Globe Metals & Mining (ASX:GBE)
Source: Globe Metals & Mining
The Market Online - At The Bell

Join our daily newsletter At The Bell to receive exclusive market insights

  • Globe Metals & Mining (GBE) shares spike after the Malawi Government recommends the grant of a mining licence for GBE’s Kanyika Niobium Project
  • GBE regards the approval as a critical step in the process and expects the Minister to grant the licence within 45 days
  • Globe also needs to complete a development agreement with the government, which has suffered delays due to COVID-19
  • The company anticipates the licence will have a 25-year lease term once granted
  • Globe Metals & Mining shares are up 131 per cent to trade at nine cents

Globe Metals & Mining (GBE) shares have spiked after the Malawi Government recommended the grant of a mining licence for GBE’s Kanyika Niobium Project.

GBE said it received formal notification from the Principal Secretary of Mining advising the Malawi Government’s Mineral Resources Committee had reviewed Globe’s application for Kanyika Niobium and recommended the grant of a mining licence.

The company regards the approval as a critical and formal step in the process, with the Minister “obligated” to follow the recommendation of the Mineral Resources Committee and grant the licence within 45 days.

In terms of next steps, Globe will need to wait until it receives the mining licence and also complete a development agreement with the Government of Malawi.

It is unclear how long this process could take, however negotiations are continuing in good faith with the Malawi Government, according to Globe’s website, despite COVID-19 delays and changes to key government personnel.

The company anticipates the licence will have a 25-year lease term once granted.

Globe Managing Director Alistair Stephens said the company had been working diligently to secure the licence.

“Formal approval from the Malawi Government’s Mineral Resources Committee to grant the Mining Licence is a significant step forward for the Company’s goal of becoming a niobium producer,” he said.

“I am particularly pleased for the Globe team who have stayed the course despite many obstacles in recent times, not least of which has been the COVID19 pandemic which has made face to face consultation difficult.”

Globe Metals & Mining shares are up 131 per cent to trade at nine cents at 11:37 am AEST.

GBE by the numbers
More From The Market Online

WA1 Resources jumps 6% on high-grade niobium from drilling at Luni

WA1 Resources has jumped 6.5% in morning trades as the market responds favourably to the company's…
The Market Online Video

Barton Gold taps investors for $4M to fund Tunkillia study; drilling

Barton Gold (ASX:BGD) has announced it's raising $4M to advance key project studies at its Tunkillia…
The Market Online Video

Lithium Plus heading towards feasibility works at Lei deposit; MRE growth potential flagged

Lithium Plus Minerals (ASX:LPM) has revealed the company is preparing to get underway with feasibility works…

FireFly Metals announces port access & expansion; CFO resignation

FireFly Metals has inked a Port Access Agreement with TSXV-listed Maritime Resources Corp (TSXV:MAE), enabling FireFly…