Lindian Resources has delivered the highly-anticipated maiden mineral resource estimate (MRE) for its Kangankunde rare earths project in Malawi, coming in at 261 million tonnes at a cracking grade of 2.19 per cent total rare earth oxides (TREO).
The company says the 5.7 million tonnes of contained rare earths included in the MRE is of excellent grade, with a high percentage of critical metal elements and non-radioactive mineralisation and positions the project among the world’s biggest rare earths deposits. Notably, management says its contained figure has 1.2 million tonnes of the key high-value critical mineral elements of neodymium and praseodymium.
It leaves Lindian well-placed to execute a primary area of its focus by advancing offtake discussions with multiple parties, in addition to pushing forward with plant construction in a bid to deliver first product next year.
Chief executive officer Alistair Stephens says the rare earths resource is an outstanding outcome that “positions us in the top echelons of critical minerals companies globally”. The company pulled its resource estimate together in just over 10 months, completing just 14,000m of drilling.
The resource estimated was completed over five domains within the overall carbonatite that were assessed against geological understanding and field observations from surface mapping and drill core. The subsets include 23 million tonnes grading 3.23 per cent TREO – which will be the focus for the initial stage-one mine development – in addition to 60 million tonnes at 2.4 per cent TREO and 46 million tonnes at 2.34 per cent TREO.
Lindian Resources executive chairman Asimwe Kabunga said: “Our maiden Mineral Resource Estimate marks a key milestone for Lindian and positions us as a major player in the global rare earths sector. We can confidently claim Kangankunde is one of the world’s largest rare earths projects superior in terms of tonnage matched with excellent grade and containing a high percentage of critical metal elements neodymium-praseodymium (NdPr), and uniquely, material that is non-radioactive.”
While the company’s resource is significant on a global scale, it is important to note that the mineralisation remains open at depth and beyond some areas of the current mineral resource envelope. It comes after management earlier this week revealed results from the first of two deep diamond drillholes at Kangankunde.
The results from the first deep hole, drilled to a depth of 980.6m, included a massive 853.6m hit at 2.73 per cent TREO from 52m and demonstrated consistent mineralisation and high grades at depth and over broad intercepts. The company used results from the upper portion of the hole to help form its MRE.
Results from the second deep diamond drill hole, completed to a depth of 1000m, are expected next month.
Lindian says “a number of meaningful announcements” that will deliver further value are still pending. With its share price up more than 1000 per cent since April last year and a hulking MRE now in the public domain, this is one stock that will no doubt now be closely watched.
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