Chilwa Minerals Confirms Multi-Critical Mineral System at Nakombe South

Multi-Critical Mineral Discovery Confirmed at Nakombe South

Chilwa Minerals Limited (ASX:CHW) has taken a significant step forward in its Malawi critical minerals project with independent ICP-MS assays from diamond drill hole MPYDD007 confirming a genuine multi-commodity system at Nakombe South. The drill intercept delivered 37.2 metres grading 0.29% niobium pentoxide (Nb2O5), including a higher-grade 21.3-metre section at 0.35% Nb2O5, reinforcing the presence of a high-grade niobium porphyry core within an alkaline syenite intrusion.

Alongside niobium, the assays revealed substantial grades of tantalum, rare earth elements (REE), and gallium throughout the intercept. Tantalum concentrations reached up to 285 ppm within the porphyry core, while gallium levels peaked at 42 ppm. The rare earth element suite, dominated by light rare earth oxides such as cerium and lanthanum, included valuable magnet-feed elements neodymium and praseodymium, which comprise up to 15.5% of the total rare earth basket. This assemblage positions Nakombe South as a rare four-commodity critical mineral system.

Maiden Exploration Target Highlights Scale and Grade

Building on the drilling data, Chilwa has defined a maiden conceptual Exploration Target spanning 34 to 51 million tonnes with grades ranging from 0.14% to 0.42% Nb2O5 and 0.15% to 0.23% total rare earth oxides (TREO). The target is split between a higher-grade niobium porphyry core and a broader REE-enriched syenite host. On a contained metal basis, the target equates to approximately 49,000–113,000 tonnes of Nb2O5, 50,000–118,000 tonnes of TREO, alongside tantalum and gallium credits.

The Exploration Target remains conceptual and is not yet classified as a Mineral Resource, with true widths and continuity still under evaluation. Nevertheless, this quantified statement provides a first tangible glimpse of Nakombe’s potential scale, supported by detailed 3D geological modelling and bulk density measurements.

Processing Outlook Encouraging with Low Radioactivity Indicators

Preliminary ICP-MS data indicate relatively low thorium and uranium levels, critical factors for downstream processing and concentrate saleability. Thorium averages about 20 ppm in the high-grade core and 41 ppm in the broader syenite, while uranium shows the inverse pattern. These provisional results suggest favourable processing characteristics, though metallurgical test work is ongoing to confirm uranium and thorium deportment in concentrates.

Active Drilling Program Targets Expansion and Resource Definition

With three diamond rigs now operational, Chilwa is aggressively advancing its drilling campaign. Phase 2 drilling has commenced at the separate Nakombe North target and on the eastern flank of Nakombe South, aiming to test open extensions and new anomalies identified across the licence. The company anticipates completing Phase 1 drilling by Q3 2026 and expects Phase 2 and 3 assay results by mid-2027, moving towards a maiden Mineral Resource estimate.

Nakombe’s proximity, approximately 500 metres, to Chilwa’s Heavy Mineral Sands deposits offers strategic infrastructure synergies, including shared access to roads, power, and water, enhancing the project’s development potential.

Critical Minerals in Global Supply Chain Spotlight

Niobium, rare earths, tantalum, and gallium, all confirmed at Nakombe, are critical minerals with strategic importance across advanced manufacturing, energy transition technologies, and electronics. Niobium’s dominant use in high-strength steel and emerging energy applications underpins a growing market forecast to nearly double in value by 2034. Meanwhile, gallium’s supply is highly concentrated in China, which has imposed export controls, heightening global supply security concerns.

Chilwa’s multi-commodity discovery in Malawi, a stable African jurisdiction, places it well within the strategic focus of allied economies seeking diversified and secure critical mineral sources. This context adds a geopolitical dimension to the project’s commercial appeal.

Next Steps and Market Implications

Chilwa’s Managing Director Cadell Buss highlighted the rapid evolution of Nakombe South from a geophysical anomaly to a system of scale, emphasising the quality of the multi-commodity mineralisation and the ongoing drilling momentum. The company’s focus will now be on expanding the drilling footprint, refining geological models, and advancing metallurgical studies to underpin a maiden Resource Estimate.

While the Exploration Target remains conceptual and metallurgical characteristics provisional, Chilwa’s progress signals a potentially significant new entrant in the critical minerals sector, warranting close attention as further data emerges.