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Marula Mining PLC on Friday said it plans to fully acquire the Blesberg Lithium & Tantalum Mine in South Africa, in which it currently owns 5%.
The Haywards Heath, England-based mining services investor said it will pay around $1.7 million to Southern African Lithium & Tantalum Mining Proprietary Ltd via its subsidiary, Marula Lithium Mining South Africa Ltd, or SALT. This follows a $5 million pre-payment funding announced in October.
Further, Marula Chief Executive Officer Jason Brewer has been appointed as director of SALT.
‘The recently announced $5 million pre-payment funding was a positive reaffirmation of Blesberg, and the first tranche of funds have now been used to complete the acquisition and balances have allowed our contractors in South Africa to accelerate with the next phase of work as we move closer to producing a saleable lithium spodumene product,’ said Marula CEO Brewer.
Marula noted that the acquisition is subject to regulatory approvals in South Africa.
Meanwhile, processing at Blesberg mine has started as it progressed towards the delivery of its first shipment of ‘high-grade ’run-of-mine’ lithium ore under the $5 million prepayment.
The operation remains on target for first sale in January 2023, CEO Brewer said.
Marula Mining shares were last traded at 2.45 pence each on Friday.
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