Savannah Resources plc has announced that the Minister of Mineral Resources and Energy in Mozambique has issued Mining Licence 9229C to Mutamba Mineral Sands S.A. This new Concession is the second mining license issued over the Mutamba Heavy mineral sands project in Mozambique, which is held in joint venture with mining major Rio Tinto.
- Licence 9229C issued, covering 16 126 hectares and valid to May 2044, with the possibility of an additional 25 year extension.
- The licence is part of Mutamba, which contains an Indicated and Inferred Mineral Resource of 4.4 Bt, grading 3.9% total heavy minerals.
- It is the second of three contiguous concessions to be issued that will result in the full tenement permitting of Mutamba.
- The concession is close to the Port of Inhambane and has a daily air service, a reliable power supply and excellent road connections.
David Archer, Savannah’s CEO said: “We are delighted with progress thus far at Mutamba, which we’re developing in partnership with Rio Tinto. We believe this is one of the most attractive undeveloped mineral sands deposits in the world. Having received a second Mining Licence, we’re now waiting on a third, which has already been conditionally awarded; together, the three concessions contain an Indicated and Inferred Mineral Resource of 4.4 Bt at 3.9% total heavy minerals.”
Savannah is the operator of Mutamba, which is held in joint venture with Rio Tinto. Savannah currently holds a 20% interest in the project but can increase this to 35% upon delivery of the PFS, which is currently underway, and ultimately to 51% upon delivery of a feasibility study (FS).
The project contains a JORC compliant Indicated and Inferred Mineral Resource of 4.4 Bt, grading 3.9% total heavy minerals. It consists of four concessions, including Licence 9229C, which has now been issued with a mining licence valid to May 2044 with the possibility of an additional 25 year extension.
The tenements are served by road and air transport and are situated near the Port of Inhambane. A 30 MVA electricity substation was inaugurated in January 2019 and sits at the edge of the Project area. In addition, there is a 32 MVA electricity substation less than 100 km away in the town of Massinga.
Read the article online at: https://www.globalminingreview.com/finance-business/13122019/second-mining-concession-issued-for-mutamba-heavy-mineral-sands-project-mozambique/