Name of the Project
Kangankunde rare earths project.

Location
About 90 km north of Blantyre and 13 km south of Balaka, in Malawi.

Project Owner/s
Australia-based Lindian Resources.

Project Description
A feasibility study on the Stage 1 development of the project has confirmed a technically low-risk and economically robust project, with maiden ore reserves of 23.7-million tonnes at 2.9% total rare-earth oxides (TREOs) supporting a Stage 1 life-of-mine of 45 years. 

Lindian will produce a premium monazite concentrate at 55% TREO grade with no deleterious elements. Operating costs will be in the lowest-cost quartile globally, establishing it as one of the largest, most promising underdeveloped rare earths deposits in the world.

Stage 1 envisages average production of about 15 323 t/y of premium concentrate with 55% TREO grade, with low levels of radionuclides (thorium and uranium) and limited acid-consuming minerals. 

The premium concentrate will contain an estimated 8 400 t/y of rare-earth oxide (REO) and about 1 640 t/y of neodymium/praseodymium. 

The unique mineralogy of the Kangankunde’s ore makes it amenable to relatively high levels of REO recovery, mainly through a physical process of gravity and magnetic separation. 

As a result, the project’s flowsheet only requires a small flotation circuit at the back end of the plant to reduce impurities such as sulphides.

The very strong economics of Stage 1 and the large resource endowment of the project, together with robust market demand forecasts, provide confidence for a potential Stage 2 expansion to significantly increase yearly production. 

A Stage 2 expansion study is set to be concluded in the last quarter of 2025.

Potential Job Creation
The project will require more than 200 full-time equivalent site roles during the construction phase, and more than 100 full-time equivalent site roles during the operational phase.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at an 8% discount rate, of $794-million and an internal rate of return of 99%, with a payback of less than two years.

Capital Expenditure
Preproduction capital is estimated at $40-million, which includes 12.5% contingency, making it one of the lowest capital cost rare earths projects under development.

Planned Start/End Date
Mining and plant construction for a Stage 1 operation at Kangankunde is expected to start in early 2026, with first concentrate to be delivered later that year.

Latest Developments
Nonexecutive director Zekai (Zac) Komur will transition to an executive role and lead the project delivery.

He has extensive experience in project delivery, commissioning, startup, mine development, mineral processing and remote project management, positioning him well to lead delivery at Kangankunde, and Lindian’s additional strategic initiatives.

Komur will maintain the schedule, budget and quality discipline for the Stage 1 development, drive the Stage 2 operations to execution readiness, and lead the assessment of downstream mixed rare earth carbonate processing partnerships to support long-term earnings and supply chain resilience.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Lindian Resources, tel +61 8 6557 8838 or email info@lindianresources.com.au.