SPD Vanadium Project

SPD Vanadium Project

Location: South Africa

The SPD Vanadium Project is a large, high grade magnetite hosted vanadium deposit with an Inferred JORC Mineral Resource of 588 million tonnes at 0.78% V2O5 (refer ASX Announcement 18 December 2018). which is wholly classified in the Inferred category.

In addition VR8’s drilling has delineated coherent high-grade, near surface zones of mineralisation totalling 87 million tonnes at 1.07% V2O5 (defined above a cut off grade of 0.9% V2O5, within 100m of surface).

The Mineral Resource will be updated with the results of further infill drilling at the Project (Figure 1, discussed below) during Q1 2019. The updated Mineral Resource will then form the basis of a Scoping Study on the SPD Vanadium Project. This Scoping Study will consider both the larger project, which would produce vanadium pentoxide, and a near term low capex production option which would produce a precursor product to vanadium pentoxide.

Table 1.        SPD Vanadium Project Global Mineral Resource   
(JORC 2012, classified as Inferred, quoted above a 0.45% V2O5 cut-off to 200m depth).

Layer SG Tonnes
Whole Rock
Upper Layer 3.5 211 0.84
Intermediate Layer 3.1 188 0.55
Lower Layer (disseminated) 3.5 137 0.77
Lower Layer (massive) 3.5 52 1.37
Total   588 0.78


Table 2. SPD Vanadium Project Mineral Resource to 100m depth (0.9% V2O5 cut-off).

Layer Tonnes
Whole Rock
Upper Layer 55 1.00
Lower Layer (disseminated) 7 0.95
Lower Layer (massive) 24 1.30
Total 87 1.07


Drilling has returned numerous RC and diamond drilling results > 1% V2O5 including:

  • 14m at 0.98% V2O5 from 0m / surface (VRC043)
    • within a wider interval of 24m at 0.86% V2O5 from 0m
  • 11m at 0.99% V2O5 from 17m (VRC040)
    • incl. 2m at 1.67% V2O5 from 25m 
  • 10m at 0.99% V2O5 from 9m (VRC036)
  • 10m at 0.95% V2O5 from 17m (VRC037)
  • 9m at 1.06% V2O5 from 22m (VRC015)
    • incl. 3m at 1.45% V2O5 from 28m
  • 18m at 0.80% V2O5 from surface (VRC017)
    • incl. 4m at 1.16% V2O5 from 0m
  • 12m at 1.00% V2O5 from 46m (VRC014, Lower Layer)
    • incl. 9m at 1.13% V2O5 from 49m
    • incl. 2m at 1.74% V2O5 from 56m
  • 11m at 0.98% V2O5 from 24m (VRC019, Lower Layer)
    • incl. 8m at 1.15% V2O5 from 27m
    • incl. 2m at 1.65% V2O5 from 33m
  • 7m at 1.06% V2O5 from 61m (VRC009, Upper Layer)
    • within an interval of 54m at 0.70% V2O5 from 47m
  • 11m at 0.89% V2O5 from 36m (VRC018, Lower Layer)
    • including 7m at 1.09% V2O5 from 39m
  • 15m at 0.99% V2O5 from 94m (VRC022)
    • including 8m at 1.11% V2O5 from 95m
  • 12m at 0.98% V2O5 from 76m (VRC017)
    • including 9m at 1.12% V2O5 from 79m
  • 10m at 1.17% V2O5 from 35m (VRC045)
    • within a wider interval of 43m at 0.77% V2O5 from 18m
  • 20m at 1.20% V2O5 from 86m (VRC038)
    • incl. 7m at 1.48% V2O5 from 91m

Drill samples were passed through a Davis Tube to obtain a magnetic concentrate. Results demonstrated that vanadium concentrate grading well over 2 per cent V2O5 can be produced by simple magnetic separation of high-grade samples (>1% V2O5 unprocessed) from SPD. Metallurgical testwork is currently underway on wide diameter drill core samples from the project, aiming to replicate these results on a larger, process plant scale. Concentrate samples, along with specifications, have been provided to potential offtake partners for their review. The concentrate analysis is high quality with low levels of silica and alumina (refer ASX Announcements of 13 January 2019 and 29 January 2019) with results :

  • 25m at 2.42% V2O5 from 23m (VRC008)  
    Mass recovery 23%, whole rock 0.68% V2O5
    • including 8m at 2.32% V2O5 from 40m     
      Mass recovery 41%, whole rock 1.03% V2O5
  • 34m at 2.32% V2O5 from 21m (VDD001) 
    Mass recovery 41%, whole rock 1.03% V2O5
  • 35m at 2.15% V2O5 from 23m (VRC003)  
    Mass recovery 28%, whole rock 0.65% V2O5
    • including 9m at 2.20% V2O5 from 49m     
      Mass recovery 45%, whole rock 1.04% V2O5
  • 38m at 2.13% V2O5 from 93m (VRC010)  
    Mass recovery 27%, whole rock 1.03% V2O5
    • including 9m at 2.19% V2O5 from 123m   
      Mass recovery 47%, whole rock 1.11% V2O5
    • including 2m at 2.20% V2O5 from 129m   
      Mass recovery 68%, whole rock 1.61% V2O5
  • 35m at 2.11% V2O5 from 47m (VRC001)  
    Mass recovery 28%, whole rock 0.66% V2O5
    • including 9m at 2.19% V2O5 from 73m     
      Mass recovery 47%, whole rock 1.11% V2O5
    • including 2m at 2.24% V2O5 from 80m     
      Mass recovery 68%, whole rock 1.61% V2O5
  • 24m at 2.16% V2O5 from 0m / surface (VRC002)  
    Mass recovery 29%, whole rock 0.73% V2O5
    • including 12m at 2.15% V2O5 from 12m   
      Mass recovery 41%, whole rock 1.00% V2O5
    • including 2m at 2.20% V2O5 from 22m     
      Mass recovery 74%, whole rock 1.72% V2O5

The mass recovery expressed above refers to the weight of magnetic material recovered as a percentage of the total sample weight. The higher the mass recovery, the less material is required to be processed to achieve a production target and the less waste needs to be disposed of or stored.


Examples of magnetic (LH) and non-magnetic (RH) products from magnetic separation testwork (wet). Note analyses are awaited. Samples were taken from VDD003


The SPD Project is located in a similar geological setting to the mining operations of Rhovan (Glencore), Vametco (Bushveld Minerals) and Mapochs (formerly Evraz) in the Gauteng region of South Africa (Figure 2). Both the Rhovan and Vametco processing plants include refining to generate products used in the global steel making industry and aim to develop downstream processing to produce materials used in the battery market. The SPD Project is located only 30km from the currently dormant Mapochs mine which has a processing plant and railway infrastructure.

Vanadium mineralisation at the SPD Project is located close to the contact between the Upper Zone and Main Zone of the Bushveld Igneous Complex and adjacent to the Steelpoort Fault (Figure 1). Mineralisation is hosted in magnetite-bearing zones which dip shallowly (10-12deg) to the west.


Plan showing drilling and geology at the SPD Vanadium Project.


Location of the SPD Project and other vanadium deposits in the Bushveld Igneous Complex.