African iron ore explorer and developer, Genmin Limited (ASX: GEN) has unveiled a significant increase to the Mineral Resource Estimate (MRE) for its 100% owned Baniaka iron ore project, located in the Republic of Gabon, Central West Africa.
The 168% increase of the Baniaka MRE to 700 million tonnes (Mt) results from the inclusion of a Maiden, Inferred Oxide and Primary MRE for the Bandjougoy prospect.
At 700 million tonnes, Baniaka is now by a large margin the biggest JORC mineral resource in Gabon for any commodity,” Managing Director and CEO, Joe Ariti, said.
“We are starting to build a substantial magnetite inventory, which has significant intrinsic value with our locked-in, renewable, low-cost hydropower supply and increasing market demand for high grade pellets to support decarbonisation of the iron making process.
“As we saw a few weeks ago, immediately north of Gabon in Cameroon, and within 200km of our Minvoul/Bitam project, Sinosteel committed more than US$700 million to develop its Lobé (Mamelles) magnetite project to produce four million tonnes per annum of concentrate.
“This speaks to two narratives in terms of the increasing importance of magnetite products in the market, and China’s stated policy of developing/procuring African sources of supply.
“The Baniaka PFS is assessing the first 10 years of processing DID and Soft Oxide material at an initial rate of five million tonnes per annum of iron ore products, with subsequent expansion to 10Mtpa. With the Bandjougoy maiden mineral resource, we now have sufficient DID and Soft Oxide material to underpin this initial mine life.”
The MRE is based on Oxide and Primary banded iron formation (BIF) assay results from an additional 43 holes for 4,280m of diamond drilling completed in the Bandjougoy prospect area.
Baniaka is divided into 12 major prospects at different levels of maturity.
The Baniaka Preliminary Feasibility (PFS) includes Soft Oxide mineral resources from the Bandjougoy and Tsengué prospects and detrital iron deposits (DID) mineral resources from Bingamba North, Tsengué, Bandjougoy and Flouflou prospects (collectively PFS Prospects).