|Rukwa Coalfields - Namwele|
The Namwele Project is essentially adjacent to the Mkomolo; it is situated 4km to the south east of the Mkomolo Deposit.
Namwele hosts an old open pit mine which was previously worked on a small scale providing lump coal to industries located at Mbeya, 275km to the south by road.
Small Scale Mining: Local industrial demand for cement, paper and textile production. 10,000 tonnes were mined from Namwele to supply this demand but the current demand is for 15,000 tonnes/month, which the owner was unable to meet and therefore production ceased.
Explored: in 1950's by Tanganyika Geological Survey (TGS) and the Colonial Development Corporation (CDC) establishing a resource of 5 Mt of coal. Historic exploration included sinking of 4 shallow shafts and drilling five boreholes identifying coal in at least one seam of 3.2m thickness.
Drilling phase1: Q4 2011 Layne Drilling International completed the drill programme recommended by consultants Wardell-Armstong International ("WAI") 7 holes, close to the Namwele open pit and out along strike of the coal mineralisation. Total of 869.80 metres were drilled covering a strike length of 2.2 kilometres.
Drilling phase 2: Q2-4 2012 additional drilling to allow Sound Mining Solutions Ltd. ("SMS") of South Africa, retained to establishing maiden JORC compliant resource continuing the work initiated by global coal industry specialist consultants Wardell-Armstrong International ("WAI").
• The Namwele project is potentially suited for rapid development of a low cost, open pit mine, to supply local markets.
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