Giyani Metals Secures Mining Licence for Kanye Manganese Project

  • 25-years licence can be renewed multiple times
  • Licence granted in “a short timeframe” of less than 9 months

GAZETTE REPORTER

Giyani Metals Corp has been granted a 15-year mining licence by the Ministry of Minerals and Energy.

Granted less than nine months after the company filed its application in December 2023, the licence is seen as a crucial milestone in the advancement of one of the country’s most promising critical mineral projects.

The company announced in a recent statement that the mining licence is the culmination of a process that began in early 2023 after Giyani secured environmental authorisation and surface rights from the Ngwaketse Land Board.

25 years 

Under Botswana’s Mines and Minerals Act, the license can be renewed multiple times, each for up to 25 years, offering the company extended operational flexibility.

“The speed with which we were granted this licence is a testament to the efficiency of the permitting process in Botswana,” said Charles FitzRoy, President and CEO of Giyani Metals.

“It also reflects the positive support we have received from government entities, local communities, and other stakeholders.”

Professionalism and diligence

Botswana is well-known for its mining-friendly regulatory framework, and Giyani’s rapid progress through the licensing process highlights the country’s reputation as a top mining investment destination.

FitzRoy praised the Ministry of Minerals and Energy and the Department of Mines for their professionalism and diligence, noting that securing mining licences can often be a drawn-out process in other jurisdictions.

“Special mention should go to Country Manager Elisa Kgomotso Modikwa and ESG Lead Tom Steytler, who played crucial roles in securing this permit so swiftly,” he said.

“Achieving this milestone in such a short timeframe speaks to the diligent approach adopted by the Giyani team and the rigorous review undertaken by the Department of Mines.”

Battery-grade manganese 

Giyani’s project is unique in that it is the only fully integrated battery-grade manganese project in Botswana.

The company sees its efficient receipt of the licence as a reflection of the collaborative relationship it has built with various stakeholders, from government officials to local community leaders.

According to the Canadian company that is developing the K.Hill Battery-Grade Manganese Project in Kanye, this cooperation ensures that both national and community-level benefits are prioritised.

With the mining licence secured, Giyani is now focusing on the next major phase of the project: the production of battery-grade manganese from its demonstration plant.

Offtake agreements

The plant is currently under construction in Johannesburg, South Africa and is expected to be commissioned by the end of 2024.

“The product from the demo plant will be used for offtaker qualification, which is a vital step before we can sign offtake agreements,” the company said in its statement.

The demo plant’s output will also contribute to the company’s Definitive Feasibility Study (DFS), expected to be completed in 2025. The DFS will build on the existing Preliminary Economic Assessment (PEA), which estimates the project’s life span at 57 years.

Giyani has already commenced the DFS, which will incorporate an updated Mineral Resource Estimate (MRE). The study will also include data from the demo plant and ongoing test work aimed at reducing operational costs, carbon emissions, and reagent use.

Stringent requirements 

Giyani says it is committed to minimising environmental impact while maximising the project’s value.

Giyani’s approach to the K.Hill project aligns with the International Finance Corporation’s (IFC) Performance Standards, in addition to meeting the stringent requirements of legislation in  Botswana.

By adhering to these international benchmarks, Giyani aims to ensure that all workstreams and activities align with the expectations of international lenders, particularly when it comes to securing construction financing.

“This decision to commit to the IFC Performance Standards not only aligns with our values as a company but also ensures that we meet international requirements for project financing,” FitzRoy said.