THE BOURSE WHISPERER: Lanka Graphite (ASX: LGR) has been granted exploration licences for application areas commonly known as EL952 and EL954 by the Sri Lankan Geological Survey and Mines Bureau (GSMB).
The application areas known as EL952 (Licence No EL/307) and EL954 (Licence No EL/308) are both located within the Sabaragamuwa Province of Sri Lanka and comprise a total of 37 square kilometre grid units.
The two new licences have been granted for a period of two years commencing from 11 August 2015.
The company pointed to the Independent Geologist Report of 15 August 2014, by CSA Global, which described both areas to contain old mine/prospect shafts and adits.
According to Lanka Graphite a mine was historically developed on the application area known as EL954.
Both application areas are adjacent to each other, which Lanka Graphite considers to be a good target area.
“The early award of these two licences along with the appointment of Supun Wimalanath as our new in-country General Manager of Technical Services, illustrates that Lanka Graphite is progressing its strategy to explore, develop and exploit graphite opportunities in arguably the high-grade vein graphite capital of the world,” Lanka Graphite executive chairman Jitto Arulampalam said in the company’s announcement to the Australian Securities Exchange.
“We are excited to be moving forward with our plans to develop Sri Lanka’s newest graphite company.”