MRG Metals Secures High-Grade Linhuane Licence in Mozambique
MRG Metals has been granted the Linhuane Heavy Mineral Sands licence in Mozambique, revealing promising historical drilling results with high total heavy mineral grades. This licence enhances MRG’s portfolio and sets the stage for potential early development.
- Linhuane licence covers 56.38 km² in Gaza Province, Mozambique
- Historical drilling shows 5%–25% total heavy mineral grades to 10.5m depth
- Licence grant pending formal attribution but expected imminently
- Linhuane complements MRG’s Corridor Sands project with higher grades
- Exploration planning and environmental approvals underway
Licence Granted Amidst Historical Promise
MRG Metals Limited has announced the granting of the Linhuane Heavy Mineral Sands licence in Mozambique’s Gaza Province, marking a significant expansion of its mineral sands portfolio. Covering an area of 56.38 square kilometres, the licence area is characterised by a palaeodune feature adjacent to the current coastline, a geological setting known to host valuable heavy mineral deposits.
Historical reconnaissance drilling within the licence area has revealed encouraging total heavy mineral (THM) grades ranging from 5% up to 25% within the top 10.5 metres of sediment. These grades are notably higher than those typically seen in many mineral sands projects, suggesting Linhuane could be a high-value asset for MRG Metals.
Strategic Fit with Existing Assets
Chairman Andrew Van Der Zwan highlighted the strategic importance of Linhuane, describing it as a “superb addition” to MRG’s Mozambique portfolio. The project is expected to complement the company’s existing Corridor Sands project, which is positioned as a low-cost, marginal producer with a focus on high-value, low-volume mineral sands. Linhuane’s higher grades could provide a meaningful uplift in overall project economics and offer a standalone development opportunity.
While the formal letter of attribution for the licence is still awaited from Mozambique’s Mining Department (INAMI), MRG is proceeding with optimism based on the official portal confirmation of the grant. The company is advancing exploration planning and environmental approvals, essential steps towards unlocking the licence’s potential.
Caution and Next Steps
Despite the promising historical data, MRG Metals cautions that exploration to date has been limited to shallow depths, with no drilling below 10.5 metres and no recent exploration on the mainland portion of the licence. Mineralogical data below this depth is also unavailable, underscoring the need for further work to fully understand the deposit’s extent and quality.
The company plans to undertake comprehensive exploration activities, including environmental assessments, to progress the licence towards development. The joint venture partners involved are expected to benefit as production targets from Stage 2 development phases are met, potentially accelerating Linhuane’s contribution to MRG’s growth trajectory.
Overall, Linhuane represents a promising new chapter for MRG Metals in Mozambique, with the potential to enhance the company’s position in the competitive heavy mineral sands sector.
Bottom Line?
Linhuane’s licence grant sets the stage for MRG Metals to deepen its Mozambique footprint, but significant exploration remains before production can begin.
Questions in the middle?
- When will MRG receive the formal licence attribution letter from INAMI?
- What are the plans and timelines for deeper drilling and mineralogical studies at Linhuane?
- How will Linhuane’s development integrate with the existing Corridor Sands project and joint venture partners?
