GCIGreenRoc Mining reports significant upgrade to Kalaaq exploration target
GreenRoc Mining (GROC) has significantly increased its Exploration Target at the Kalaaq prospect which forms part of the group’s Amitsoq Graphite Project in southern Greenland.
The Greenland-focused mining developer - a spin-out of Alba Mineral Resources - says the exploration target for Kalaaq has now been updated following an additional channel and field sampling which was undertaken along with field mapping as part of the 2021 field season.
As a result, the target has increased from a tonnage range of 4Mt-7Mt at a grade range of 23-29% Graphitic Carbon to a tonnage range of 6 Mt-10 Mt at a grade range of 17-33% Cg.
GreenRoc says the results have confirmed the significant resource potential of this as yet undrilled deposit, which is open along strike (predominantly to the south) and down dip.
The Kalaaq prospect is one of two key deposits identified at the Amitsoq project, the other being the Amitsoq Island Deposit, which has a combined Indicated and Inferred JORC Resource of 8.28 Mt at an average grade of 19.75% of Cg, giving a total graphite content of 1.63 Mt, and an exploration target of 5-15 Mt at a grade range of 18-22% Cg, respectively.
GreenRoc is due to commence drilling operations at Amitsoq later this month, drilling up to 27 holes for a total of up to c.3,200m, with the aim of increasing and upgrading the current maiden JORC Resource. It has a maiden drill programme planned for 2023 to test Kalaaq.
The company recently told investors that it has “strong confidence” in its ability to establish a higher-tonnage, higher-category resource, and it said the results delivered from Phase 2 drilling could potentially support the creation of a mine plan to input into a feasibility study.
GreenRoc's Interim CEO, Lars Brünner, stated: "The Amitsoq Project, comprising the Amitsoq Island and Kalaaq deposits, is one of the highest-grade graphite deposits globally. Our focus is to continue building resource tonnage to a level that will support a detailed feasibility study, as part of our strategy to fast-forward this Project into commercial production.”
He added: “This Kalaaq Exploration Target, coupled with the current maiden resource at Amitsoq Island of 8.28Mt at an average grade of 19.75% Cg, underpins the significant resource and, in turn, the enormous value potential of Amitsoq. Additionally, we have designed a clear development strategy to ensure GreenRoc delivers on this.”
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Amitsoq Graphite is considered one of the highest-grade graphite deposits in the world, and since more than half of the Exploration Target area for Amitsoq Island remains undrilled, GreenRoc’s upcoming drill programme will focus on unlocking this resource potential.
Preparations for Phase 2 drilling at the Amitsoq Island deposit are now well underway, and GreenRoc expects to commence drilling this month as the group targets a higher-tonnage, higher-category resource to support the development of a mine plan and feasibility studies.
If the revised exploration targets for each of the deposits are successfully converted into defined resources following drilling, this would maintain Amitsoq's position as one of the highest-grade projects globally with total Resource tonnage comparable to that of Vittangi.
GreenRoc’s technical work to date has confirmed that Amitsoq graphite can be upgraded to a more than 99.95% pure graphite product, which is the specification requirement for EV batteries. As a result, it says it is well positioned to capitalise on the transition to Net Zero.
In a broader context, the demand for graphite is forecast to soar 10-fold. UBS is estimating a natural graphite deficit of 3.7Mt by 2030, representing around 37% of the total global market.
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