Lifezone Metals granted multi-metal processing facility license in Tanzania

Lifezone Metals Limited (NYSE: LZM) has achieved a significant milestone in its quest to revolutionize the mining sector in Tanzania. Chris Showalter, the company’s CEO, proudly announced that the Tanzanian Government has granted a Multi-Metal Processing Facility License for the refining of nickel, copper, and cobalt at its Kabanga Nickel Project, situated near the former Buzwagi Gold Mine in Kahama.

Located in northwest Tanzania, the Kabanga Nickel Project is regarded as one of the world’s largest and highest-grade undeveloped nickel sulfide deposits. With the new Kahama Multi-Metal Processing Facility approximately 340 kilometers southwest of Kabanga, Lifezone Metals, through its subsidiary Tembo Nickel Corporation Ltd., is set to introduce a more sustainable and cost-efficient method of metal production in the country.

Leveraging Lifezone’s Hydromet Technology, the project is poised to produce finished metals locally, significantly reducing capital and operational costs, as well as the environmental footprint traditionally associated with metal production. This move aligns with Tanzania’s national development goals, focusing on local content optimization and equitable economic benefit sharing.

The Tanzanian Government, owning a 16% stake in Tembo Nickel, has shown unwavering support for the project. Statements from key officials, including Minister of Minerals, Hon. Anthony Mavunde, and Shinyanga Regional Commissioner, Hon. Anamringi Macha, underscore the national and regional significance of the initiative. They highlight the refinery’s potential to solve longstanding challenges in the mining sector, boost local employment, and contribute to the economic development of the Shinyanga region.

The Kahama Refinery’s location within the newly declared Special Economic Zone at the Buzwagi Mining Area further enhances its appeal. This strategic positioning offers numerous tax and economic advantages, reinforcing the project’s viability and its contribution to the local economy. Moreover, the refinery will capitalize on the existing infrastructure from the Buzwagi Gold Mine, presenting a unique “plug-and-play” opportunity for Lifezone Metals without assuming any legacy liabilities.

Lifezone Metals’ receipt of the Kahama Refinery License marks a pivotal moment in Tanzania’s mining industry. It not only exemplifies a significant public-private partnership but also sets a precedent for sustainable and responsible mineral processing. As Lifezone Metals moves forward with its plans, the global mining community watches closely, anticipating the broader implications of this innovative approach to metal production.