Premier African Minerals Limited (LON:PREM) owns 49% of RHA tungsten mine in Zimbabwe
General agreement reached over funding for the re-start of production at the mine
Sign-off from Zimbabwe government on a US$6mln investment in the mine was received in May
First concentrate to be shipped within 100 days of receiving funding
Premier African confirmed as the mine operator for five years
What it owns
RHA is situated in an area of historic production, approximately 270km northwest of Bulawayo.
The project comprises 50 Mineral Claim Blocks, covering 1,800 hectares, consisting of 10 owned by Premier and 40 which are under option.
Small-scale surface and underground mining was conducted at the site between 1931 and 1979.
The deposit is approximately 800m in strike length and 300m wide.
Premier African recently announced a resource of 22.1mln tonnes at 2.45kg per tonne in both the underground and open pit operations.
To date, Premier African Minerals has invested around US$18mln in the acquisition and development of the mine.
Zulu lithium project
Situated 80km from Bulawayo in Zimbabwe, Premier believes the project is potentially the largest undeveloped lithium bearing pegmatite in Zimbabwe.
Zulu comprises 14 mineral claims covering a surface area of 3.5 km2 which are prospective for lithium and tantalum mineralisation.
In June 2017, Premier announced a Maiden Mineral Inferred Resource Estimate on Zulu of 20.1 million tonnes grading 1.06% Li2O.
A scoping study in 2017 indicated a value of US$127mln for a 15-year open cast operation mining a concentrate of spodumene and petalite
Premier African owns just over 5mln shares in the privately-owned natural resources group, which is developing its wholly-owned Danakil Potash project in the Danakil Depression in Northern Ethiopia.
The Danakil Project has the potential to be a world class potash project says Premier
What the boss says: George Roach, chief executive
"! am comfortable that RHA is going to be funded and brought back into production and I am looking forward to seeing the plant running and wolframite being produced."
- Receipt of funds for RHA re-start
- Re-start of mining at the tungsten mine
- Concentrate shipped from RHA within 100 days
- Exclusive prospecting order (EPO) issued at Zulu
- Drilling at Zulu gets underway for a definitive feasibility study
- Development progress at Circum
Outlook for tungsten demand is becoming brighter says Roach, which should help prices