What Galileo does
What it owns
The new copper portfolio in Botswana is the current focus of attention, but there are several other assets inside the business.
The company owns the Star Zinc project in Zambia, in which it holds a 95% interest with the remaining 5% held by the Zambian government.
Aside from Star Zinc, the company also has interests in the Kashitu project, also located in Zambia, as well as a 15% interest in the Concordia copper project and a 38% stake in the Glenover rare earth project, both located in South Africa.
Elsewhere, the company also owns 100% of the Ferber gold project in Nevada, USA.
How it's doing
Galileo completed its acquisition of Africibum in November, delivering the company 100% interests in five prospecting licences known as the ‘North East Kalahari Copper Belt Project’ in Botswana. Galileo had already started an airborne survey of the acreage.
Elsewhere, the junior added it was still assessing the potential contribution from silver and germanium from ore at its Star Zinc project. One this process is finalised, it will apply for a small-scale mining permit, something that is targeted for 2021.
A deal was struck in November with Swiss trading company ZopCo concerning the potential sale of zinc willemite ore from its Star Zinc project in Zambia. AIM-listed Galileo said the appointment is on a global basis and a number of other potential off-take agreements are being finalised.
At the Glenover phosphate project in South Africa, Galileo said the only outstanding matter on its mining right application remains a Record of Decision (RoD) from the Department of Water and Sanitation (DWS) on the proposed Tailings Storage Facility (TSF) design.
What the boss says: Colin Bird, chief executive
Soon after acquiring the Kalahari property portfolio we commenced an airborne EM survey. We have on our team several specialists who have been responsible for nearby copper discoveries in the Belt and who know the signatures and indicators of mineralisation in this region.
"Currently we are utilising all their scientific knowledge and experience to process and interpret the data and produce a detailed report with drilling recommendations. Preliminary overview of the EM results highlights several EM conductors which could lead to immediate drilling targets. We are excited about our initial progress and await a final report in the coming weeks."
- An initial inferred resource estimate for the Star Zinc project
- Galileo is likely to supply up to 60,000 tonnes per annum from the Star Zinc project to Jubilee’s Kabwe zinc refinery.
- Glenover rare earths project is “well placed to benefit” as prices of the minerals are boosted by the standoff between China and the US
A small-scale mining permit at the Star Zinc project in Zambia might see mining begin in the second quarter next year.
Estimates point to a six-year life-of-mine small scale operation to produce 12,000 tonnes of zinc metal per year, with the yearly all-in costs expected to be no more than US$2mln.