International Graphite: Huge Mineral Resource increase ranks Springdale second largest graphite deposit in Australia

12 September 2023

HIGHLIGHTS

-          Total Springdale Mineral Resource estimate grows from 15.3Mt @ 6.0% Total Graphitic Carbon (TGC) to 49.3Mt @ 6.5% TGC[i]:

• Indicated category – 11.5Mt @ 7.5% TGC
• Inferred category – 37.8Mt @ 6.1% TGC

-          At 5% TGC cut-off, Mineral Resource estimate is 28.0Mt @ 8.7% TGC:

• Indicated category – 7.9Mt @ 9.3% TGC
• Inferred category – 20.1Mt @ 8.5% TGC

-          Only ~10% of tenement area explored and ~20% of exploration targets tested to date

-          27% of Mineral Resource classified as Indicated – sufficient for long term mine planning

-          More than 10% contributed by new graphite discovery at Mason Bay – 2km east of the original Springdale Mineral Resource 

-          Fine flake mineralisation – ideally suited for battery anode materials and the lithium-ion battery market

The second largest known graphite deposit in Australia has been revealed at International Graphite’s (ASX:IG6) Springdale Graphite Project, in Western Australia, following the release of a new Mineral Resource estimate today.

The independent estimate is 3.4 times the previous estimate as shown in Table 1.

International Graphite Chairman Phil Hearse said the results from an extensive drilling campaign in 2022/23 had surpassed all expectations.

“Not only have we significantly increased the size of the Mineral Resource, 27% of it (by contained graphite) is now at an Indicated category which provides a strong foundation for future technical and economic studies,” Mr Hearse said.

“This is a huge achievement for the business and an important milestone as we drive to establish ourselves as one of the first vertically integrated producers of battery anode graphite. These results show that Springdale has the Mineral Resource base to underpin our mine to market vision for decades to come.

Managing Director and CEO Andrew Worland said: “We set out to upgrade the existing Mineral Resource and expand it.

“To expand it by almost three-and-a-half times, improve the overall grade, and have over a quarter now classified as Indicated, is testament to a well planned and executed program by our technical team,” he said.

“We have only scratched the surface at Springdale.

“So far, exploration has been limited to approximately 10% of the Springdale tenement areas. More than 80% of the aeromagnetic anomalies (Figure 2) on a portion of our tenure has yet to be tested.

“It is notable that 10% of the new Mineral Resource estimate stems from an exciting new graphite discovery at Mason Bay, two kilometres east of Springdale. Further drilling will seek to expand this resource.

“Across our tenements, there is significant potential for further Mineral Resource growth to be defined if we follow the same exploration model.

“Graphite mineralisation at Springdale is fine flake and ideally suited to a streamlined flowsheet producing a single concentrate feedstock for downstream processing and the lithium-ion battery market. 

“Our team is now working to optimise the mine development pathway, planning further infill and exploration drilling and integrating Springdale with the Company’s planned Graphite Battery Anode Facilities in Collie, Western Australia.”

Figure 1: Location of Springdale Graphite Project

The new JORC 2012 compliant Mineral Resource estimate for the Springdale Graphite Project was prepared by independent consultancies OMNI GeoX Pty Ltd and Trepanier Pty Ltd resulting in the estimation of Indicated and Inferred Mineral Resources shown in Table 1 and Table 2 below.  Table 3 presents a comparison with the historic resource and Table 4 details the new September 2023 Mineral Resource by oxidation profile. All figures presented in Tables 1 – 6 are rounded to one decimal place.

Table 1: Springdale JORC 2012 Mineral Resource estimate (using 2% TGC cut-off)

Table 2: Springdale JORC 2012 Mineral Resource estimate (using 5% TGC cut-off)

Table 3: Springdale JORC 2012 Mineral Resource estimate (using 2% TGC cut-off) – changes to previous estimate

Table 4: Springdale JORC 2012 Mineral Resource by oxidation (using 2% TGC cut-off)

Table 5: Springdale JORC 2012 Mineral Resource (using 2% TGC cut-off)

Table 6: Springdale JORC 2012 Mineral Resource (using 5% TGC cut-off)

The drilling campaign at the Springdale Graphite Project was designed to upgrade the existing Springdale Mineral Resource estimate from Inferred to Indicated status and expand the Mineral Resource by exploring promising new areas that were highlighted in a 2019 airborne electromagnetic geophysical (AEM) survey.

