Giyani Gold has announced the acquisition of six new prospecting licences that surround the former Kgwakgwe Hill Manganese Mine in the Kanye Basin, south-eastern Botswana.
The company has signed binding agreements with Everbroad Investments and Marcelle Holdings to buy 88% interest in PL322/2016 (Kgwakgwe Hill Licence) and 100% interest in PL336/2016 to PL340/2016 (situated next to Kgwakgwe Hill) by paying $75,000 as a consideration.
Kgwakgwe Hill project includes a supergene system that hosts high-grade manganese nodules. The mine was active from 1957 to 1967 and produced high-grade manganese oxide nodules grading 40%-50% of total manganese.
The project is situated within the Kanye Basin that is underlain by rocks of the Transvaal Supergroup.
The Transvaal Supergroup is known to contain nearly 80% of the world’s manganese reserves.
In Botswana, Transvaal Supergroup has been identified under cover beneath Kalahari sands and in local outcrop within the project area.
Giyani was interested in acquiring this property as the manganese deposits at the Kgwakgwe Hill project exhibit ideal chemical compositions and grade characteristics, which would attract potential buyers from the battery industry.
Giyani will immediately begin with field exploration on Kgwakgwe Hill and the surrounding area with the aim of outlining an economic deposit and developing a mining strategy to extract high-grade selected material at quantities customised to meet specifications of the new battery types developed.
This acquisition expands Giyani’s portfolio of manganese projects in Botswana and Zambia. It also strengthens the company’s strategy to acquire raw materials for the growing battery industry.