Arrow Minerals has announced a significant maiden mineral resource estimate for its Niagara bauxite project in Guinea, positioning it for a scoping study later this year. The resource totals 185 million tonnes with an average grade of 42.3 per cent aluminium oxide and 2.7 per cent silicon dioxide.
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Within this, higher-grade zones include 138 million tonnes at 44 per cent aluminium oxide and 2.8 per cent silicon dioxide, with a premium subset of 48 million tonnes grading 48.2 per cent aluminium oxide and 2.6 per cent silicon dioxide. The Australian exploration and development company has conducted 173 drill holes across three target areas, covering 2,048 meters, revealing a bauxite zone with notably low silica content, a characteristic typical of Guinean deposits. The company also completed 11 scout holes spanning 118 meters to assess regional potential.
Additionally, Arrow validated historical drilling data from Vale's 2007 campaign, which involved 178 auger drill holes over 2,013 meters. Over 75 per cent of the resource is classified in the higher-confidence indicated category, providing a solid foundation for the Niagara project's scoping study, scheduled for completion in June.
"In less than 12 months, our team has delivered a substantial resource of high quality and great value in the current bauxite market. Guinea bauxite is in high demand and a standard specification of 45 per cent aluminium oxide and 3% silicon dioxide can attract premium prices of up to US$130 per tonne (CIF China)," said Arrow managing director David Flanagan.
Arrow Minerals plans to capitalise on the higher-grade subset in its scoping study, aiming to produce a premium-quality product and maximise cash margins. The maiden resource at the Niagara project compares to an upgraded exploration target of 190 to 240 million tonnes, with grades ranging from 39 per cent to 43 per cent aluminium oxide and up to 4 per cent silicon dioxide. This revised target, announced earlier this month, reflects an adjustment from the initial estimate of 170 to 340 million tonnes, grading approximately 40 per cent to 46 per cent aluminium oxide and 1 per cent to 4 per cent silicon dioxide.
Arrow Minerals derived the updated exploration target using data from mapping, topographic modelling, and summary results from historical work, alongside its planned exploration activities for 2024 and 2025. SRK Consulting reviewed the estimate as part of the maiden resource process, incorporating Vale's historical drilling data into the assessment.
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