Springstone, a joint venture between Canada’s Gold Canyon Resources and Japan Oil, Gas & Metals National Corporation (Jogmec), has resumed exploration for rare-earth elements (REE) at Mulanje Mountain, in southern Malawi, following a High Court ruling setting aside an injunction to halt the project that was obtained by members of a nearby community.
The injuction was issued on December 7, after members of the community had argued that the exploration campaign would impact on the environment.
However, on May 3, the High Court delivered its ruling, which, besides others, held that “the company had been carrying out its REE exploration in accordance with the terms and conditions of its licence under a commitment to cause minimal disturbance of the environment and ensure the conservation of the environment at the mountain and in the surrounding areas”.
Springstone, which has engaged Japan’s Mitsui Mineral Development & Engineering Company (Mindeco) to undertake exploration drilling at the site, says: “We will continue to carry out our business within the confines of the applicable laws and in full consultation with all relevant local and national stakeholders. We also remain committed to closely working with the Malawi government and to contributing effectively to the social and economic development of Malawi.”
The drilling campaign, now in the second phase, will entail the sinking of 167 holes on a staggered 200 m grid.
Drilling started in 2011 and has led to the discovery of a superficial horizon of REE-bearing kaolinite/halloysite clay, ranging in thickness from 3 m to 26 m.
“Analysis of core from these holes indicates that this clay contains comparable levels of total rare-earth enrichment to its Chinese counterparts as well as similar heavy rare-earth enrichment. Very low radioactivity is associated with the clays, which is a potentially positive metallurgical attribute,” says the firm.
It says initial leach testing conducted at Mindeco’s research and development centre indicated that the recovery of REEs would be possible through leaching of this clay using simple ionic solutions, such as those employed in China, followed by precipitation of the REE carbonates.
In addition to drilling, Springstone is under- taking extensive baseline environmental work, including a study on how indigenous vegetation could be regenerated as part of the future development of the site.
Gold Canyon holds a 33% shareholding in Springstone and Jogmec 67%.