Sovereign’s scoping study for its flagship Kasiya rutile project in Malawi is well advanced and on track for completion this quarter.

The company noted that with all technical disciplines completed and the logistics study confirming a reliable, efficient, and high-standard rail and port solution using the high quality existing infrastructure, it was now finalising capital and operating cost estimations.

Sovereign Metals (ASX:SVM) adds that an updated resource estimated targeting the conversion of existing inferred resources to the higher confidence indicated category is expected in the coming weeks.

Indicated resources have sufficient information on geology and grade continuity to support mine planning.

This is well-timed given that demand for high-grade titanium dioxide feedstocks remains strong while supply shortages have sent the prices of rutile on the spot market up in excess of US$2,000 per tonne.

“Sovereign is strongly positioned moving into the final quarter of 2021, with the fast-approaching completion of the scoping study to reveal the potential economics of this globally significant rutile discovery,” managing director Dr Julian Stephens noted.

“Continued success in our exploration campaigns at Nsaru and Kasiya suggests strong potential for near future, substantial resource growth. Further, a very strong natural rutile market continues driven by both strong demand and shortages in supply.

“The company is looking forward to presenting the Kasiya Scoping Study during the December quarter as well as updating the market on its exploration activities and introducing new capital markets to its global-scale rutile province through its planned AIM listing.”

Recent Activity

Sovereign recently completed a multi-rig core drilling program targeting high-grade rutile zones at Kasiya for conversion to the Indicated resource category to support the scoping study.

Results from this 244-hole program are expected to be reported soon.

Other work has also led to significant rutile drilling results being reported from the recently discovered Nsaru rutile deposit located adjacent to, and within the same geological domain as Kasiya.

With step-out drilling increasing the Nsaru rutile-mineralised footprint to 40sqkm, this has the potential to increase resources in early 2022.

The company’s product development and marketing activities has been ramped up with the Phase 2 bulk metallurgy program now near completion.

Further product samples have also been made available to potential offtakers for assessment.

 

 

This article was developed in collaboration with Sovereign Metals, a Stockhead advertiser at the time of publishing.

 

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

 

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