CEO Rick Menell said last week that the licence was granted only three months after it had lodged its application.
He added, however, that the company would only release the project for development once it had reached an offtake agreement with a local partner.
“Negotiations with offtake partners are advanced. “We will also select one of the funding pro- posals received from several financial institutions to finance a portion of the capital expenditure required for the project,” he said in a statement to the JSE.
The Mwambashi copper project is situated within the Musenga area, 12 km east of the main Chingola–Kitwe road. The newly-acquired mining licence, covering an area of 330 km2, includes Mwambashi and also incorporates three other exploration targets held by Teal, known as the Samba, Pitanda and Mwambashi copper prospects. These prospects were explored in the past and historical inferred resources have been defined.
Teal is currently drilling the three areas further to expand the resources and to bring these resources into compliance with National Instru- ment 43-101.
The areas all form a part of Teal’s Copperbelt joint venture that is 70%-owned by Teal, with Korea Zinc holding the balance.
The Mwambashi copper project resource is estimated at 11-million tons at a grade of 2,03% copper in the measured, indicated and inferred categories.
All Teal’s copper projects, namely Mwambashi, Konkola North, Zambia, and Kalumine, in the Democratic Republic of Congo, have now secured long-term mining licences.