Recently, a London-based investment group valued the company at $1.43 per share.

Negotiations for mining, haulage and port handling are in progress

Neometals Ltd (ASX:NMT) is further advancing its potential direct shipping ore (DSO) operation at its 100% owned Barrambie Project in Western Australia.

Barrambie is not only one of the world’s highest-grade titanium deposits, but it also has a significant endowment of high-grade vanadium.

It has a JORC resource of 47.2 million tonnes grading 22.2% titanium oxide and 0.63% vanadium pentoxide.

Earlier this year, Neometals received applicable mining regulatory approvals for the mining of a 50,000 tonne DSO sample.

Most recently, close-spaced, grade control drilling of the proposed pit area has been completed, which is currently being modelled.

Drilling in the proposed bulk sample pit has confirmed continuity, dimensions and tenor of high-grade mineralisation.

Intersections included 13 metres 33.7 % titanium oxide and 0.81 % vanadium pentoxide from surface.

Exploration drilling confirms nearby mineralisation at Virginia Hills

Following the success of initial drilling completed at Virginia Hills in June 2017 a further 19 holes were completed.

This drilling has intersected moderate-grade titanium oxide and high-grade vanadium mineralisation, similar to the Central Zone mineralisation at Barrambie.

The drilling confirms continuity over 8 kilometres of strike of vanadium-titanium mineralisation at the Virginia Hills prospect.

Negotiations continue for mining, haulage and port handling

Negotiations for mining, haulage and port handling for the Barrambie bulk sample remain in progress.

A marketing visit to China is in progress.

Recently, a London-based investment group applied a fair net asset value for Neometals of $1.43 per share.

This valuation is at a significant premium to the current share price of $0.355.

• [Editor:Wang Linyan]