Lindian Resources Ltd (ASX:LIN, OTC:LINIF) has completed a pivotal 4,000-metre mine development drilling program at its Kangankunde Rare Earths Project in Malawi.
The drilling aims to define an indicated resource category, with assay results expected in early December.
A comprehensive update to the resource model, coupled with the finalisation of detailed mine design and scheduling, is on course for completion in the March quarter of 2024.
Likewise, a feasibility study is advancing as scheduled, with an expected completion date also set for next quarter.
Furthermore, discussions are currently underway with various industry participants, focusing on securing project funding as well as finalising pre-sale and off-take agreements.
“Lindian is making great progress advancing Kangankunde into development and we are committed to commissioning our low capex Stage 1 plant by late 2024 that will produce rare earths concentrate for sale to our first off-taker and other industry participants seeking our product,” said CEO Alistair Stephens
Multiple work streams underway
Stephens said: “Mine development works are advancing at a fast pace with multiple work streams well underway.
“We expect a steady flow of updates on assays, geotechnical drilling, awarding of the civil works contract and commencement of these works, and progress on the tender package for the processing plant and associated infrastructure which is also progressing to plan.
“This is underpinned by the fact that we have the majority of licences in place and continued strong support from the Malawian government and the local community."
$LIN Lindian Resources a ‘major player’ in global rare earths sector https://t.co/fYrV9eOFZ5 @asxlindian $LINIF #LIN #LINIF #ASX #ASXNews— Proactive Australia (@proactive_au) August 3, 2023
Low environmental footprint
Lindian aims to be a significant global producer of neodymium and praseodymium-bearing non-radioactive monazite mineral concentrate using water-only gravity separation techniques for mineral recovery.
This, combined with the ability to access hydroelectric power from the national Malawi grid, and progressive programs to reduce the mobile-fleet carbon emissions on site, will place the company in a unique commercial position with a low environmental footprint.
Drill program
Infill drilling for Lindian’s 4,000-metre mine development drill program is completed with all samples despatched from the site and either at the laboratory or in transit with assays to be reported progressively once received.
The drill program has been designed to convert a portion of the inferred mineral resource to the indicated category, following the declaration of a maiden mineral resource estimate (MRE) at Kangankunde of 261 million tonnes at 2.2% total rare earth oxides (TREO).
An exploration target of 400 million to 800 million tonnes at grades ranging from 2.0% to 2.7% TREO has been defined by two deep one-kilometre drill holes beneath the MRE.
$LIN Lindian Resources says Kangankunde is world’s largest REO deposit https://t.co/GVGBGb3cTv @asxlindian $LINIF #LIN #LINIF #ASX #ASXNews— Proactive Australia (@proactive_au) October 5, 2023
Forward plan
As part of the interim mine design and planning process, geotechnical drilling is due to kick off next month, consisting of a small 400-metre program that's anticipated to take 10 days.
Mining licence MML0290/22, an environmental and social impact assessment (ESIA) certificate and explosives licence are in place with an application for a water extraction licence submitted.
The resource update, along with engineering quotations for construction, will form part of the feasibility study for Kangankunde which is anticipated to be published in the March quarter.