Courtesy proactiveinvestors.com.au

Whilst the year was impacted heavily with COVID-19 restrictions and issues, it achieved some milestones in its growth and formed a solid base on which to work from in 2021 and beyond once COVID-19 restrictions are lifted.

The company is committed to developing the Mannar Island project in an environmentally sustainable manner

Titanium Sands Ltd (ASX:TSL) remains focused on recommencing drilling to finalise the release of numbers contained in a scoping study and moving the environmentally-friendly Mannar Island Heavy Mineral Sands Project in Sri Lanka into its next phase. 

Whilst the year was impacted heavily with COVID-19 restrictions and issues, the company has achieved some milestones in its growth and formed a solid base on which to work from in 2021 and beyond once COVID-19 restrictions are lifted.

The company is committed to creating opportunities for residents of Mannar Island and Sri Lanka while adhering to the guidelines in place so that the will not have a detrimental impact on the environment.

Describing 2020 as a volatile year mainly due to COVID-19, the company thanked shareholders for their ongoing support and faith in the project and hopes to provide meaningful updates” as COVID restrictions are lifted.

Milestones achieved

Milestones achieved in the year include:

➢ Indicated resource upgrade to 90.03 million tonnes at 6.6% total heavy mineral concentrate (THM) with 66% in the indicated category;

➢ Reverse aircore results show major depth resource potential, identifying heavy mineral concentrations down to 9 metres beneath the entire 8 kilometres domain to mineral resource zone;

➢ Further assay results show extensive depth resource potential, with aircore drill holes demonstrating heavy mineral down to at least 10-11 metres in an area on 18 square kilometres of the existing shallow resource;

➢ TSL resource triples to 264.93 million tonnes at 4.38%;

➢ Positive scoping study results show potential for a robust long-life major dredging project;

➢ Project upgrade with garnet added to the mineral resource estimate;

➢ Placement and share purchase plan which saw firm commitments for $2.2 million received for the placement; and

➢ Share Purchase Plan from existing shareholders raised a further $167,000 via a share placement plan (SPP).

The Mannar Island project is an exploration-stage project on the 26 kilometres by 6 kilometres-wide Mannar Island in northwest Sri Lanka, joined to the mainland by a 3-kilometre-long road causeway.

Titanium Sands Ltd has been exploring and defining areas of heavy mineral sand concentration on the island since December 2018.

Exploration has involved shallow hand auger drilling and light mechanised drilling, both of which have very low to zero environmental impact.

The project is at an early stage and is being progressed under exploration licences granted on the basis that the proposed exploration activities should not have a detrimental impact on the environment.

Any mining or major development project in Sri Lanka must move through numerous regulatory steps, including demonstrating compliance with the Sri Lankan Environment Act and a public consultation process.

Granting of a mining licence, terms of investment, export licences, operational licences and other regulatory compliance can only occur once the project has been sufficiently defined by studies that include comprehensive environmental impact and management assessments.

COVID-19 impact

Since March 2020, Sri Lanka has, like the rest of the world, been dealing with the COVID-19 pandemic.

While the country has experienced relatively low levels of infection and death, a recent increase in positive cases has prompted the re-imposition of restrictions on domestic travel including to and from Mannar Island.

The situation remains uncertain but it is hoped exploration will be able to recommence before travel restrictions are fully lifted.