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Wednesday, May 1, 2019

Mkango Resources Ltd well-funded through deal with Talaxis

Mkango Resources Ltd well-funded through deal with Talaxis: Malawi-focused Mkango Resources Ltd (LON:MKA) closed 2018 with cash of US$2.4mln, a figure boosted by its collaboration with Noble Group division Talaxis.

Since then, the junior has received a further US$9mln from Talaxis following completion of a technical report on the Songwe Hill rare earth project.

Through that investment, Talaxis increased its stake in Lancaster Exploration, the holder of the licence for Songwe in Malawi, to 49%; Mkango holds the remaining 51%.

Mkango posted a loss of US$7.2mln in 2018 as it ramped up spending on a feasibility study at Songwe Hill that will be finished next year.

Once that is published, Talaxis has the option to take a further 26% of the project in return for arranging the finance to take it through to production.

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