Uganda’s National Environmental Management Authority (NEMA) has approved the Environmental and Social Impact Assessment for IonicRE’s majority owned (51%) Makuutu Rare Earth Project in Uganda.
This vote of confidence positions the Makuutu Rare Earth Project as Uganda’s next mining development, set to unlock unprecedented social and economic benefit through mineral development. The approval follows a 9-month assessment by NEMA culminating in two large public hearings with over 3,800 registered attendees demonstrating strong governmental and local stakeholder support.
The Makuutu Rare Earth Project is operated by Rwenzori Rare Metals Limited (“RRM”), a Ugandan company which is 51% owned by IonicRE at present, with the Company moving to 60% ownership on the completion of a Feasibility Study supporting the Mining Lease Application expected to be submitted to the Ugandan government at the end of October 2022.
“This is a significant milestone and vote of confidence by the Government and community groups – signifying the pivotal role Makuutu will play in the social, economic development and growth of Uganda. The Project aspires to be a significant contributor over a long period of time in Uganda.
To employ and train directly from within the local communities, source from local businesses and create further improved services, leading to an overall improved quality of life across the districts that host the Project.” commented Tim Harrison, IonicRE’s Managing Director.
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The detailed ESIA report was submitted to NEMA in December 2021. After a review by government stakeholders and respective authorities, a public disclosure process was initiated in May 2022 with stakeholders providing feedback on the ESIA to NEMA.
The mining lease application (MLA) will focus on the Makuutu Central Zone (MCZ), located within RL 1693, and will provide the basis for initial mining at Makuutu. This area contains an Indicated Resource of 259 million tonnes at 740 ppm TREO-CeO2. Pending the award of the MLA, expected in 2023, the Company, via RRM, will be working with Ugandan authorities on a Mineral Development Agreement (MDA) which will establish the fiscal terms for the mine development in Uganda.
“This Project will set its sights on becoming Uganda’s flagship sustainable mine. Our vision is that Makuutu will provide global customers with an alternative supply of magnet and heavy rare earth elements needed for a Net-Zero Carbon world for 50 years and beyond.” concluded Harris.
