Preliminary exploration shows Malawi has potential to produce a range of minerals

18th April 2014 By: Marcel Chimwala - Creamer Media Correspondent

The Malawi government says its exploration activities have identified untapped potential for gold, platinum-group metals, diamonds and other minerals.

Mining Minister John Bande said in an address at the recent Great Rift Valley Mining Summit, in Lusaka, Zambia, that the country’s Geological Survey Department (GSD) had established the occurrence of alluvial gold in some of the country’s streams, whose source remains unknown.

“Occurrences of platinum and nickel have been reported in basic/ultrabasic rocks, and kimberlitic rocks which could host diamond are known to exist,” said Bande.

He said that exploration had also confirmed potential for minerals such as uranium, titanium-bearing heavy mineral sands, bauxite, rare-earth elements, strontianite/monazite, phosphate and coal. The country could also potentially mine industrial minerals, such as iron sulphides, limestone, glass sands, ceramic clays, vermiculite, graphite, corundum and dimension stones.

“The full mineral potential of Malawi is not known and further geological work and exploration are required to determine and confirm the real potential,” he said.

Bande said that, while Malawi’s mining sector was relatively small, contributing only 10% to the country’s gross domestic product (GDP), government projected the figure to increase to 20% in the foresee- able future as several projects were expected to come on stream soon. Notable projects under way included exploration for radioactive minerals by Paladin Africa, a subsidiary of Australia’s Paladin Energy.

The UK’s Mkango Resource was exploring for rare- earth elements, zircon, radioactive minerals and base metals, while Australia’s McCourt Mining was prospecting for graphite and kaolinitic clay, Bande said.

Kings International, of China, was prospecting for titanium- bearing heavy mineral sands, while Mota-Engil, of Portugal, was exploring for platinum-group metals, base metals, rare-earth elements and gold, and Tate Minerals, of Australia, was exploring for heavy mineral sands and rare-earth metals.

Bande said Malawi expected Australia’s Globe Metals & Mining, which is currently negotiating a development agreement with government, to start mining this year.

He said local companies were also active in exploration in the country, including Crown Minerals, which was seeking partners to develop a heavy mineral sands deposit containing zircon, rutile and ilmenite. Shayona Cement, Bwanje Cement and Cement Products were developing limestone deposits for cement manufacturing.

Malawi has a uranium mine at Kayelekera, owned by Paladin Africa, and coal mines owned by Mchenga Coal Mines, Eland Coal Mines, Kaziziziwi Coal Mine and Macoal Mining.