It’s an remarkable addition to the () portfolio: a joint enterprise on two copper exploration licences just a couple of kilometres away from the ground famously labored up by MOD, Steel Tiger () and Sandfire ().
The formal joint enterprise was signed in mid-February pursuing an original memorandum of knowledge that was agreed in September of 2019. But it’s not possible to conclude there.
“We’re in the course of action of putting jointly fairly a considerable land bundle in that location,” states Kavango’s main government Mike Foster.
“We have strategies to prolong our ground keeping additional.”
Partly that’s due to the fact of the huge prospectivity of the locations Kavango is targeting, but it’s also due to the fact of the favourable reception the shift has obtained in the marketplace.
After all, investors are only far too cognizant of the convert Steel Tiger was capable to make on its financial investment in the close by T3 venture, which was ultimately taken wholly-in residence by MOD right before MOD in convert was acquired by Sandfire.
The location is, states Foster, “one of the world’s most promising less than-explored copper provinces
So, this is acquainted territory for investors, and in the months immediately after the MoU was very first signed Kavango’s shares almost doubled, though they have considering that fallen back again.
An exploration programme, which will get underway, really should deliver additional attention-grabbing newsflow and might nevertheless stimulate the marketplace additional.
In the meantime however, Foster, and non-government director Mike Moles, are equally keen to emphasise that the company’s first venture – the 1 it was stated on – stays essential.
“The new copper ground does not automatically consider any of the pizazz away from the Kalahari Suture Zone,” states Foster.
“We do not want people today to imagine we’ve moved on to one more venture,” he states. “I imagine the drive is to give investors a fall-back again placement. The Kalahari Suture Zone has high chance, and nobody else has obtained any success from there.”
But the matter about the KSZ is that allowing that it’s high chance, the possible reward is similarly high. When Moles talks of comparisons he mentions Voisey’s Bay and Norilsk, two of the most significant polymetallic initiatives any where in the globe.
“Most of the other big bodies of gabbro in similar circumstances as KSZ do have big deposits of massive sulphides in them,” he states.
“Indeed, there could be a big amount of massive sulphides.”
The trick is to uncover them. To that conclude, Kavango has by now undertaken an airborne geophysical study which has penetrated down to depths of 400 metres, ground electromagnetics, and it has done some drilling.
“We are capable to map,” states Moles. “We’re developing up a picture.”
In a feeling, he states, it’s a box ticking workout. “You know what requirements you need to have for a venture like Voisey’s Bay or Norilsk, you need to have to tock the right boxes, and so far we have. If we do not uncover a massive sulphide on KSZ, then any person else will in the upcoming. But provided we can maintain funding, we imagine we will.”
Far more magnetic study do the job is planned, in unique the deployment of a more substantial transmitter created to create a more substantial current and enable the business to see past all the salted groundwater that’s beforehand interfered with the interpretation of information. And immediately after that there really should be more drilling.
At the identical time, do the job on the copper ground will be commencing to collect momentum, so all advised, it appears to be like there really should be a healthful movement of information around the coming year. By the conclude of that course of action the business could glimpse quite unique without a doubt.