Australia Stock Exchange (ASX)-listed Black Rock Mining has been awarded a special mining license for its Mahenge graphite project, in Tanzania.
The company said on Wednesday that the special mining license, along with the exemptions granted, was reviewed and approved by the Cabinet of United Republic Tanzania, which comprises the President, Vice President, President of Zanzibar, Prime Minister and all the Ministers.
“The awarding of a new special mining license for the Mahenge graphite project area provides permit coverage for the entire mining operation, and importantly confirms the Tanzanian government’s commitment to seeing the Mahenge graphite project advanced into production,” said Black Rock MD and CEO John de Vries.
“This is an important milestone for Black Rock and represents the final key regulatory hurdle, derisks our financing process and enables commencement of construction. The company is now focused on progressing the project development financing process alongside it’s customer and project execution activities.”
The special mining license covers an area of 35 km2, which has been granted to the Faru Graphite Corporation joint venture (JV), in which Black Rock holds an 84% interest and the Tanzanian government the remaining 16%.
Black Rock is currently working to update the feasibility study estimates for the Mahenge project as part of front-end engineering work being undertaken.
A 2019 definitive feasibility study estimated that Mahenge could produce some 340 000 t/y of graphite during Stage 1 operations, for a capital investment of $116-million.
SOURCE: MINING WEEKLY