The Mining Licence provides the Company with exclusive development and mining rights over the graphite resources within the 8.54km2 Mining Licence
Mining Licence ML/007744/2020 granted covering the long-life low cost Mahenge Liandu Graphite Project. (Credit: Alex Banner/Pixabay)
Armadale Capital plc (LON: ACP) the AIM quoted investment group focused on natural resource projects in Africa, is pleased to announce the formal confirmation and receipt of the Mining Licence for its 100%-owned Mahenge Graphite Project in south-east Tanzania from the Tanzanian Ministry of Energy and Minerals. The Mining Licence provides the Company with exclusive development and mining rights over the graphite resources within the 8.54km2 Mining Licence and is a major de-risking milestone for investors.
HIGHLIGHTS
Mining Licence ML/007744/2020 granted covering the long-life low cost Mahenge Liandu Graphite Project
Transformational permitting milestone for Armadale to build a significant high-grade graphite mine with robust economics (DFS showing pre-tax NPV of $430m, IRR of 91% and Payback Period of 1.6 years)
Armadale Chairman, Nick Johansen, commented:
“We are delighted to announce another crucial step forward in the development of the Mahenge Liandu graphite Project and we also wish to thank the Tanzanian Ministry of Energy and Minerals for their considerable support throughout the application process. In addition, we would also like to extend our thanks to key members of the wider Armadale team for their efforts in completing this important piece of work.
Receipt of the 10-year Mining Licence for the Mahenge Liandu graphite project is one of the final and most important de-risking milestones for the Company and allows us to push forward towards construction of our planned initial Stage 1 60,000 tonne per annum capacity for the project – an initiative which will bring significant benefits to stakeholders, both local communities and plc level investors.
Armadale continues to make progress in other crucial workstreams and as previously indicated, we are making positive progress in development funding options specifically a debt package for the project, the Company is also currently in discussions with a number of potential finance partners; we are hoping to be able to announce some further progress with regards to these efforts and also with our offtake discussions in the near term.”
Source: Company Press Release