MRG Metals Secures Key Mining Licence for High-Grade Koko Massava Deposit
MRG Metals has achieved a major milestone with the official approval and signing of the Corridor Central Heavy Mineral Sands mining licence in Mozambique, unlocking development potential for its world-class Koko Massava deposit.
- Corridor Central 11142 HMS mining licence approved and signed by Mozambique's Minister
- Koko Massava deposit hosts a high-grade JORC resource of 103 Mt at 6.6% total heavy minerals
- Corridor South 11137 licence nearing final approval, supporting imminent mining plans
- Joint venture partner SLC to increase expenditure obligations and advance project development
- Focus shifting to finalising Corridor South licence and Linhuane exploration licence
Licence Approval Marks Critical Development Step
MRG Metals Limited (ASX: MRQ) has secured formal approval and ministerial signing of the Corridor Central 11142 Heavy Mineral Sands (HMS) mining licence in Mozambique. This licence encompasses the high-grade Koko Massava deposit, a cornerstone asset with a JORC-compliant resource of 103 million tonnes at 6.6% total heavy minerals (THM) using a 5.5% cut-off grade. The approval by Mozambique's National Mining Institute (INAMI) and the Minister of Mineral Resources and Energy represents a pivotal regulatory milestone that unlocks the pathway to project development and eventual production.
Resource Quality and Project Scale
The Koko Massava deposit is part of a broader Corridor Central licence area that holds a global JORC Mineral Resource Estimate (MRE) of 1.53 billion tonnes at 5.1% THM (4% cut-off). This positions the project as a world-class heavy mineral sands resource, rich in valuable minerals such as rutile, zircon, and ilmenite. The high-grade zone within Koko Massava further enhances the project's economic potential, offering a concentrated mineral assemblage that is attractive for downstream processing and market demand.
Corridor South Licence Nearing Completion
Alongside Corridor Central, MRG Metals is advancing the Corridor South 11137 mining licence, which is in the final stages of approval by INAMI. Corridor South hosts the Nhacutse and Poiombo deposits, with a combined high-grade JORC resource of 257 million tonnes at 6.0% THM (5.0% cut-off). The imminent granting of this licence will complement Corridor Central and enable the joint venture partner, SLC, to accelerate mining activities targeted for 2025. Additional exploration targets within Corridor South, including Malambane, Cihari, Zulene, and Viaria, offer further upside potential.
Joint Venture Dynamics and Next Steps
MRG Metals holds a 30% free-carried equity interest in the project, with SLC as the sole-funding joint venture partner responsible for capital expenditure. The signing of the Corridor Central licence triggers increased expenditure obligations for SLC, underscoring their commitment to advancing the project towards construction and production. Chairman Andrew Van Der Zwan highlighted the company’s strategic focus on achieving key development milestones, including finalising the Corridor South licence and progressing the Linhuane exploration licence.
Outlook and Market Implications
This regulatory progress significantly de-risks the project and enhances MRG Metals’ position in the heavy mineral sands sector. With global demand for titanium minerals and zircon remaining robust, the development of Mozambique’s Corridor Central and South deposits could position MRG Metals as a notable supplier in the coming years. Investors will be watching closely for the final Corridor South licence approval and updates on SLC’s funding and development timelines.
Bottom Line?
With Corridor Central licence secured, MRG Metals is poised to accelerate Mozambique HMS production—next focus is Corridor South approval.
Questions in the middle?
- When exactly will the Corridor South mining licence be formally approved and signed?
- What are the detailed capital expenditure plans and timelines from joint venture partner SLC?
- How will MRG Metals manage exploration and development of additional targets like Linhuane alongside mining operations?
