Dual-listed Mkango Resources Limited, a mining firm exploring rare earths at Songwe Hills in Phalombe and Thambani in Neno, says it is at an advanced stage in its exploration works.
This is the seventh year since the company started exploration works in the country, and has drilled approximately 7 000 metres of drill holes into the Songwe Hills and investing in excess of $15 million (K11 billion) on the project.
In an e-mail response on Monday, Mkango Resources Limited president Alex Lemon said the miner company is now working on completing a bankable feasibility study that will take 12 to 18 months.
Explained Lemon: “Following a positive bankable feasibility study, funding is then obtained to build a mine and processing plant. As the Malawi Geological Survey will confirm, taking an exploration project from an early stage greenfield site, through scoping study, pre-feasibility study, bankable feasibility study and then construction can take 10 to 15 years.”
Mining experts say many exploration projects do not even reach the point of completing a scoping study due to poor exploration results.
But Mkango has obtained good exploration results and continue to develop the project. ■