Dual-listed GoviEx Uranium has received a letter from the Mining Cadastre Department of Zambia notifying the company that it has terminated the Chirundu mining licence.
Under the Zambian Mines and Minerals Development Act of 2015, GoviEx has been given 30 days to appeal this decision, which the company says it has every intention to do.
The Chirundu mining licence was acquired from ASX-listed African Energy Resources in October 2017 and includes the Njame and Gwabe mineral deposits.
GoviEx says that, since it acquired the mining permit, it has ensured that all statutory reports and payments have been made.
“We are disappointed by the decision made by the Mining Cadastre with regard to the Chirundu licence and do not believe this decision is fair or in the interests of our Zambian stakeholders.
"We will appeal the decision within the allotted timeframe and hope to rectify any misunderstandings we believe were included in making this decision. Zambia has indicated its strategy to diversify its heavy weighting towards copper, and with Zambia considering nuclear energy and with the uranium price showing signs of recovery, we will stress that the decision should be reconsidered,” says CEO Daniel Major.