (618m in 9 Reverse Circulation holes and 117.2m in one diamond core hole) spread across four cross-sections over a strike length of 500m.
Drilling confirmed the continuity of high grade (>10%) graphite mineralisation over 500m along strike in the NE-SW direction and confirmed the presence of extensive zones of very high-grade graphite mineralisation, commencing at surface and extending to at least 100m in depth.
Intersections encountered include:
Diamond Core Hole BGDD001 : 99.8 Metres @ 21.1% TGC from 9 metres depth; and
RC Hole BGRC001 : 43 Metres @ 18.87% TGC from 21 metres depth.
Ground EM Surveys
A ground Electro Magnetic (EM) survey was completed in June 2018, covering the south-eastern corner of the Burke Mining Tenement and the Corella Mining Tenement.
The EM survey has identified the area comprising the Corella Mining Tenement as a significant target area for additional highgrade mineralisation as well as identifying new zones of increased conductivity adjacent to previously drilled graphite mineralisation at the Burke Mining Tenement.
The Corella Mining Tenement EM survey was carried out over outcropping and sub-cropping Geological Survey of Queensland mapped Graphitic Schists - the “Milo beds” - within the Corella Formation. Graphite grading 5 - 10% TGC is widespread throughout the outcropping Milo beds and the EM survey was carried out to identify higher-grade areas of mineralisation and identify future drill targets. The survey highlighted an area of approximately 1000m x 500m within which conductive features similar to those corresponding to high-grade graphite occurring at the Burke Mining Tenement were identified.
The conductive features identified at the Corella Mining Tenement appear to be shallow to flat-lying and occur in areas of outcropping and sub-cropping graphite that have rock chips (from previous sampling undertaken) of up to 14.85% TGC.
In addition to identifying the new potential at the Corella Mining Tenement, the EM survey identified minor structural offsets, together with new zones of increased conductivity at previously drilled areas within the Burke Mining Tenement.
The EM survey over the south-eastern corner of the Burke Mining Tenement was carried out over outcropping and subcropping Geological Survey of Queensland mapped Graphitic Schists of the Corella Formation. The survey highlighted the high-grade graphite identified in the maiden drilling programme and identified minor structural offsets, together with new zones of increased conductivity.
In addition, the survey verified the width and dip of the drill intersected high-grade graphite Lithium Energy proposes to advance the Burke Mining Tenement through further test work to determine and promote the suitability of the graphite contained within the current JORC Indicated Mineral Resource as a component for Lithium based batteries.
These works propose to consolidate and extend the existing testwork done on the Burke Mining Tenement graphite mineralisation in order to provide samples to potential offtake partners for further metallurgy and battery testwork. Further drilling is also proposed to acquire “fresh” drillcore for such ongoing test work.
In addition Lithium Energy proposes to conduct exploration work at its early stage Corella Mining Tenement to test the quality, grade and extent of graphite mineralisation previously encountered.
© 2021 by Lithium Energy Limited.