Armadale provides an update on the feasibility study underway at its Mahenge Liandu graphite project in Tanzania ahead of an anticipated decision to mine in early 2019.
Armadale, the AIM quoted investment company focused on natural resource projects in Africa, is pleased to announce a positive update on the feasibility study underway at its Mahenge Liandu graphite project in Tanzania ahead of an anticipated decision to mine in early 2019.
As quoted in the press release:
Nick Johansen, Director of Armadale said,“the various critical work streams at Mahenge Liandu are all progressing extremely well, and we remain on course to make a decision to mine in early 2019 – meaning that with a fair wind, we should be producing graphite by H1 2020.
“We have already demonstrated that Mahenge Liandu is one of the most attractive graphite development assets globally; with lowest quartile opex and capex costs, an IRR of 122 percent and a 1.2 year payback.The project NPV of US$349m is also a stark contrast to our current market cap of under £5 million. Combining these robust economics with ever-improving demand fundamentals for graphite, Armadale is ideally positioned to rapidly capitalize on this market opportunity and become a significant new high quality graphite producer within the next 18-24.
“I look forward to providing further updates regarding our progress in the coming weeks.”