Completes Acquisition of Mineral Sands Deposit
Sydney, Feb 17, 2021 AEST (ABN Newswire) - PYX Resources Limited (
NSX:PYX) is pleased to announce it has completed its acquisition of the entire share capital of Tisma Development (HK) Ltd. (Tisma). This acquisition boosts PYX's contained zircon resources by 75% whilst is a highly accretive deal for existing PYX shareholders. The acquisition gives PYX ownership of the Tisma tenement, a world-class mineral sands asset consisting of a concession area of 1,500 hectares located in Central Kalimantan Province, Indonesia.
This acquisition is an excellent strategic addition to PYX's resource base and a milestone in the consolidation of the Indonesian mineral sands mining business, converting PYX into the secondlargest producing mineral sands company globally in terms of JORC-compliant zircon resources.
The Tisma tenement has 137 million tonnes of JORC-complaint inferred resources, including 4% heavy minerals, and contains approximately 4.5 million tonnes of zircon. It also contains valuable by-products, including titanium minerals (rutile and ilmenite).
The site is fully licensed for zircon exploration and premium grade zircon production and export. The concession is owned by PT. TISMA GLOBAL NUSANTARA (PTTGN) under mining permit Izin Usaha Pertambangan - Operasi Produksi (IUP-OP) No. 545/244/KPTS/VIII/2012, issued on 1st August 2012. PTTGN has exclusive rights to perform exploration and mining works in the tenement area.
The JORC report issued in November 2020 confirmed approximately 5.5 million tonnes of heavy mineral (HM), containing JORC-compliant inferred resources of 4.5 million tonnes of zircon (3.27%). The deposit inferred resources also contain 0.08% rutile and 0.34% ilmenite.
PYX's Chairman and Chief Executive Officer, Oliver B. Hasler, said: "This acquisition is highly accretive and could not come at a better time, when there is a lack of resources, increased and growing zircon demand combined with higher zircon prices. We will now focus on boosting our capacity in order to meet market demand and increase our market share globally."
About Pyx Resources Limited
PYX Resources Limited (NSX:PYX) (LON:PYX) is a global producer of premium zircon listed on the National Stock Exchange of Australia and the London Stock Exchange. The Company's flagship asset is the Mandiri mineral sands deposit, located in the alluvium sediment rich region of Central Kalimantan, Indonesia. Boasting the world's 5th largest producing deposit of zircon, PYX is a large-scale, near-surface open pit operation in production since 2015 and with exploration to date validating the presence of additional Valuable Heavy Minerals such as rutile, ilmenite among others within its mineral sands.
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