Mkango Resources Ltd (AIM:MKA, TSX-V:MKA, OTC:MKNGF) has said discussions are ongoing with the Malawi government over a mining development agreement (MDA).
The rare earths group believes it would benefit from an MDA and an independent law firm has been appointed by the government to provide advice.
Mkango posted losses of US$663,000 in the final quarter of 2022, with the net deficit for the year overall amounting to US$5.99mln.
Since the year, Mkango has received an environmental permit for its Songwe Hill project in Malawi and raised £3.5mln in new equity.