LONDON: Kodal Minerals, a mineral exploration and development company focused on its Bougouni Lithium Project in southern Mali, has signed a Memorandum of Understanding (MoU) with Mali Lithium Limited, an Australian company looking to develop the Goulaminia Lithium Project located proximal to Kodal Mineral Bougouni Lithium Project.
The MoU is for general cooperation and investigation of synergies in the development of their respective projects.
The two companies recognise the potential to improve the development of each project through the sharing of certain infrastructure and operational support and under the MoU, will review the following key areas for cooperation:
- pre-development, sharing facilities in the closest town of Bouguoni, where both companies currently have separate facilities to support exploration and fieldwork;
- establishment of common workshop, servicing, storage and catering facilities;
- establishment of common supply chains for spares, reagents, fuel and other consumables;
- joint strategy for transport and shipping; and
- joint approach to community development.
In addition to exploring operating synergies, the companies intend to negotiate an access agreement for the N’Kemene Ouest and Mafele Ouest concessions (Bougouni West Project) that are owned by Kodal Minerals via the Bamabara option agreement.
Bernard Aylward, CEO of Kodal Minerals, remarked: “Following the completion of our Feasibility Study and the lodging of our mining licence application for the Bougouni Lithium Project, Kodal Minerals is continuing to work on optimising and improving its development. Kodal Minerals recognises that the potential synergies of development with MLL can have significant beneficial effect on the development capital required as well as ongoing operating expenses throughout the life of mine.
“The two companies are operating in the same region of Mali and intend to develop similar lithium mining operations. It makes strong sense for the companies to work together where possible to improve the operations and financial return on the projects.”