Most of dual-listed Mkango Resources’ in-country operations are being completed off site, and all of its employees are now working from home, where possible, the rare earth minerals company said in a statement on March 31.
All travel has also been curtailed as part of the company’s response to the Covid-19 pandemic.
During this time, Mkango said it remains focused on the completion of the feasibility study for its 51%-owned Songwe Hill rare earths project, in Malawi.
In addition to this, Mkango intends to remain focused on the development of downstream opportunities through a UK-based company focused on rare earth magnet recycling, Maginito Limited.
While the feasibility study is continuing with work in Australia, South Africa and the UK, Mkango says it believes “it is inevitable” that some workstreams will be impacted during the pandemic but that the degree of the impact is currently uncertain.
Following a review of the various ongoing workstreams, the company is now targeting completion of the feasibility study in the second half of 2021, in line with an anticipated more stable market environment and a more “favourable backdrop” to advance project development.
However, Mkango laments that extended periods of Covid-19 disruptions may further impact on this timing.
Operations at HyProMag, meanwhile, are continuing where possible in line with current guidelines from the UK government.
Mkango continues to be in a strong financial position with a current unaudited consolidated cash position totalling about $7.4-million.