Significant Resource at Uis
The recently updated resource estimate at Andrada’s flagship Uis mine strategically aligns with the Company’s long-term ambition to create a tin and lithium production hub in Namibia. By expanding the resource base, which is comprised of minerals critical to the energy transition, we continue to prove that Uis is a globally significant and strategically relevant source.
Andrada has long maintained that Namibia, and the Erongo region in particular, holds spectacular potential derived from its mineral-rich geology. The updated resource for the V1V2 pegmatite supports this belief, identifying an increased grade of lithium. This resource estimate feeds into the foundations on which Andrada aims to develop an important production hub, setting a new standard to become the premier African producer of critical materials.
Increase in the Average Lithium Grade and Volumes
The average lithium grade increased to 0.79% lithium oxide from 0.73%, and the contained lithium oxide increased from 587 000 tonnes to 610 000 tonnes. Importantly, the measured and indicated resource tonnages increased by approximately 27 million tonnes (“mt”) and by 18 mt, respectively. These grades are indicative of the fundamental value potential at Uis. Due to on-going mining of tin and tantalum concentrate, the total resource tonnage decreased from 81 mt from the previous resource estimate in 2023 to 78 mt. The key takeaway from the results is undoubtedly the polymetallic potential of the V1V2 pegmatite. Critically, the updated resource enables better quantification of the potential lithium concentrate credits alongside tin production, which optimises the overall project economics.
Uis Mine Commercially Successful
At present, the Uis mine is producing approximately 1,000 tonnes of tin concentrate annually. The Company is gearing up to increase this to 1,600 tonnes per annum (“tpa”) through various expansion initiatives. Updating the mineral resource and continuing to progress exploration initiatives is a key component to delivering greater output.
For their current tin concentrate production, Andrada has a long-term off-take agreement with Thaisarco. This demonstrates the commercial viability of the product and serves as an endorsement for Andrada’s tin expansion ambition. Tantalum, a by-product from the Uis mine, has also generated commercial success for Andrada, encouraging the ramping up of tantalum concentrate output with a target of 60 tpa. Furthermore, our lithium offering is rapidly evolving, as we engage in testing campaigns with potential off takers using petalite produced from the bulk sampling plant located adjacent to the existing processing plant.
These separate, but simultaneous expansion initiatives, constitute different pieces of the puzzle, that will ultimately synergise to establish Andrada as an important producer of critical minerals, defined by its production hub in Namibia.
Namibia is already regarded globally as a tier-1 mining jurisdiction, with exemplary legislation and perceived as an increasingly attractive destination for foreign direct investment. This trend shows no sign of reversal: Andrada aims to embody Namibia’s mining pedigree on a global stage, as production grows and both Andrada and Namibia become important players in the energy transition.
[END]
Contributed by Andrada Mining