The International Graphite program comprised 12 diamond drill (DD) holes and 261 reverse circulation (RC) drill holes for 20,574m of drilling. This Mineral Resource estimate includes drilling undertaken prior to International Graphite’s ownership which consisted of 32 diamond holes and 129 RC / AC holes for 9,533 metres. Combined drilling to date is 44 diamond drill holes, 390 RC / AC holes for 30,107 metres at an average depth of 69 metres per hole.

Refer Figure 2 for drill hole locations, Appendix 1 for drill collar details and Appendix 2 for significant intercepts.

Significant exploration potential remains untested at the Springdale Graphite Project.

Figure 2: Springdale Drilling and Mineral Resource, with aeromagnetic survey and target areas

Link to the news in full length:

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02710531-6A1167747?access_token=83ff96335c2d45a094df02a206a39ff4

This announcement has been authorised for release by the Board of International Graphite Limited.

Andrew Worland

Managing Director CEO

For more information please contact:

Robert Hodby

CFO/Company Secretary

[email protected]

+61 407 770 183

Marie Howarth

Media and Communication

[email protected] 

+61 412 111 962

About International Graphite

International Graphite is an emerging supplier of processed graphite products, including battery anode material, for the global electric vehicle and renewable energy markets. The Company is developing a sovereign Australian ‘mine to market’ capability, with integrated operations wholly located in Western Australia. The Company intends to build on Australia’s reputation for technical excellence and outstanding ESG performance with future mining and graphite concentrate production from its 100% owned Springdale Graphite Project and commercial scale downstream processing at Collie. International Graphite is listed on the Australian Securities Exchange (ASX: IG6) and Tradegate and Frankfurt Stock Exchange (FWB: H99, WKN: A3DJY5) and is a member of the European Battery Alliance (EBA250) and European Raw Minerals Alliance (ERMA).

Competent Persons Statement

The information in this announcement which relates to exploration targets, exploration results is based on information compiled by Mr. Darren Sparks Mr. Sparks is the Principal Consultant and fulltime employee of OMNI GeoX Pty Ltd. He is a member of the Australian Institute of Geoscientists (“AIG”). Mr. Sparks has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’ (the JORC Code). Mr. Sparks consents to the inclusion of the information in this announcement in the form and context in which it appears.

The information in this report that relates to Mineral Resources is based on and fairly represents information compiled by Mr Peter Langworthy (Principal consultant and Managing Director of OMNI GeoX Pty Ltd) and Mr Lauritz Barnes (Consultant with Trepanier Pty Ltd).  Mr Langworthy is a Member of the Australasian Institute of Mining and Metallurgy and Mr Barnes is a member of both the Australian Institute of Geoscientists and the Australian Institute of Mining and Metallurgy.  Mr Langworthy and Mr Barnes both have sufficient experience of relevance to the styles of mineralisation and types of deposits under consideration and to the activities undertaken to qualify as Competent Persons as defined in the 2012 Edition of the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.  Specifically, Mr Langworthy is the Competent Person for the field data collected, the database, the geological and mineralisation model, the classification and completed the site visits.  Mr Barnes, also a Competent Person, reviewed the geological and mineralisation model, completed the estimation model, the classification and reporting.  Mr Langworthy and Mr Barnes consent to the inclusion in this report of the matters based on their information in the form and context in which they appear.

The information in this document that relates to metallurgical test work managed by Battery Limits Pty Ltd (BL) is based on, and fairly represents, information and supporting documentation reviewed by Mr David Pass, who is a Member of The Australasian Institute of Mining and Metallurgy (AusIMM). Mr Pass is a fulltime employee of BL, who has been engaged by International Graphite Ltd to provide metallurgical consulting services. Mr Pass has approved and consented to the inclusion in this document of the matters based on his information in the form and context in which it appears.

Link to the news in full length:

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02710531-6A1167747?access_token=83ff96335c2d45a094df02a206a39ff4

[i] 2% TGC cut off