Nanzeka Project

The Nanzeka Project is located approximately 60km north of Malawi’s capital Lilongwe. Mapping, rock chip sampling, trenching and limited drilling in 2013 identified high-grade flake graphite mineralisation over a strike length of approximately 3km with a true width of about 10m.

Some surface exposures show up to 150m of graphite mineralisation widths. NGX Exploration Limited (a wholly owned Malawian subsidiary of NGX) is the holder of Retention Licence RL 0012/21, granted on 27 July 2021, which comprises the Nanzeka Project.

Please refer to the News and Announcements page for further information regarding the Nanzeka Project.

Duwi Project

The Duwi Project is located approximately 15km east of Malawi's capital, Lilongwe, which has a Mineral Resource estimate of 85.9Mt at 7.1% total graphitic carbon (TGC) for contained graphite of 6.13Mt. SSL is the holder under the retention licence RTL 0032/22 which was granted on 4 October 2022.

On 18 October 2022, SSL applied for the transfer of the Duwi Project to NGX Exploration Limited. The transfer is pending approval.

The transfer of the Duwi Project from the Company to NGX is subject to the satisfaction (or waiver) of various conditions precedent pursuant to the Demerger Deed. The transfer of the legal title to the Duwi Project is subject to Malawian ministerial approval. Due to expected timings in-country, these approvals are likely to occur after the Demerger has completed.

Please refer to the News and Announcements page for further information regarding the Duwi Project.

Malingunde Project

The Malingunde Project is located in the Central Region of the Lilongwe District of Malawi, approximately 20km southwest of Malawi's capital, Lilongwe.

The Malingunde Project has a Mineral Resource estimate of 65Mt at 7.2% TGC for contained graphite of 4.68Mt.

In November 2018, the Company completed a pre-feasibility study (PFS) for the Malingunde Project which was updated in November 2021 as part of Sovereign's listing on AIM. The PFS has confirmed the low operating costs, low technical risk, high-quality concentrates and substantial upside of the Malingunde Project.

In February 2022, the Company applied for the grant of a mining licence at the Malingunde Project which covers 5.7km². Conditional approval for the mining licence was provided in April 2022 with conditions to be addressed including submission of an environmental and social impact assessment approval certificate under the Malawian environmental management.

The transfer of the Malingunde Project from the Company to NGX is subject to the satisfaction (or waiver) of various conditions precedent pursuant to the Demerger Deed. The transfer of the legal title to the Malingunde Project is subject to Malawian ministerial approval. Due to expected timings in-country, these approvals are likely to occur after the Demerger has completed.

Please refer to the News and Announcements page for further information regarding the Malingunde Project.

Mabuwa Project

The Mabuwa Project is located approximately 60km south of Malawi’s major commercial city of Blantyre. The Mabuwa Project covers a mafic-ultramafic intrusive body potentially favourable for nickel and PGE sulphide mineralisation.

No previous exploration work is known. However, historical reconnaissance drilling has been undertaken on nearby targets hosted in similar rock types with low grade nickel and PGE sulphide mineralisation having been discovered. An application for an exclusive exploration licence over 9km² was lodged by NGX Exploration Limited in March 2022.

Please refer to the News and Announcements page for further information regarding the Mabuwa Project.