Africa-focused battery metals investment and exploration company Marula Mining has decided to withdraw from its planned exploration and project acquisition activities in Zimbabwe.

The company, through its 80%-owned Zimbabwean operating subsidiary Muchai Mining, started a programme of securing near-term and advanced lithium and copper mining and development opportunities in the second half of 2023.

However, while Zimbabwe’s mining sector has some highly attractive and advanced project opportunities, the company was not able to secure projects that met its high internal criteria in terms of grade, cost and ability to advance to development in a relatively short time period, it says in a statement.

The company will focus its copper mining activities on the high-grade Kinusi copper mine, in Tanzania, where initial copper sales are expected to start on December 31, and where its independent geological consultants estimated an initial exploration target of a 10-million- to 15-million-tonne deposit of high-grade copper, gold and other base metals.

Additional high-grade copper mining and processing opportunities in Kenya are currently undergoing a technical due diligence review.

The Blesberg lithium and tantalum mine in South Africa will similarly be the company’s principal focus for its lithium mining and processing activities.

Negotiations are also continuing for the establishment of a new joint venture partnership for the commissioning, financing and operation of a lithium acid leaching plant to produce an intermediate lithium product for use in the manufacture of lithium batteries and other high-value lithium products.

Marula Mining is also advancing technical due diligence reviews of two further low-cost lithium in brine projects located in South Africa and in Botswana that the company believes will have the potential to strengthen its position in Southern Africa as a producer of higher-value lithium products.

CONSULTANT APPOINTMENT

Meanwhile, the company has appointed Richard Hawken as its metals trading and battery and critical metals commodity sales consultant.

Hawken has over 15 years of experience in commodity sales, trading and marketing throughout Africa, while holding senior management and executive positions in both South Africa and the UK.

He has a record in sourcing and trading base metals, as well as strategic critical metals throughout Southern, East and Central Africa, while working with a number of Europe- and UK-headquartered global commodity trading groups, both LSE-listed and private mining companies.

Hawken’s experience and expertise in structured offtake agreements, commodity financing and logistics within the metals trading supply chain in Africa is considered of significant value to the company in its optimisation and negotiations processes, with a number of new offtake and commodity sales agreements.

In his role, Hawken will focus on securing and overseeing key sales and marketing agreements over the company’s planned production and sales in 2025.

He will also assist the company’s executive management in finalising negotiations and contractual arrangements on the proposed joint venture (JV), as announced in October, with a Chinese battery manufacturer for the commissioning, financing, and operation of a lithium acid leaching plant at the Blesberg mine.

The board and executive management team believe Hawken’s appointment will further strengthen the company’s ability to secure high-value commodity sales and offtake contracts across its portfolio of battery and critical metals projects in East and Southern Africa.

“I am thrilled to be joining Marula Mining at a time of tremendous growth and opportunity,” Hawken says.

“The company’s critical metals portfolio and focus on delivering high-value products to global markets are highly compelling.

“I look forward to contributing to the optimisation of current and future offtake agreements as well as advancing strategic initiatives whilst working alongside the executive and operations teams in South Africa, Kenya and Tanzania to deliver increased levels of profitable commodity sales,” he adds.

“On behalf of the board, I am delighted to welcome Richard at this pivotal operations stage across our assets,” CEO Jason Brewer says.

“I’ve known and worked with Richard for several years and believe his extensive experience in metals trading and offtake negotiations will significantly strengthen our ability to maximise value across our critical metals portfolio and enhance growth with the international commodity market.

“His involvement will also be instrumental in progressing the planned lithium sulphate JV discussions at Blesberg and our copper cathode processing facility at Kinusi,” he adds.