Mozambique: Public, private funds to be used in $80 billion Energy Transition Strategy
FILE -Alto Ligonha Pegmatite Field, Zambezia Province, Mozambique [File photo: mindat.org]
Deccan Gold Mines Ltd (DGML), India’s only listed gold exploration and mining company, on Tuesday said it has acquired majority stake in five lithium blocks in Mozambique.
This positions DGML within Alto Ligonha pegmatite belt, globally known for its rich deposits of lithium-cesium-tantalum (LCT) pegmatites, important for extraction of lithium, tantalum, and beryllium.
The critical minerals concession blocks were acquired through DGML’s wholly-owned arm Deccan Gold FZCO (DGFZCO- DGML’s Dubai arm)), in the UAE.
”In a strategic collaboration…(DGFZCO) has forged a joint venture with the Magnifica Group of Mozambique, leveraging on its ownership of multiple concessions within the region,” the company said in a statement.
DGFZCO and Magnifica had incorporated Deccan Gold Mozambique LDA (DGMOZ) this month.
DGFZCO will hold majority ownership stake of 51 per cent in DGMOZ, with a potential to increase its ownership to 70 per cent in the near future.
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Going forward, DGMOZ plans to establish a small-scale processing plant with a capacity of 100 tonne per day to refine lithium, tantalum, and other mineral concentrates.
”The JV with Magnifica Group, shall unleash synergies in upstream capabilities and eventually also midstream that will cater to a burgeoning Indian market,” Hanuma Modali, Managing Director, Deccan Gold Mines said.
“DGFZCO (DGML’s Dubai arm) is committed to investing approximately USD 10 million over the next three years into DGMOZ to bolster exploration, operations and infrastructure across the acquired concessions. DGFZCO plans to raise the requisite capital through strategic initiatives in the United Arab Emirates,”.reads the “Update on foray into critical minerals vertical in Mozambique through Deccan Gold Mozambique LDA (step-down subsidiary)”, published ton May 12 by Deccan Gold Mines Limited.
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