Rio Tinto has finished the initial work programme on Midnight Sun Mining’s Solwezi licenses in Zambia. The two companies signed a joint venture agreement in April this year. The two licenses include exploration rights in the area of 506 sq km, in an area that falls in Zambia-Congo copper belt and is next to Kansanshi mine owned by First Quantum.
Rio Tinto spent $3mn for the initial stage and will now move on to the next stage of the agreement
It would earn 51pc interest in Solwezi license by spending an additional $16mn in the period of four years and by paying cash to Midnight Sun.
The company would concentrate its fieldwork around 22 Zone and will undertake infill soil sampling, geophysical survey, and air core drilling. Rio Tinto is currently carrying out a 3,000meter diamond drill programme.
In October this year, Midnight Sun agreed that Rio Tinto can earn up to a 75pc interest in Midnight Sun’s Solwezi Licences. Rio Tinto Group is an Anglo-Australian multinational metals and mining corporation producing iron ore, copper, diamonds, gold and uranium.