Sovereign Metals reports extensions to Malawi project

Hand-auger drilling has identified a number of zones ranging from approx. 400 m – 2 km wide over a strike length of approximately 8 km. These results indicate potential to expand the already significant, high-grade rutile and graphite Mineral Resource Estimate at Kasiya.

Results of the Pre-Feasibility Study (PFS) released in late 2023 demonstrated Kasiya’s potential to become the world’s largest rutile producer at an average of 222 kt per annum and one of the world’s largest natural graphite producers outside of China, at an average of 244 kt per annum, based on an initial 25-year life-of-mine (LOM).

The Kasiya PFS delivered compelling economics with a post-tax NPV8 of US$1.6 billion and post-tax IRR of 28%. This long-life, multi-generational operation was modelled to initially generate over US$16 billion of revenue and provide an average annual EBITDA of US$415 million per annum.

The PFS modelling was limited to only 25 yrs with an initial Probable Ore Reserves declared of 538 Mt, only representing 30% of the total Mineral Resource Estimate.

Managing Director, Frank Eagar commented: “These drilling results re-confirm the significant scale of the Kasiya deposit, with the strike now stretching over 37 km long. Sovereign continues to test the extent of regional mineralisation via low-cost hand-auger drilling, which has the potential to increase the already very large Kasiya Resource.”

Read the article online at: https://www.globalminingreview.com/mining/01022024/sovereign-metals-reports-extensions-to-malawi-project/