MB Project - 01 Overview
The acquisition of the MB Project significantly enhances Sultan’s assets. The Project is approximately twenty (20) times the size of the Peelwood North asset. It offers Sultan immediate potential for commercial exploitation due to its previous mining history and infrastructure already being partially established.
Based on its technical review, Sultan’s estimation of the tonnage of mineralized material at the exploration target site is:
* 7.7 to 9.6 million tonnes of mineralization ranging from
2.3-2.7% Zn;
1.5-2.7% Pb;
0.20-0.23% Cu; and
17-24 g/t Ag
* The potential quantity and grade is conceptual in nature, there has been insufficient exploration to define a Mineral Resource and it is uncertain if further exploration will result in the determination of a Mineral Resource.
The above range of tonnage and grade figures for the exploration target size at Brskovo are based on four main deposits of the former “Brskovo” mine as defined in the official tender documenets of the Montenegro Department of Economy. These documents also define a broader “Brskovo” mine exploration area with additional less explored deposist and occurrences. The overall metal endowment is large and there is potential for substantial additional zinc-lead-silver mineralised material within the historical Brskovo Mine and surrounding exploration project areas.
Sultan negotiated very favourable acquisition terms directly with the Government of Montengro. The total acquisition cost of the MB Project was 120,000 Euro.
Based on its technical review of the MB Project, the Directors of Sultan believe:
· It will be a relatively simple process to convert to JORC resource; and
· Provides an opportunity to establish a mid size mining operation within the next 2-3 years.
(*Please note: Statement based on a detailed review of the MB Project undertaken by Sultan prior to the tender process conducted by the Ministry of Economy Montenegro).
