Syrah Resources has finalised the negotiation of a mining agreement with the Ministry of Mineral Resources and Energy of the Republic of Mozambique.
The mining agreement for Twigg Exploration and Mining, holder of the Balama project and subsidiary of Syrah Resources, was approved by the Government of the Republic of Mozambique at the Council of Ministers meeting held on 29 August 2017.
The mining agreement consolidates all prior project documents and approvals. It also provides Syrah Resources with clarity around the governing laws and contractualises the mining rights and other obligations for the Shaun Vernerin Mozambique.
In accordance with ordinary administrative procedures, the main legal terms of the mining agreement will now be gazetted and the agreement signed by Twigg Exploration and Mining and the Minister of Mineral Resources and Energy (on behalf of Government of the Republic of Mozambique) in the coming weeks.
It will then be presented to the Administrative Court in Mozambique for sanctioning after which it will be binding and enforceable.
Syrah Resources will announce the key commercial terms of the mining agreement once it is signed and becomes binding and enforceable.
The mining agreement is not required for the commencement of production at the Balama project.
“The approval of the mining agreement by the Government of Mozambique represents a significant milestone for Syrah Resources and reaffirms Mozambique’s commitment to the long-term sustainability, stability and success of the Balama project,” says MD and CEO, Shaun Verner.