The company’s licenses now cover more than 20 000 ha and are located adjacent to existing producing copper mines. The location benefits from good access to existing infrastructure. “I am very pleased with the tremendous progress the group has made. These deals are not just a recognition of our history and experience in Zambia, but underline our track record of making a difference,” said Karan Rathi, Chillerton CEO.
Chillerton has also signed an ore offtake and royalty agreement with Rudra Copper, a local plant operator in the Copperbelt which will allow the company to sell up to 3 500 000 tonnes of tailings ore across five years, commencing in Q2 2022. “With copper set to drive a future of electric vehicles, the consumption of the mineral is expected to jump tenfold by 2050,” Rathi added.
These transactions will enable significant growth for Chillerton, allowing it to focus on the development of the feasibility study on the Kakosa North and South ore bodies as well as commencing regional exploration programmes on its new and prospective licences.
Ore offtake and royalty agreement
Chillerton’s ore offtake and royalty agreement with Rudra Copper will see the development of a new purpose built copper leach and SX-EW plant at the Kakosa site. The plant will initially focus on processing tailings and oxide ores producing copper cathode. The plant is expected to be operational during Q2 2022 with an initial capacity of around 35 000 tonnes of ore per month.
“Chillerton’s goal is to create a critical metal powerhouse that not only generates growth and job opportunities in Zambia, but makes a real social impact through forging strong local partnerships and investment in the communities in which it operates,” Rathi concluded.