Aim- and TSX-V-listed Mkango Resources has started a major diamond drilling programme at its Songwe Hill rare earths project, in Malawi.
The drilling programme, the Canadian mineral exploration and development company explained, is a key component of the feasibility study for Songwe, which is being fully funded by Noble Group subsidiary Talaxis.
The drilling programme is for a minimum of 5 000 m and will be focused on infill, step-out and geotechnical drilling. Over 50 drill pads have been constructed along with new access roads and enlarged camp infrastructure.
Two successful drilling programmes were completed at Songwe in 2011 and 2012, respectively, totaling about 6 850 m and culminating in a maiden mineral resource estimate, Mkango noted.
An updated mineral resource estimate is targeted for completion by the end of this year.
On Mkango publishing a National Instrument 43-101 technical report in relation to the updated mineral resource estimate, Talaxis will invest a further £7-million to fund the completion of the feasibility study for Songwe.
In the coming weeks, Mkango will be hosting investor and analyst site visits to Songwe and the Thambani uranium/tantalum/niobium project, also in Malawi.
“We are delighted to announce the start of the drilling programme at Songwe. This is a culmination of extensive preparatory work completed over recent months and we are excited to kick off what will be the largest drill programme to date at Songwe,” said Mkango CEO William Dawes.
He added that Mkango is fully funded to complete a feasibility study with a clearly defined pathway to production.