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Kabanga Nickel Project Issued Special Mining Licence


  • Special Mining Licence issued for the Kabanga Nickel Project by the Government of Tanzania.
  • The first Special Mining Licence granted by Government of Tanzania in ten years.
  • With a Framework Agreement, and a transferred Environmental Certificate for immediate update in place, the project is uniquely positioned to advance.
  • SML issue a clear vote of confidence for the project and team.
  • Country and site teams already mobilised to ramp-up pre-development activities.

Dodoma, London, 27 October, 2021, Kabanga Nickel Limited (“Kabanga Nickel”) is pleased to announce that Tembo Nickel Corporation Limited, the local partnership with the Government of the United Republic of Tanzania, has been issued a Special Mining Licence (“SML”) for the Kabanga Nickel Project (“the Project”). The granting of the SML follows the signing of the Framework Agreement in January 2021 and is valid for the full life of the project (currently in excess of 30 years).

Kabanga will now accelerate the development of the project, which is globally one of the largest unexploited deposits of nickel sulphide, a crucial mineral in the development and manufacture of batteries used in electric vehicles. Demand for EV batteries will drive new demand for nickel, with the total global nickel supply forecast to more than double—from an estimated 2.25 million tonnes in 2020 to 5 million tonnes by 2040—according to industry analysts at Roskill1 .

The Hon. Dotto Biteko, Minister for Minerals of the United Republic of Tanzania, commented: “On behalf of the Government of Tanzania I am pleased to announce the issue of a Special Mining Licence to Tembo Nickel for the Kabanga Nickel Project. With a Framework Agreement and a transferred environmental certificate for immediate update, already in place, Kabanga Nickel has now fully completed the main regulatory process hurdles to commence development. When in production, Kabanga will be a significant producer of nickel, and with plans to process the metal in-country, Tanzania will become an important player in the global nickel market. With a 30-year life-of-mine, Kabanga has the potential to bring social and economic value to a new generation of Tanzanians.”

Chris Showalter, CEO of Kabanga Nickel commented: “The issue of the Kabanga Special Mining Licence is a clear vote of confidence for the Project and team by our partners in the Government of Tanzania. We acknowledge their support and that of all our stakeholders as we move the project forward. With the SML in hand, development activities currently underway at the Kabanga Nickel Project can now accelerate in scale. Kabanga will be critical to accelerating the supply of much needed battery metals, essential for the global transition to a low carbon economy. The application of hydrometallurgy to produce high quality end products in country, will ensure significantly greener and more sustainable production, while maximising value within Tanzania.” 2 The SML has been approved by the Government of Tanzania and signed by the Mining Commission with the full support of Her Excellency, President Samia Suluhu Hassan.

The SML grants Kabanga Nickel’s local partnership vehicle, Tembo Nickel, the full mineral rights that will unlock the substantial economic potential of the Kabanga Nickel Project.

With the SML issued and the Framework Agreement with the Tanzanian Government already approved, site and community relations teams have been mobilised and will focus their efforts on site refurbishments, allowing for full scale development activities to follow.

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