MWANZA -Mkango Resources can continue exploring its Thambani project in southwest Malawi for a further two years – after the government granted a licence renewal.
The company made the announcement as it updated on current activities and its plan to list in London as well as in Canada.
The firm has identified two distinct uranium anomalies at the Thambani East and West Ridges.
In January this year, the firm said it had identified high grades of uranium, niobium and tantalum at its Thambani project from a re-evaluation of surface work at the southern Malawi project.
Assay results from 142 soil and rock chip samples in nine trenches showed the three metals in most trenches, with best grades of 4.7% U3O8 (uranium) and 3.25% Nb2O5 (niobium) in soil and up to 0.42% U3O8, 0.78% Nb2O5 and 972 ppm Ta2O5 (tantalum) in rock chips.
Today, Mkango said the dual listing process was “well advanced”.
The firm’s Songwe Hill rare earth projects is one of the few globally that has advanced beyond pre-feasibility and against a “backdrop” of a potential recovery in prices of some rare earths, it believes the listing will “enable a broader access to capital and provide a stronger platform for development as the Songwe Hill rare earth project, also in Malawi, advances through the feasibility stage”.
Last week, the group secured C$1.125mln from investors in a non-brokered placing after selling 45mln units – containing one share and half a share warrant – priced at 2.5 cents each.
The proceeds are funding the continued flow sheet optimisation, product marketing and other technical expenditures, as well as expenditures relating to an environmental, social and health impact assessment (ESHIA) which forms part of a feasibility study.