Prospect Resources Secures Licences for Mumbezhi Copper Production in Zambia
Prospect Resources has been granted two large-scale mining licences for its Mumbezhi copper project in Zambia, securing a 25-year tenure. The project boasts a mineral resource estimate of 107 million tonnes grading 0.5% copper, aiming to support Zambia’s copper production goals. The company plans further exploration and drilling in 2025, capitalizing on Zambia’s mining incentives.
Prospect Resources, an Australian exploration and development company, has successfully acquired two large-scale mining licences (LMLs) for its prominent Mumbezhi copper project located in north-west Zambia. The issuance of these LMLs secures a tenure of 25 years, renewable for further 25-year terms, and is vital for ongoing project development, financing, and long-term operational plans. Unlike the Australian model, where a mining licence marks the final development stage, the LMLs substantially reduce project risks.
The Mumbezhi project boasts a promising maiden mineral resource estimate of 107 million tonnes (mt) with a grade of 0.5% copper, translating to approximately 515,000 tonnes. This resource base positions Mumbezhi to significantly contribute to Zambia’s ambitious objective of achieving three million tonnes per annum (mtpa) by the year 2031. Managing Director and CEO, Sam Hosack remarked on the swift approval of LMLs, stating it signifies the asset’s substantial opportunity and the diligent approach taken by their team in Zambia.
Prospect Resources stands to gain from Zambia’s advantageous mining tax incentives while potentially negotiating additional benefits under the Zambia Development Agency framework. The company’s exploration is ongoing through the Nyungu Corridor and Kabikupa, with future drilling operations planned for the second quarter of 2025. These efforts are aimed at expanding the company’s copper resource portfolio and steering towards a large-scale mining initiative.
Hosack expressed enthusiasm about the imminent recommencement of drilling at Mumbezhi, focusing on exploring the regional potential of this extensive prospect area. Priority targets will include the largely untested Nyungu ‘Corridor’, where significant opportunities remain. The project is strategically located in a global geological hotspot, which has been substantiated by the magnitude and longevity of surrounding major copper operations, presenting a compelling opportunity for future development at Mumbezhi.
In summary, Prospect Resources has secured two large-scale mining licences for its Mumbezhi copper project, ensuring 25 years of tenure renewable in subsequent terms. The project aims to play a key role in Zambia’s copper production goals. With an encouraging mineral resource estimate and a commitment to further exploration, Prospect is well-positioned to advance its operations significantly within the lucrative Zambian mining sector.
Original Source: www.mining-technology.com
