MRG Metals Limited (ASX:MRQ) is an explorer and developer of heavy mineral sands (HMS) explorer. The Company owns and operates on a tenure size of 746 square kilometres of granted exploration licences in Mozambique. The mineral footprint is likely to increase , owing to additional approvals under process. MRQ has set itself on a path to become one of the most significant HMS discoverers.
Heavy mineral sands or HMS are found in shoreline environments and contain titanium minerals and zircon. Titanium minerals from the HMS are processed to TiO2 feedstock concentrate while zircon is processed separately is a highly valuable part of the HMS suite. Titanium finds several industrial applications including, TiO2 pigment in paint, welding electrode fluxes and alloying agents with aluminium, iron, manganese, and molybdenum. The alloys prepared from titanium are widely used in the aerospace and aircraft manufacturing industry, where lightweight and strong materials are required. The alloys can also endure high temperatures making it suitable for manufacturing jet engines.
MRG Metals HMS project portfolio includes several high-grade targets. The Mozambique project has four high calibre projects- Corridor Projects, Marao, Marruca and Linhuane. The Corridor Projects includes two contiguous projects, and MRQ has identified 13 high-priority targets within the corridor.
The Company has delivered a maiden JORC compliant mineral resource estimate of 1.4 Bt @ 5.2% total heavy mineral with 4% cut-off grade on the Koka Massava prospect. It has significant potential for resource upgrade as exploration and drilling activities are advancing further.
The outlook for mineral sands is improving, and demand for titanium oxide and titanium metal is rising. MRG Metals has a proven exploration method on the project which is rendering the discovery cost as low as one cent/tonne. The HMS project in Mozambique provides long-life and low-cost development opportunity to the Company.