Savannah Resources PLC Full Tenement Permitting Completed at Mutamba (6609Z)
January 14 2020 - 1:00AM
UK Regulatory
TIDMSAV
RNS Number : 6609Z
Savannah Resources PLC
14 January 2020
14 January 2020
Savannah Resources Plc ('Savannah' or the 'Company')
Full Tenement Permitting Completed
Third Mining Concession Issued for the Mutamba Heavy Mineral
Sands Project, Mozambique
Savannah Resources plc (AIM: SAV, FWB: SAV and SWB: SAV), is
pleased to announce that the Minister of Mineral Resources and
Energy in Mozambique has issued Mining Licence 9228C ('Licence
9228C' or the 'Concession') to Mutamba Mineral Sands S.A. This
completes the grant of the three core, contiguous concessions in
the Mutamba Heavy Mineral Sands Project in Mozambique ('Mutamba' or
the 'Project'), over which the Company operates a joint venture
with mining major Rio Tinto.
To view the announcement with the illustrative maps and
diagrams, please use the following link:
http://www.rns-pdf.londonstockexchange.com/rns/6609Z_1-2020-1-13.pdf
Highlights
-- Licence 9228C issued, covering 11,807 hectares ('ha') and
valid to September 2044, with the possibility of an additional
25-year extension
-- Licence 9228C is part of Mutamba, which contains an Indicated
and Inferred Mineral Resource of 4.4Bt, grading 3.9% total heavy
minerals
-- Licence 9228C is the third and final of three contiguous
concessions and completes 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 Chief Executive Officer said: "The
issue of Licence 9228C by the Government of Mozambique completes
the licensing process for the three core Mutamba concessions. The
process has been rigorous and demanding but we have now achieved
one of the most important milestones in the orderly progression
towards mine development. In the short term, our focus will be to
continue to progress the Mutamba Pre-Feasibility Study ('PFS')
towards completion, which, upon delivery, will trigger the increase
in our interest in the Project from 20% to 35%. With an Indicated
and Inferred Mineral Resource of 4.4Bt at 3.9% total heavy
minerals, the global significance of the opportunity is clear and
compelling."
Further Information:
Savannah is the operator of Mutamba, which is held in joint
venture with Rio Tinto. Savannah currently holds a 20% interest in
the Project and will increase this to 35% upon delivery of the PFS,
which is currently underway, and ultimately to 51% upon delivery of
a Feasibility Study.
The Project contains a JORC compliant Indicated and Inferred
Mineral Resource of 4.4Bt, grading 3.9% total heavy minerals. It
consists of three concessions, including Licence 9228C, which has
now been issued with a mining licence valid to September 2044 with
the possibility of an additional 25-year extension. See Table 1 for
a full status on the Mining Licence/Application Details of all four
concessions.
The mining concessions are well served by road and air transport
and are situated near the Port of Inhambane. A 30MVA electricity
substation was inaugurated in January 2019 and sits at the edge of
the Project area. In addition, there is a 32MVA electricity
substation less than 100km away in the town of Massinga.
Table 1. Mining Licence / Application Details
Mining Concession Mining Concession Area in Area in Expiry Date Status
Number Name Hectares Sq. Kilometres
- km2
Jangamo Licence
9935C Matilda 11,948 119.48 09/04/2044 Issued
------------------ ---------- ---------------- ------------ ---------------
Jangamo Licence
9228C Rio 11,807 118.07 03/09/2044 Issued
------------------ ---------- ---------------- ------------ ---------------
Licence
9229C Dongane 16,126 161.26 06/05/2044 Issued
------------------ ---------- ---------------- ------------ ---------------
Under
9230C Chilubane 13,797 137.97 - Consideration
------------------ ---------- ---------------- ------------ ---------------
Figure 1. Map of the Mutamba Project Area
Competent Person and Regulatory Information
The information in this announcement that relates to exploration
results is based upon information compiled by Mr. Dale Ferguson,
Technical Director of Savannah Resources Limited. Mr. Ferguson is a
Member of the Australasian Institute of Mining and Metallurgy
(AusIMM) and has sufficient experience which is relevant to the
style of mineralisation and type of deposit under consideration and
to the activity which he is undertaking to qualify as a Competent
Person as defined in the December 2012 edition of the "Australasian
Code for Reporting of Exploration Results, Mineral Resources and
Ore Reserves" (JORC Code). Mr. Ferguson consents to the inclusion
in the report of the matters based upon the information in the form
and context in which it appears.
This announcement contains inside information for the purposes
of Article 7 of Regulation (EU) 596/2014.
**ENDS**
For further information please visit www.savannahresources.com
or contact:
David Archer Savannah Resources Tel: +44 20 7117 2489
plc
David Hignell / Charlie SP Angel Corporate Tel: +44 20 3470 0470
Bouverat (Nominated Adviser) Finance LLP
Christopher Raggett (Joint finnCap Ltd Tel: +44 20 7220 0500
Broker)
Grant Barker (Joint Broker) Whitman Howard Tel: +44 20 7659 1225
Charlotte Page / Cosima St Brides Partners Tel: +44 20 7236 1177
Akerman (Financial PR) Ltd
About Savannah
Savannah is a diversified resources group (AIM: SAV) with a
portfolio of energy metals projects - lithium in Portugal and
copper in Oman - together with the world-class Mutamba Heavy
Mineral Sands Project in Mozambique, which is being developed in a
consortium with the global major Rio Tinto. The Board is committed
to serving the interests of its shareholders and to delivering
outcomes that will improve the lives of the communities we work
with and our staff.
The Company is listed and regulated on AIM and the Company's
ordinary shares are also available on the Quotation Board of the
Frankfurt Stock Exchange (FWB) under the symbol FWB: SAV, and the
Börse Stuttgart (SWB) under the ticker "SAV".
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
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