HARARE, November 10 (The Source) – Australian-listed junior miner Prospect Resources has secured a seven year off-take arrangement with Hong Kong based Sinomine Resources Exploration.
Sinomine Resources Exploration will invest $10 million in Prospect’s Arcadia lithium project in Harare to fund construction of its mine and plant.
Under the offtake arrangement, Prospect agreed to sell 390,000 tonnes of spodumene concentrate and 1,097,000 tonnes of petalite concentrate using a market linked price.
“The transaction will fully fund the building of Prospect’s Lithium Mine and Plant at the Arcadia Lithium Project through to full production. This deal is the culmination of close to a year’s work,” company chairman Hugh Warner said in a statement on Friday.
Prospect and Sinomine established a joint committee to finalize the design and implementation of the plant while a feasibility study is expected to be completed in 3 months.
Sinomine president and chief executive Pingwei Wang said that the development would “create value for the local community as well as shareholders of both companies.”
The Arcadia Lithium project was recently granted national project status by the Zimbabwe government.
The project is the largest lithium deposit in Africa comprising 808,000 tonnes of lithium.
Zimlabs is continuing its growth efforts as it tries to build its footprint in Africa. Zimlabs strategic direction is to expand into new markets within the African continent. Most African countries economies are primed to grow in the next few years due to better policies,stable political & economic environments and better commodity prices on the world market. Zambia is one such country that has been on a growth trajectory for the last few years and the growth is buoyed by the resurgent copper prices and better mining practices. As such Zimlabs would be bringing its world class analytical services to Zambia to help the industry get timely accurate results to enable fast decisions.
A strategic partner has been identified and negotiations are continuing. The services that will be offered will be in the mining, agriculture and hospitality industry. Zambia’s agriculture has been growing and as such there is need for an accredited laboratory to help farmers know the nutrient content of their soils. This will help the farmers buy the correct fertilisers and get even more harvests.
The Zambian hospitality industry is also growing and as such visitors will demand better quality services. Zimlabs offers food and hygiene quality checks as well as food handlers training. These services will also be coming to Zambia when the microbiology lab is opened.
More details to follow….
The current typhoid scare in some parts of Zimbabwe has opened a Pandora’s box, with people asking if borehole and well water is safe to drink. With many boreholes in Harare’s western suburbs condemned as unfit to drink, Zimlabs has taken a leading role in water tests. Many people assume that since borehole water is from underground then its automatically safe to drink. This is a wrong and dangerous assumption, and there is need for people to be educated on the significance of water tests.
The article by Sharon Hofisi, in the Herald newspaper, http://www.herald.co.zw/encomium-a-tribute-to-water-tests/ has highlighted the need for everyone with a borehole to have their water tested. All boreholes and wells need to be tested at least once a year, especially after the rains to check if its still safe to drink.
One of Zimlabs major customers Prospect Resources, T/A Hawkmoth Mining in Zimbabwe has announced the discovery of one of the largest Lithium (Li) deposits in Africa. With this announcement, Prospect Resources is hoping to start Li mining in Zimbabwe by mid 2017. See full article on http://www.miningweekly.com/article/prospectus-eyes-lithium-start-in-2017-2016-12-13
Zimlabs is pleased to be a partner in all sample preparation and analysis of the Li exploration samples from the Arcadia project.