Capital Mining LimitedASX: CMY, CMYO
Level 11, 216 St Georges Tce
Perth WA 6000
Telephone +61 8 9481 0389
Fax +61 8 9463 6103
www.capitalmining.com.au
Directors
Mr Peter Torney Mr Peter Dykes
Mr Anthony Dunlop
Company Secretary
Mrs Elizabeth Hunt
ASX Release
15 August 2016
CAPITAL MINING EXPANDS LITHIUM PROJECT PORTFOLIO
Highlights
Capital Mining Limited (ASX: CMY) ("Capital" or "the Company") is pleased to announce it has expanded its lithium project portfolio with the pegging of three lithium prospective projects in the Gascoyne Minerals District in Western Australia.
The projects comprise three exploration licence applications over a total area of 501.15km2; the Reynolds Project (ELA09/2209), the Caroline Creek Project (ELA08/2869) and the Yinnietharra Project (ELA09/2208), refer Project Location map; Figure 1.
They are all considered prospective for lithium-rich spodumene bearing pegmatites, and are located in close proximity to known mineral occurrences associated with Lithium-Caesium- Tantalum (LCT) pegmatites.
The new projects substantially add to Capital's lithium asset portfolio, and are consistent with the Company's exploration strategy to acquire, explore and develop high quality lithium assets and other key demand-focused mineral resources.
Exploration Rationale
The Reynolds, Caroline Creek and Yinnietharra Projects are all considered prospective for rare-element granitic pegmatites of the LCT geochemical group, and have been identified and pegged on the basis that they all demonstrate a compelling conventional LCT Pegmatite model.
Pegmatite is composed of common granite minerals including quartz, feldspar and micas, as well as economically significant minerals containing elements such as lithium (spodumene), tantalum, niobium, tin and tungsten.
The projects all demonstrate a granite and greenstone contact, which is recognised as a prime target zone (or 'goldilocks zone') for LCT pegmatites. Also, an assessment of magnetics data over the project areas indicates the presence of greenstone, which further adds to the spodumene bearing pegmatite potential of the projects.
Figure 1: Reynolds, Caroline Creek and Yinnietharra Project locations.
Reynolds Project
Carpentaria Exploration Company Pty Ltd (Taylor, 1981) conducted extensive tungsten and gold exploration in the region between 1979 and 1981. It identified 44 heavy mineral anomalies within the Reynolds Project (refer Figure 2) including fluorite (14), Beryl (8), wolframite (6), wulfenite (4), barite (2) casiterite (2) and Monazite (2) which are minerals hosting F, Be, W, Mo, Ba, Sn and Ce; components of rare-earth-metal pegmatites (ČERN´Y and ERCIT, 2005).
Figure 2: Heavy Mineral Anomalies on Reynolds Project
Stream sediment geochemistry from part of the Capricorn Orogen' supplied to GSWA by BHP Billiton shows regionally elevated niobium (Nb) and tantalum (Ta) values within the Reynolds Project (refer Figure 3). The presence of elevated Nb and Ta are considered significant in the exploration for LCT Pegmatites.
Figure 3: Niobium (Nb) and tantalum (Ta) values from data supplied to GSWA by BHP Stream Sediment data.
Caroline Creek Project
Caroline Creek lies along strike of the Reynolds Project (refer Figure 4) and Capital considers this as an extension of the granite and greenstone stratigraphy and thus equally as prospective as Reynolds for LCT Pegmatites.