Mkango Resources Ltd. (TSX-V / AIM: MKA) is a Canadian dual TSX-V and AIM listed mineral exploration and development company focused on rare earth elements (REE) and associated minerals in the Republic of Malawi, a country whose hospitable people have earned it a reputation as "the warm heart of Africa". It holds through its wholly owned subsidiary Lancaster Exploration Limited a 100% interest in two exclusive prospecting licenses in southern Malawi. The Corporation's corporate strategy is to further develop the Songwe Hill rare earth deposit and secure additional rare earth element and other mineral opportunities.
Over the last five years, Mkango has advanced the Songwe Hill rare earth project in Malawi from an early stage exploration target to an updated pre-feasibility in November 2015 (NPV10 US$345 million), and is now one of the very few listed rare earth companies globally with an advanced stage rare earth project, and the only focused rare earth company listed on the London Stock Exchange.
In November 2015, Mkango announced the results of an updated Pre-feasibility study for the Songwe Hill rare earth project:
- After-tax net present value (NPV10%) of US$345 million and after-tax internal rate of return (IRR) of 37%
- Initial Capex of US$216 million, including a contingency of US$20 million, remains among the lowest in the rare earth sector
The press release in relation to the Pre-feasibility Study is available to be downloaded from Mkango's website via the following link: http://www.mkango.ca/i/pdf/nr/NR-2015-11-09.pdf. The Technical Report is available to be downloaded from Mkango's profile on SEDAR (www.sedar.com) and is also included in the Admission Document.
LSEShareTalk - 15 July 2016