Kula Gold (ASX:KGD) has formed a joint venture with privately held African Rare Metals that has applied for an exploration licence in Malawi at the Wozi Niobium Project.
The Malawi Government’s Mining and Minerals Regulatory Authority has recommended the granting of the licence, subject to completing an environmental study.
Upon the licence application being granted, Kula Gold will begin a field program to confirm historical niobium results, which show apparent widths of surface niobium mineralisation and confirm the large-scale potential.
The program will comprise field mapping and expansion work across the project, as well as rock chip and soil sampling to outline the scale potential of Wozi.
Once completed, Kula Gold aims to advance towards a maiden drilling program in Q2 2025.
A significant zone of niobium and tantalum mineralisation exists at Wozi hosted in the mineral pyrochlore within a nepheline syenite stock as shown by the historical results.
Work planned for the near-term includes field work and sampling planned in Q1 2025, and confirmation and expansion geological mapping.
Rock-chip and rock-chip sampling is expected to happen in Q2 2025, as well as a – maiden drill program planned.
The proposed programs are expected to cost US$100,000 ($159,577) and will be funded at the company’s election from a loan provided by entities controlled by director Mark Stowell.
Managing Director Ric Dawson says amid a robust global gold market, Kula Gold has uncovered Wozi as an “interesting high-impact, low-cost, niobium-tantalum opportunity”.
“Kula looks forward to quickly advancing the Wozi Niobium Project towards a maiden drilling program over the next few months,” Dawson says.
Under the joint venture, Kula Gold holds 75% while African Rare Metals holds the remaining 25%. Kula Gold is required to sole fund initial exploration and African Rare Metals has a 2% net smelter return royalty.
The Wozi Project hosts niobium and tantalum mineralisation from surface contained in the mineral pyrochlore within a nepheline syenite intrusive stock. Nepheline syenites is a holocrystalline plutonic rock that appears pale coloured, grey or pink.
The company notes nepheline syenites are highly prospective targets for peralkaline intrusive-related niobium and tantalum mineralisation.
Kula Gold is a mineral explorer focused on gold across Australia. The company also explores for niobium, lithium, rare earths, and halloysite.
Write to Aaliyah Rogan at Mining.com.au
Images: iStock
