It is an fascinating addition to the () portfolio: a joint undertaking on two copper exploration licences just a couple of kilometres absent from the ground famously worked up by MOD, Metal Tiger () and Sandfire ().
The official joint undertaking was signed in mid-February adhering to an first memorandum of knowing that was agreed in September of 2019. But it’s not very likely to stop there.
“We’re in the approach of putting jointly really a sizeable land package in that location,” states Kavango’s chief govt Mike Foster.
“We have programs to increase our ground holding further more.”
Partly that’s because of the massive prospectivity of the places Kavango is concentrating on, but it’s also because of the beneficial reception the shift has obtained in the market place.
Just after all, investors are only as well cognizant of the convert Metal Tiger was able to make on its financial commitment in the nearby T3 venture, which was eventually taken wholly-in house by MOD before MOD in convert was obtained by Sandfire.
The location is, states Foster, “one of the world’s most promising under-explored copper provinces
So, this is acquainted territory for investors, and in the months immediately after the MoU was initial signed Kavango’s shares practically doubled, whilst they have considering the fact that fallen back again.
An exploration programme, which will get underway, must provide further more intriguing newsflow and may well but promote the market place further more.
In the meantime although, Foster, and non-govt director Mike Moles, are each keen to emphasise that the company’s unique venture – the one particular it was detailed on – stays vital.
“The new copper ground does not always acquire any of the pizazz absent from the Kalahari Suture Zone,” states Foster.
“We really do not want men and women to consider we have moved onto a different venture,” he states. “I consider the enthusiasm is to give investors a tumble-back again placement. The Kalahari Suture Zone has substantial threat, and no one else has obtained any effects from there.”
But the matter about the KSZ is that letting that it’s substantial threat, the likely reward is similarly substantial. When Moles talks of comparisons he mentions Voisey’s Bay and Norilsk, two of the biggest polymetallic tasks any where in the earth.
“Most of the other significant bodies of gabbro in equivalent conditions as KSZ do have significant deposits of large sulphides in them,” he states.
“Indeed, there could be a significant variety of large sulphides.”
The trick is to obtain them. To that stop, Kavango has already carried out an airborne geophysical survey which has penetrated down to depths of 400 metres, ground electromagnetics, and it has completed some drilling.
“We are able to map,” states Moles. “We’re creating up a photograph.”
In a perception, he states, it’s a box ticking exercise. “You know what standards you need for a venture like Voisey’s Bay or Norilsk, you need to tock the correct containers, and so much we have. If we really do not obtain a large sulphide on KSZ, then someone else will in the long term. But presented we can retain funding, we consider we will.”
Far more magnetic survey do the job is planned, in particular the deployment of a more substantial transmitter built to deliver a more substantial present-day and allow the corporation to see previous all the salted groundwater that’s formerly interfered with the interpretation of facts. And immediately after that there must be extra drilling.
At the exact same time, do the job on the copper ground will be starting to assemble momentum, so all explained to, it appears to be like there must be a healthy circulation of news about the coming 12 months. By the stop of that approach the corporation could seem very distinctive indeed.