Canadian dual-listed mining firm, Mkango Resources Limited, has said its Rare Earth exploration project at Songwe Hill in Phalombe District is at an advanced stage, rating its preliminary findings as convincing for potential mining.
Earlier this month, the company commenced diamond core drilling at the hill to ascertain quality and volumes of Rare Earth.
The project is now at a bankable feasibility study phase.
In an interview after inspecting the drilling process at the hill on Tuesday, Mkango Resources Chairman, Dereck Linfield, said the company was excited with progress registered.
“We need to have the project done and everybody is focusing on this project, making sure that it is a success. We are also interested in other Malawi projects. Malawi is such a wonderful place to invest in, and we are positive of finding other things to do here,” he said.
He said Rare Earth prices were now picking up on the international market due to development of electric cars, compared to the situation when Songwe project had started.
Linfield said this is a driving force for the company to hasten momentum of the project.
In a separate interview, Mkango Resources President, Alexander Lemon, said currently, Mkango has started the infill drilling programme to complete the bankable feasibility study.
He said the firm is completing 59 drill holes at Songwe Hill.
He touted impact of company’s partnership with Talaxis Limited, which pumped in about £7 million into the feasibility study.
“The partnership would help move the project forward. It has been a very important progression for the last six to 12 months and we are very excited to have the Talaxis team here with us today to see the project and the drilling programme,” he said.
He said the outlook is positive for Malawi economy as it would contribute to the global high-tech metal market.
“We are very excited as our exploration is at an advanced stage. We are completing the drilling programme for the bankable feasibility study and the project is going on very well,” he said.
Talaxis Limited Executive Director, Daniel Mamadou, said could, however, not predict the direction of Rare Earth prices which have continued to fluctuate in the recent past.
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