It is an thrilling addition to the () portfolio: a joint venture on two copper exploration licences just a few kilometres absent from the ground famously worked up by MOD, Metal Tiger () and Sandfire ().
The official joint venture was signed in mid-February subsequent an original memorandum of being familiar with that was agreed in September of 2019. But it is not very likely to conclusion there.
“We’re in the system of placing jointly pretty a sizeable land package in that spot,” suggests Kavango’s main executive Mike Foster.
“We have programs to lengthen our ground keeping more.”
Partly that’s since of the huge prospectivity of the places Kavango is targeting, but it is also since of the optimistic reception the move has received in the marketplace.
Following all, traders are only much too cognizant of the transform Metal Tiger was ready to make on its investment in the close by T3 undertaking, which was sooner or later taken wholly-in home by MOD ahead of MOD in transform was acquired by Sandfire.
The spot is, suggests Foster, “one of the world’s most promising underneath-explored copper provinces
So, this is common territory for traders, and in the months immediately after the MoU was first signed Kavango’s shares virtually doubled, though they have considering that fallen again.
An exploration programme, which will get underway, ought to give more appealing newsflow and may possibly nevertheless promote the marketplace more.
In the meantime nevertheless, Foster, and non-executive director Mike Moles, are both equally keen to emphasise that the company’s unique undertaking – the 1 it was stated on – continues to be vital.
“The new copper ground doesn’t always acquire any of the pizazz absent from the Kalahari Suture Zone,” suggests Foster.
“We really do not want people today to feel we’ve moved on to yet another undertaking,” he suggests. “I feel the drive is to give traders a tumble-again placement. The Kalahari Suture Zone has large hazard, and no one else has received any success from there.”
But the matter about the KSZ is that permitting that it is large hazard, the likely reward is equally large. When Moles talks of comparisons he mentions Voisey’s Bay and Norilsk, two of the most significant polymetallic projects any place in the planet.
“Most of the other big bodies of gabbro in comparable predicaments as KSZ do have big deposits of substantial sulphides in them,” he suggests.
“Indeed, there could be a large quantity of substantial sulphides.”
The trick is to find them. To that conclusion, Kavango has currently carried out an airborne geophysical survey which has penetrated down to depths of four hundred metres, ground electromagnetics, and it has accomplished some drilling.
“We are ready to map,” suggests Moles. “We’re setting up up a image.”
In a feeling, he suggests, it is a box ticking exercising. “You know what criteria you will need for a undertaking like Voisey’s Bay or Norilsk, you will need to tock the proper boxes, and so far we have. If we really do not find a substantial sulphide on KSZ, then any individual else will in the upcoming. But provided we can hold funding, we feel we will.”
More magnetic survey perform is prepared, in unique the deployment of a larger transmitter built to make a larger recent and enable the business to see previous all the salted groundwater that’s earlier interfered with the interpretation of info. And immediately after that there ought to be a lot more drilling.
At the identical time, perform on the copper ground will be commencing to assemble momentum, so all informed, it looks like there ought to be a nutritious movement of information about the coming calendar year. By the conclusion of that system the business could glimpse quite distinct certainly.