Lindian Resources Ltd (ASX:LIN, OTC:LINIF) is advancing toward rare earth elements (REE) production in Malawi with an extensive 4,000-metre mine development drill program nearing completion at the Kangankunde project, which has the potential to be one of the largest REE deposits in the world.
This pivotal program is designed to upgrade about 20 million tonnes of inferred mineral resources to indicated resources, thereby accelerating the project's transition to production.
Finalisation of civil engineering designs is also nearing completion, signalling forthcoming construction activities.
Additionally, engineering designs for the Stage 1 processing plant are progressing steadily.
This plant will address specific market demands for monazite mineral concentrate, covering aspects such as recovery, finishing and storage.
The maiden mineral resource estimate at Kangankunde delivered 261 million tonnes at 2.19% TREO for 5.7 million tonnes of TREO in the inferred category.
Read: Lindian Resources' maiden 261 million tonnes at 2.19% resource places Kangankunde as one of world's largest REE deposits
“World’s premier rare earth assets”
Lindian CEO Alistair Stephens said: “With the success of our inaugural 2-phase drill program and strength of our maiden MRE, we are pleased to report rapid ongoing progress with respect to our mine development plans.
“Near-term operations are highlighted by the recent commencement of a ~4,000-metre mine development infill drill program that is targeting a conversion of a material portion of the inferred MRE to indicated status.
“Alongside that, the Lindian management team has prioritised the commissioning of an on-site Stage 1 processing plant.
“With onsite activities ramping up, we are preparing for another busy period of news flow in the December quarter as Lindian pursues its stated objective to develop Kangankunde into one of the world’s premier rare earth assets with Stage 1 commissioning at the end of 2024.
“Lindian reiterates the strong support from the Malawian Government and local community for its commitment to rapidly bring Kangankunde into production with the project underpinned by secure tenure of Mining Licence MML0290/22 and Environmental and Social Impact Assessment (ESIA) study with Certificate No. 2.10.16., granting the company the right to develop, mine, process and sell mineral concentrate.”
Mine development program
With all drilling and metallurgical work commissioned to date, Lindian has executed its stated strategy to develop Kangankunde into a globally significant TREO mineral resource.
Work has kicked off on the next phase of development, beginning with a 4,000-metre mine development drill program to convert a portion of the inferred MRE to an indicated MRE.
The area of conversion is supported by a Whittle mine optimisation process to outline the area of initial mine development as well as geo-analytical assessment of drill spacing needed to achieve indicated resources.
The drill program is underway and is targeting the conversion of about 20 million tonnes to indicated resources to support stage 1 processing operations and a forthcoming mine design schedule.
Forward plan
LIndian is nearing completion of engineering and contract documentation for the tendering and subsequent award of contracts for civil works followed by:
- process plant facility and infrastructure detailed engineering design (concrete, structural, mechanical, piping, electrical & instrumentation);
- procurement of key equipment & bulk materials;
- construction, installation, and commissioning works; and
- mining services (drill, blast, load, haul, crush, screen to ROM pad).