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Lemur Resources: Final Lab Results Improve Overall Yield & Quality

Contributed by Fox-Davies Capital

Lemur has released the final set of laboratory results for the outstanding 7 core samples taken as part of the recently completed Western Drilling Programme at its Imaloto Coal Project in Madagascar.

The final 7 samples are part of the total 290 samples analysed for the project and have further improved both the quality and yield of the proposed primary product. The average yield to produce an export quality thermal coal (grss CV 6,042 kcal/kg, 0.96% Sulphur and 16.9% ash) from the Main seam is 67.4% from a single stage wash, up from 67.1% for a slightly lower CV and higher ash product announced in September. This would also produce a secondary product suitable for use as a power station feedstock, giving a theoretical yield of 100% for the entire Main seam.

The results for the Top and Upper seams are again consistent with previous results. Although they could produce an export product, the yields are too low to be economic. However a F1.8 wash could produce a power station feedstock with yields of 81.4% and 74.9% respectively, again slightly higher than previously reported. The Lower seam, which is a split from the Main seam, was again intersected but there has been insufficient analysis completed for it to be quantified.

Both the Port Scoping study and Land Logistics and Mining Infrastructure Scoping studies have been received. However the final version of the Mining Scoping study is awaiting the revised resource update which was delayed until analysis of these final 7 samples was complete. The Company now expects to produce the updated resource statement by the end of the month, which is expected to improve the resource classification rather than the size of the resource base.

The updated resource will then be incorporated into the mining scoping study, which along with the already completed port and infrastructure scoping studies will be released approximately 4 weeks after the resource update.