The Pathakada Exploration Licence (EL219) covers an area of 7km2 and is located 40km southeast of Colombo. The exploration licence is home of the Ridee Ganga Vein Graphite project, Margosa’s most developed (advanced) project.

In April 2020 the upgraded MRE for Ridee Ganga Project was announced at 1,724,610 t, at 76.32% Total Graphitic Content (TGC). This estimate consists of an Indicated Mineral Resource of 582,610 t at 75.83% TGC and an Inferred Mineral Resource of 1,142,000 t, at 76.57% TGC. This estimate has been compiled in accordance with JORC (2012).

Details regarding the estimation of the Mineral Resources for Ridee Ganga Project are shown in Table 1 below and in the linked  MRE Announcement dated the 14th May 2020. The vein graphite mineralisation at the Ridee Ganga Project is currently open to the north, south and at depth. Drilling is currently in progress and is expected to increase the magnitude and categorisation of the resource.

Table 1 – Ridee Ganga Project Mineral Resource Estimate
(April 2020)
Classification Tonnes TGC (%) Contained
Graphite (t)
Indicated 582,610 75.83 441,790
Inferred 1,142,000 76.57 874,400
TOTAL 1,724,610 76.32 1,316,190

Notes:

  1. Total estimates are rounded to reflect confidence and resource classification.
  2. Classification of Mineral Resources incorporates the terms and defination from the Australiasian Code for Reporting and Exploration Results, Mineral Resources and Ore Reserves (JORC Code, 2012) published by the Joint Ore Reserve Committee (JORC).

The Pathakada exploration licence lies on the western limb of a smaller scale synform with a northwest southeast axial trace. Margosa’s AEM survey identified four drill ready targets including the Ridee Ganga deposit. Exploration drilling has only been completed by Margosa at two of the geophysical targets; Ridee Ganga and 800m away at WMB. The Graphite veins encountered during the drilling campaigns range from narrow veinlets to crystalline veins up to 1.92m thick. Graphite samples from WMB drilling program are being processed at Nargom Laboratories in Perth.