Highlights

• Arcadia Minerals looks forward to a successful definitive feasibility study (DFS), which remains on time and within budget for its Swanson Tantalum Project, Namibia.
• Its subsidiary, Orange River Pegmatite (ORP), has secured the supply of essential utilities, i.e. water and electricity, along with signing a land use compensation agreement with Tantalite Valley Estates (Pty) Ltd.
• The company expects the DFS to be finalised toward the end of October 2022.

Arcadia Minerals Ltd (ASX: AM7), exploration company with a diversified portfolio focused on tantalum, lithium, nickel, copper, and gold projects in Namibia, announced that it has secured the supply of essential utilities, i.e. electricity and water. The company has also signed a land use agreement pertaining to the mining license area, before it commences potential mining operations.

The procuring of the said supply is linked with expecting a successful definitive feasibility study (DFS) at the company’s Swanson Tantalum Project, Namibia.

On back of today’s news AM7 shares were trading up 13% to AU$0.305 (as at 3:14pm AEST).

Water supply agreement in place

Orange River Pegmatite (Pty) Ltd (ORP), a subsidiary of Arcadia Minerals Ltd, has signed a water supply agreement with Namibia Water Corporation Limited (NamWater). According to the agreement, NamWater will be supplying 210 cubic meters of water per day from its Warmbad boreholes under the Swanson Mine Water Supply Scheme. The scheme will be designed by ORP in order to arrange the water supply for the mining license.

A power line on the cards

Image Source: © Gynane | Megapixl.com

Alongside, it has been confirmed that the South-West-Africa Water and Electricity Corporation, which is generally referred to as “NamPower,” is having enough capacity at its Warmbad substation for transmitting, without any violations, at most a power of 2.7 MVA. For that, a 33-kV, 21-km-long line will be laid by ORP under the proposed Swanson mine license.

Land use compensation agreement signed

A land use compensation agreement under Section 52(1) of the Namibian Minerals Act has been signed between ORP and Tantalite Valley Estates (Pty) Ltd. The land use agreement will be valid for

• twenty years, or
• until the final termination of mining license, or
• until the agreement is terminated by ORP itself.

The agreement states that ORP may enter, access, and carry out mining operations in the mining license area. Additionally, ORP will be providing compensation per the Minerals Act, and rent to the owner of the property for which it has gained the mining license. 

On a positive note, the DFS at the Swanson Tantalum Project is within budget and faring as planned, and with finalisation expected end of October 2022.