The agreement is a standard practice in African mining, ensuring a stable environment for project execution. To progress the MDA, Chilwa Minerals must upgrade a significant portion of its mineral resources to the measured and indicated categories. The company is actively conducting drilling in the Central Area deposits to update mineral resource estimates and support economic studies. These studies will incorporate revised costs, updated resource data, and recent mineral assemblage information to optimize mining design and planning.
Chilwa Minerals anticipates significant advancements in the MDA process throughout 2025. The company’s managing director, Cadell Buss, emphasized the importance of the agreement: “A mining development agreement provides the necessary framework for the development of the Chilwa critical minerals project. It provides the fiscal and regulatory certainty that financiers seek to assess the project’s debt funding capacity.” Buss highlighted key advantages, stating: “Chilwa has several key factors in its favour as it commences the MDA process. Firstly, several other listed companies have gone through the process in recent years, providing a road map for both sides towards a successful completion.”
Buss also noted the company’s strong partnerships: “Secondly, we are fortunate to have the ongoing support of Mota Engil, a company that has been successfully operating in Malawi for decades and is well respected at all levels.” He further underscored Chilwa’s commitment to community engagement: “Finally, right from the outset, we have committed to having a strong relationship with the government and our local host communities, ensuring that we build a long-term project of value for Malawians.”
The Chilwa Critical Minerals Project aims to leverage these factors to advance responsibly, fostering economic benefits for Malawi while meeting the needs of financiers and stakeholders. By prioritizing resource upgrades and collaborative relationships, Chilwa Minerals is positioning the project as a sustainable contributor to the region’s mineral sector.
