Mozambique's Minister of Mineral Resources and Energy conditionally awarded Savannah Resources PLC 25-year approvals for two mining concessions at its Mutamba heavy mineral sands project, which is a joint venture with Rio Tinto.
The concessions cover a total area of 280.74 square kilometers, according to the Sept. 10 release.
CEO David Archer said that upon the formalization of the mining concessions, the joint venture will be able to progress a pre-feasibility study towards completion, after which Savannah's interest in the project will increase to 35% from 20%. It can then increase its interest to 51% by completing a feasibility study.
In September 2018, Savannah Resources subsidiary Matilda Minerals Lda. submitted an application for an additional mining lease at Mutamba.
