United-Kingdom based acquired ten mining claims in Zimbabwe as part of its strategy to enhance its portfolio of rare earth properties.
Rainbow Rare Earths Ltd (REE) which is also listed in the London Stock Exchange says the mining claims cover a total of 12.6 square km in northern Zimbabwe targeting a rock composed of at least 50% carbon minerals called carbonatite. Carbonatite contains rare industrially useful minerals including uranium, copper and iron.
Commenting on the acquisition, Rainbow CEO George Bennet said: “With our strategic intent for our licenses in Burundi well on track, the Company stabilised, I believe this is a great opportunity to diversify the portfolio, with low risk and minimal capital outlay.”
Zimbabwe is well-known for its richness in minerals, holding the second-largest platinum and coal resources in the world.
REE acquired licenses of the mining claims through its wholly-owned Zimbabwe subsidiary Rainbow Zimbabwe.
The licenses will be held 100% by the subsidiary with no free for the government.
“Rainbow will immediately commence with an exploration program including geological mapping, sampling and assaying with the aim to conclude an interpretation report with focus on REE potential, namely sizes, grades and mineralogy,” the company says in a statement.
“The properties, while not historically explored for rare earths, have been explored for phosphate in the past,” the firm commented on the mining claims.
REE is one of the largest producer of minerals called rare earths that can be used in the production of electric motors of electric automobiles, exray tubes and computer memories.
The mining company has been operating in Burundi focused on Gakara Rare Earth Project.
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