Prospect Resources’ Arcadia lithium project has secured approval for the environmental impact assessment (EIA) as well as investment licence from authorities in Zimbabwe.
The Environmental Management Agency (EMA) has permitted the company to operate as per the Part XI of the Environmental Management Act.
Prospect Resources stated all local stake holders have agreed to the proposed mine plan and development. Issuance of the EIA permit is considered to be a significant milestone for the project.
The investment licence now enables the firm to have access to several investment benefits and incentives.
The company separated gold assets from the lithium assets into two subsidiaries, with each holding its licence from Zimbabwe Investment Authority. According to the company’s board, this structure will offer greater flexibility on financing the two assets.
Prospect Resources Hugh Warner said: "Since commencement of drilling activities in July 2016, the company has in tandem conducted extensive work focusing on the social and environmental impacts for the development of Arcadia.
"The requisite geohydrological, social and relevant impact assessments completed by our consultants and subsequent approval by the EMA further endorses and moves Arcadia towards production.
“In addition, the endorsement by the ZIA provides the company with the ability to take advantage of the variety of investment and fiscal incentives offered to investors in Zimbabwe."