Uganda's Makuutu Rare Earth Mine Announces Resources

Oro Verde Limited (Oro Verde) has announced its preliminary resources for the Makuutu rare earth mine in Uganda, according to MiningNews.net report.

Per the statistics, the current estimated resource range is only part of the project, with an estimated ore resource up to 47.3 million tons and a rare earth oxide (TREO) grade of 0.09 percent. The estimated resource amount using only 700 meters of the drilling results for this time.

The exploration target of the entire project is 270 to 530 million tons of ore, and the total TREO grade is 0.04 to 0.1 percent. The next phase of drilling will begin this month.

Oro Verde Limited is a resource company listed on the Australian Securities Exchange, dedicated to identifying and advancing emerging resource opportunities with the potential for production.

It is earning up to a 60 percent interest in the Makuutu Rare Earth Elements Project in Uganda and has a 100 percent interest in the San Isidro Gold Project in Nicaragua.

The Makuutu project comprises three licenses covering approximately 132 km2 located some 40 km east of the regional center of Jinja and 120 km east of the capital city of Kampala in eastern Uganda. The area has excellent infrastructure with tarred roads, nearby rail, power and water, cell-phone coverage, as well as being readily accessible throughout the year irrespective of weather conditions.

The project's geology is similar to the southern China ionic clay-type deposits, which are the cheapest and most readily accessible source of Heavy Rare Earth Oxides (HREO) that are extracted through rudimentary mining and processing methods.

Mukuutu is significant in size and is understood to be potentially one of the largest ionic clay deposits outside of China, with grades consistent with these types of deposits.

The project is considered to be one of the largest ionic rare-earth deposits in the world except for China. This type is relatively common in China. Unlike the hard rock-type TREO mined by Lynas of Australia, its mining and beneficiation are more convenient and the cost is lower as well.

The surrounding infrastructure of the Makuutu rare earth mine is well equipped with hydropower stations and power grids. By investing in batches and completing the feasibility study, Oro Verde can earn up to 60 percent of the project in Makuutu, Uganda.

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