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AVZ to invest AUS$25 million in Manono Lithium and Tin project

Published by
Global Mining Review,


AVZ Minerals Ltd has committed to invest AUS$25 million to advance its drilling programme at Roche Dure and early works programme for the Manono Lithium and Tin Project, using funds received from the recent AUS$75 million capital raising.

Highlights

  • Approval of early works programme to maintain project timetable pending award of mining licence.
  • Extension drilling programme approved at Roche Dure, targeting potential expansion of JORC reserves.
  • Manono Project continues to receive wide ranging government support for all outstanding permitting and licensing requirements.
  • Cornerstone investor fully supportive of all initiatives to advance the Manono Project and close the transaction implementation agreement.

The AUS$25 million investment will assist maintaining the achievement of the Manono Project timetable. It will also fund an extension drilling programme at Roche Dure, with the potential to significantly expand the previously reported JORC mineral resource and ore reserves.

Managing Director, Nigel Ferguson, said: “This decision demonstrates the Board’s confidence of receiving the support required to make the development of the Manono Project a reality and importantly, should maintain our project development timetable despite the award of the mining licence taking longer than we had previously anticipated.”

“We are in close consultation with the DRC government authorities that are undertaking the mining licence assessment and are confident of delivering a favourable outcome for all stakeholders – most importantly the people of the DRC and our shareholders.”

“The drilling programme has the potential to add significant value with respect to expanding the reserve life of the Roche Dure deposit, whilst also identifying high grade ore zones for initial feed to the plant, providing increased SC6 production volumes from the start of operations.”

Early works programme

The early works program to be undertaken in 2H FY21 – FY22 financial year comprises approximately AUS$19 million, which has been allocated to:

  • Upgrade existing roads and bridges to assist with the transport of equipment to and from site.
  • Purchase critical mobile equipment required for initial project development.
  • Progress camp construction and enter key service contracts.
  • Progress various technical studies with respect to metallurgical testwork, downstream processing and infrastructure projects.

The remaining AUS$6 million was approved for additional resource drilling at Roche Dure.

Read the article online at: https://www.globalminingreview.com/exploration-development/14022022/avz-to-invest-aus25-million-in-manono-lithium-and-tin-project/

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African mining news Lithium mining news