20th Nov 2024 13:06
(Alliance News) - Kazera Global PLC on Wednesday secured environmental authorisation for the Perdevlei concession in South Africa, leaving Kazera one step away from obtaining the mining right.
The Africa-focused mining investor said subsidiary Whale Head Minerals (Pty) Ltd was granted authorisation from the Pretoria government ahead of the anticipated January 2025 timeline.
The early win is a "significant milestone" in securing the right to mine the concession, which Kazera said contained approximately 170 hectares of high-grade heavy mineral sand deposits "believed to be suitable for immediate mining". The site is located in Alexander Bay, near diamond mines in which Kazera already holds interest.
Prior to authorisation, the company had to provide South Africa's Department for Mineral Resources & Energy with an environmental guarantee to satisfy what Kazera called "stringent" regulation.
Kazera will notify all registered interested and affected parties of the authorisation and give them 21 days to submit an appeal. If none are received in that time, Kazera expects the government to issue the mining right.
Kazera currently holds 70% direct beneficial interest in Whale Head Minerals, alongside a loan facility entitling it to approximately GBP38 million in dividends from the other shareholders. It also holds 74% beneficial interest in Deep Blue Minerals (Pty) Ltd, which mines alluvial diamonds in South Africa.
Kazera is in the process of divesting from its tantalite mining subsidiaries in Namibia.
Kazera shares were up 19% at 1.33 pence each on Wednesday afternoon in London.
By Holly Munks, Alliance News reporter
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