finnCap Research Company Notes - 18 November 2019

Nov 18, 2019 / News

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Sector: Mining

Savannah Resources (SAV) : Corp

Third mining lease awarded in Mozambique

Key data                              

  • Share price (p)                  2.2
  • Target price (p)                15.0
  • Market cap (£m)                              28.9
  • Enterprise value (£m)                    22.1

Savannah Resources has announced that it has received the third Mining Concession that together comprise the central part of the company’s Mutamba mineral sands project in Mozambique. The three licences cover an area of 398.8 km2; this includes an Indicated and Inferred Resource of 4.4 billion tonnes grading 3.9% total heavy minerals. The overall project is a Joint Venture between Savannah and Rio Tinto in which Savannah is earning into a 51% interest. We retain our 15p price target.

Martin Potts

020 7220 0544

mpotts@finncap.com

 

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