AMN - MALAWI: New zones identified at Songwe Hill

Mkango Resources continues to identify new zones of mineralisation at the Songwe Hill Rare Earths Project in Malawi through drilling. The company has received results from a further 45 holes from the recently completed 10,900 metre diamond drill program.

Of these holes, 39 intersected significant zones of rare earths mineralisation grading above 1% total rare earth oxides (TREO).

The drilling program is a key component of the ongoing initial phases of the feasibility study for Songwe, which is fully funded following investments by Mkango’s strategic partner, Talaxis Limited, in January 2018.

Highlights from the results include:

- 114.8 metres grading 1.6% TREO from 60.7 metres, including 30 metres at 2.0% from 135 metres;

- 63 metres at 1.7% from 6 metres, including 23 metres at 2.3% from 7 metres, and 15.4 metres at 1.6% from 128 metres;

- 67.1 metres at 1.6% from 8.8 metres, including 25.2 metres at 2.0% from 45 metres;

- 40.2 metres at 1.8% from 60.4 metres, including 20 metres at 2.4% from 60.4 metres;

- 51.9 metres at 1.7% from 26.2 metres;

- 25.7 metres at 3.9% from 39.5 metres;

- 91.3 metres at 1.3% from 23 metres, including 32.2 metres at 1.9% from 82 metres; and

- 51.1 metres at 2.2% from 4.7 metres.

Mkango's chief executive officer William Dawes said: “This is another excellent set of results from the now completed drilling program at Songwe, which further demonstrates broad mineralised zones with continuity of mineralisation, and will underpin the resource update.

"The latter will commence on receipt of the assay results from the remaining 21 drill holes yet to be announced.

“Following the resource update and on subsequent publication of the related NI 43-101 technical report, anticipated in the first quarter of 2019, Talaxis will invest a further £7 million to fund completion of the feasibility study for Songwe, which will be the main focus for 2019.

"We look forward to announcing the remaining drill results in the coming weeks.”

The company holds interests in three exclusive prospecting licenses in Malawi - the Phalombe licence, the Thambani licence and the Chimimbe Hill licence. The main exploration target in the 80%-held Phalombe licence is the Songwe Hill rare earths deposit.

www.mkango.ca