Chijin Xiawu to acquire 90% stake in Laos-based rare earth mining company
2024-03-05 11:49:07 [Print]
On March 4, Shanghai Chijin Xiawu Metal Resources Co., Ltd. and its wholly-owned subsidiary CHIXIA Laos Holdings Limited entered into an equity transfer agreement with China Investment (Properties) Limited. Under the agreement, Chijin Xiawu plans to acquire a 90% stake in China Investment Mining (Laos) Sole Co., Ltd. ("Target Company") held by China Investment (Properties) for a total of USD18.963 million.
The target company is developing Mengkang rare earth project in Xiangkhouang, Laos, with construction underway. According to geological survey report, Mengkang rare earth mining area has recoverable deposits which include 101.463 million tonnes of ore reserves containing 25,483.06 tonnes of rare earth oxides at 0.025% REO. This include 55.20 million tonnes of ore reserves containing 15,297.89 tonnes of rare earth oxides at 0.028% REO under the pilot mining permit, and 46.26 million tonnes of ore reserves containing 10,185.17 tonnes of rare earth oxides at 0.022% REO under the exploration right.
The feasibility study report showed that the deposit is consisted of weathered crust ionic rare earth ore and suggested a production scale of 3,675 tonnes per annum of mixed rare earth oxides (TREO≥92%) for the project using in-situ leaching (ammonium sulfate - ammonium carbide) process which does not include stripping, mining, transportation, with low production of waste soil and residue production and 100 percent recycling of water.
The equity transfer allows Chijin Xiawu and China Investment (Properties) to complement each other's advantages to advance the green and high-efficient development of rare earth resources in Laos.
The target company is developing Mengkang rare earth project in Xiangkhouang, Laos, with construction underway. According to geological survey report, Mengkang rare earth mining area has recoverable deposits which include 101.463 million tonnes of ore reserves containing 25,483.06 tonnes of rare earth oxides at 0.025% REO. This include 55.20 million tonnes of ore reserves containing 15,297.89 tonnes of rare earth oxides at 0.028% REO under the pilot mining permit, and 46.26 million tonnes of ore reserves containing 10,185.17 tonnes of rare earth oxides at 0.022% REO under the exploration right.
The feasibility study report showed that the deposit is consisted of weathered crust ionic rare earth ore and suggested a production scale of 3,675 tonnes per annum of mixed rare earth oxides (TREO≥92%) for the project using in-situ leaching (ammonium sulfate - ammonium carbide) process which does not include stripping, mining, transportation, with low production of waste soil and residue production and 100 percent recycling of water.
The equity transfer allows Chijin Xiawu and China Investment (Properties) to complement each other's advantages to advance the green and high-efficient development of rare earth resources in Laos.
