Overview

The Abenab North project lies in the Otavi Mountain Land region of northern Namibia located approximately 450km by road from the capital of Windhoek in an area comprising the towns of Tsumeb and Grootfontein.

The region is a significant well mineralised base metal province with historic production from several mines including Tsumeb, Kombat, Abenab and the Berg Aukas mines. Tsumeb is a world-famous Cu-Pb-Zn-Ag-Ge-Cd mine renowned for its wealth of rare and unusual minerals and was mined from 1897 to 1996.

The project is highly prospective for base metal and rare earth element (REE) mineralisation as evidenced from the results of previous but limited exploration.

There is excellent infrastructure in the region well served by sealed roads, rail to port, high voltage power, telephone lines, and water. The project is close to major towns and mining processing facilities.

REE Mineralisation

In 2004 Kudu Minerals (Pty) Ltd applied for a portion of the ground abandoned by Anglo American. Kudu Minerals interpreted and modelled airborne and ground magnetic data, the results highlighted 9 targets for follow up drilling. Carbonatite was intersected in six of the nine targets drill tested.

Drilling conducted by Kudu Minerals intersected significant REE mineralisation in drillhole B6 testing Anomaly 10 (A10) including 45m @ 0.73% TREO to end of hole (including 4m @ 2.53%).

In 2010 Avonlea Minerals Ltd gained access to the property to further test the anomalous REE mineralisation at A10. This follow up drilling returned highly encouraging assay results from drilling including:

• 16.7m @ 0.66% TREO (including 1.2m at 1.89%)
• 39.7m @ 0.55% TREO (including 3.6m @ 1.22%)
• 19.9m @ 0.48% TREO
• 3.0m @ 1.19% TREO

EL Application

The exploration licence application, EPL 9110 Abenab North, has no competing applications and covers an area of approximately 790 km².

Discussions have commenced with key stakeholders including newly appointed government officials and local landowners in relation to the new EPL.

Alliance Environmental Consultancy has completed an Environmental Impact Assessment (EIA) covering all proposed activities that will be conducted within the license area such as surface sampling, geophysical surveys, and drilling.

As part of the EIA process, an Environmental Scoping Assessment (ESA) and an Independent Heritage Impact Study were also completed.