AVZ Minerals Limited (ASX: AVZ, OTCQX: AZZVF) has committed to invest A$25M to advance its drilling programme at Roche Dure and early works programme for the Manono Lithium and Tin Project in the Democratic Republic of Congo (DRC).
The company will utilise funds received from a recent A$75M capital raising, with the $A25M investment assisting to maintain the Manono Project timetable.
Managing Director, Nigel Ferguson, said it will also fund an extension drilling programme at Roche Dure, with the potential to significantly expand the previously reported JORC mineral resource and ore reserves.
“This decision demonstrates the Board’s confidence of receiving the support required to make the development of the Manono Project a reality and importantly, should maintain our project development timetable despite the award of the Mining Licence taking longer than we had previously anticipated,” Mr Ferguson said.
“We are in close consultation with the DRC Government authorities that are undertaking the Mining Licence assessment and are confident of delivering a favourable outcome for all stakeholders – most importantly the people of the DRC and our shareholders.
“The drilling programme has the potential to add significant value with respect to expanding the reserve life of the Roche Dure deposit, whilst also identifying high grade ore zones for initial feed to the plant, providing increased SC6 production volumes from the start of operations.”
Early Works
The early works programme to be undertaken in the second half of the 2021-2022 financial year comprises approximately A$19m which has been allocated to:
• Upgrade existing roads and bridges to assist with the transport of equipment to and from site.
• Purchase critical mobile equipment required for initial Project development.
• Progress camp construction and enter key service contracts; and
• Progress various technical studies with respect to metallurgical testwork, downstream processing and infrastructure projects.
The remaining A$6m was approved for additional resource drilling at Roche Dure.
AVZ holds a 75% interest in the Manono Project, located 500km north of Lubumbashi in the south of the Democratic Republic of Congo, hosting the world class Roche Dure Mineral Resource, one of the largest undeveloped hard rock lithium deposits in the world.
The Manono Project is strategically positioned as a clean, sustainable source of lithium, significantly contributing to the green energy transition, feeding the global lithium-ion battery value chain. With industry leading ESG credentials, it is forecast to be one of the lowest carbon emitting hard rock mines in the world.
For further information please visit: https://avzminerals.com.au/
