The Omitiomire Project

Overview

The Omitiomire Copper Project is located 120km northeast of Windhoek in central Namibia, in a semi-arid savannah environment, with the wet season running from December to March. The licence area is mainly used for cattle farming and game hunting and is easily accessible.

Through its Namibian subsidiary, Craton Mining and Exploration (Pty) Ltd, Omico holds Mining Licence ML197, and Exclusive Prospecting Licence EPL8550 (pending renewal of the environmental clearance certificate), together a 30,000Ha licence area which makes up the Omitiomire Copper Project.

The Company is fully funded for the next 12 months and beyond and earn-in partner, Greenstone Resources is committed to investing USD5.0 million in the production of a Bankable Feasibility Study (“BFS”), to be completed by H2 2023.

The deposit was discovered in the 1970’s by Genmin, a precursor to Billiton / BHP, and has been drilled at various grid spacings, from 200m by 200m down to 25m by 25m, providing an extensive database. The drilling is generally on a north-south and east-west grid pattern with the majority (97%) of the drilling being vertically orientated. Extensive geochemical and geophysical anomalies within the exploration license provide exploration upside. The Company is in the process of mobilising for an infill drilling and geo-tech drilling campaign.

Drilling has resulted in an estimated CIM Measured and Indicated resource of 95.8 million tonnes (“Mt”) at 0.59% Total Copper (“TCu”) for 563,300t contained copper, at a 0.25% Cu cut-off grade. This latest resource update was by MSA Group in May 2022.

For most of its history the project was envisioned to be an open pit mine with a copper concentrator, until recent test work established that the largely chalcocite mineralisation is amenable to a chloride-curing, acid heap leach with solvent extraction (“SX”) and electro-winning (“EW”) technology to produce copper cathode. Chloride leaching is a well-established process used predominantly in South America. Major chloride leaching operations are managed by BHP, Antofagasta and Mina Justa in Chile and Peru.

Chloride heap leaching consists of adding a chloride (salt) brine to the mineralised material as it is being agglomerated with sulphuric acid, otherwise the process is similar to conventional oxide heap leaching. The agglomerate is then stacked on heap leach pads and allowed to cure for 30 days prior to being irrigated with the sulphuric acid solution allowing the recovery by traditional SX/EW methods as cathode. The process has been used commercially in South America since 1997 by Antofagasta (Minera Michilla and Zaldivar), and BHP (Spence and Colorado) and others and to date over 1Mt of Cu cathode has been produced by this method at these operations.

Encouraging metallurgical test results of up to 90% dissolution of total copper in mini-columns were achieved by Mintek in South Africa in the last 12 months. The process flow sheet development and metallurgical test work programme is designed and supervised by Marcelo Jo of MJO Ingeniería y Consultores en Metalurgia SpA, Santiago (Chile).