Australian gold and copper miner Celsius Resources has successfully obtained a two-year renewal of the exclusive prospecting license for its Opuwo cobalt project in Namibia.
The Namibian Ministry of Mines and Energy has granted the renewal for EPL 4346, covering an expansive 683km² area.
Celsius Resources holds a commanding 95% stake in the Opuwo cobalt project through its Namibian subsidiary, Opuwo Cobalt.
This license renewal opens the door for Celsius Resources to further assess the feasibility of the Opuwo project, and it also provides an opportunity to seek potential partners.
The company is currently engaged in trade-off studies, examining mining costs, production rates, and the possibility of processing oxide ores to evaluate the financial viability of the project.
Peter Hume, Managing Director of Celsius Resources, expressed optimism about the project’s prospects: “This is a positive development as we are currently reviewing the Opuwo project to understand how we can strategically unlock its potential value given the high demand for cobalt from the electric vehicles sector.
This project can potentially produce non-conflict Cobalt in a politically stable country for more than 40 years.
With the renewal of the permit and recent positive metallurgical test work results, we anticipate this will attract potential partners in the project.”
Situated at a distance of 730km from the capital city of Windhoek, the Opuwo project is recognized for its significant scale.
It enjoys a mining-friendly location with ready access to power, water, and essential services, offering various development options.
The updated mineral resource estimate of Opuwo, reported in July 2021, reveals substantial reserves, with 225.5 million tonnes at a grade of 0.12% cobalt, 0.43% copper, and 0.54% zinc.
Opuwo is poised to be a significant supplier of cobalt for the battery market, with the potential to produce 259,000 tonnes (t) of cobalt.
Additionally, the presence of an estimated 970,000t of contained copper enhances the project’s viability, especially in the context of current and projected copper prices.
