• Uru Metals secures 30-year mining right for Zeb Nickel Project in South Africa
• Company plans updated resource estimate and targeted drilling strategy
• Grant comes amid global nickel surplus and falling market prices
  

Uru Metals, a junior miner listed on the London Stock Exchange’s Alternative Investment Market (AIM), announced on Tuesday, November 4, that it has been granted a mining right for its Zeb Nickel Project in South Africa.

Issued by South Africa’s Department of Mineral Resources and Petroleum, the 30-year license clears the path for the development of the nickel deposit, which was estimated to cost $708 million in a previous study.

"The granting and execution of the Mining Right materially de-risks Zeb Nickel by securing the right for 30 years and positions the project to engage quality partners as we advance. Our immediate priority is to complete the ground EM and gravity survey and associated modelling and present a clear, efficient drill plan focused on the highest ranked targets; registration formalities are in progress," said John Zorbas, CEO of Uru Metals.

A preliminary economic assessment published in 2012 suggested Zeb could host a mine with an annual capacity of 20,000 metric tons of nickel over a 25-year lifespan. Uru Metals now intends to update this data, starting with a new mineral resource estimate. A ground electromagnetic survey is planned to refine exploration targets and define a future development plan.

The advancement of the Zeb project comes amid a persistently bearish nickel market driven by a global surplus. With prices dropping 50% since late 2022, a growing number of companies are shutting down or divesting nickel assets. For instance, this week, Pacific Nickel announced the sale of its Kolosori exploration project in the Solomon Islands.

Aurel Sèdjro Houenou