Aim-listed Savannah Resources’ subsidiary, Matilda Minerals, has been granted a third mining licence over the Mutamba heavy mineral sands project area, in Mozambique.
This licence covers 11 807 ha and is valid until September 2044, with a 25-year extension option.
The licence is the third of three contiguous concessions granted to Matilda Minerals, which enables full tenement permitting of the project.
The first licence covers 11 948 ha of prospective land and the second 16 126 ha of land.
The Mutamba tenement contains an indicated and inferred mineral resources of 4.4-billion tonnes, grading 3.9% total heavy minerals.
Savannah is the operator of Mutamba, which is held in joint venture with diversified miner Rio Tinto.
Savannah currently holds a 20% interest in the project and will increase this to 35% upon delivery of a prefeasibility study, which is currently under way. Its stake will, ultimately, increase to 51% upon the delivery of a feasibility study.