Lotus acquisition of Livingstonia uranium site confirmed by Malawi mining ministry


…”It is an exploration licence”, insist Mining principal secretary
…Site likely to help Lotus increase its global reserves by 16% at K3 for a kg
…Lotus increase its landholding at Livingstonia to 187 square kilometers

The acquisition of the Livingstonia Uranium site by Lotus at 21 million Malawi Kwacha has been confirmed by the Ministry of Mining.

The news of the acquisition has made global and local headlines in the past recent days.

“We have given an exploration licence to Lotus to do detailed exploration in the Livingstonia area and we will be able to know whether we have new uranium deposits apart from Kayelekera”, Ministry of Mining Principal Secretary Joseph Mkandawire told Daily Times, one of the local papers in Malawi.

However, it is the price tag of the acquisition of the site, billed at K21 million (US$25 thousand) that remains a bone of contention.

Several Malawians on social media described price for the acquisition as ridiculous, labelling Malawi as a banter country.

That, however, has not stopped the company from celebrating its new acquisition, saying the Livingstonia site is a lucrative acquisition that has the potential to increase Lutus global mineral bank by 16 per cent for just about Three Kwacha (K3) for a kilogram.

“This is an extremely accretive acquisition for Lotus with the potential to increase our global mineral resource by 16% for less than $0.004 (K3) per lb U3O8″, highlighted Lotus MD Keith Bowes.

Lotus further highlighted that the acquisition at the Livingstonia site has helped the company to increase its landholding at the site in the Northern Malawi to about 200 square kilometers.

The company calls the site highly prospective.

“More importantly, we have increased our landholding at the highly prospective, yet poorly explored, Livingstonia region, to 187km2”, said Bowes, in a statement.

Details of the acquisition are yet to be made public.

Malawi has witnessed a flux of foreign interests in its mineral sites and reserves with kickbacks wired into government officials and lawmakers.

The anti-corruption bureau (ACB) is yet to open serious fraud dockets against officials and foreign companies on mining related charges.

Malawi sells Livingstonia Uranium site for K21 million

Malawi nicknamed banter country over Uranium site sold at K25 million