Kazera Global has cleared a major regulatory hurdle in South Africa, securing approval for a mining right that could turn its Northern Cape heavy mineral sands project into a much larger operation.

The company said Wednesday that the Department of Mineral Resources and Energy (DMRE) approved an application by its wholly owned subsidiary, Whale Head Minerals (WHM), for Sea Concession 2A in the Northern Cape. The decision followed consideration by the Regional Mining Development and Environmental Committee.

The approval gives Kazera and its partner, South Africa AT Investments (SAI), a clearer path to develop the project, with commercial production targeted for the first quarter of 2027. Production is expected to rise to at least 10,000 tonnes of concentrate a month by the second quarter.

The mining right covers about 3,095 hectares and has an initial 10-year term. It gives WHM the right to mine garnet, monazite, zirconium, rutile, leucoxene and other heavy minerals, subject to the terms of the licence and South African mining laws.

Kazera prepares for 2027 production

The approval also carries a financial benefit for Kazera. Once the mining right is formally executed, $1.75 million will become payable to WHM, while SAI will expand its operations into 2A under the companies’ existing strategic partnership.

SAI has already started shipping 30 containers of equipment from China for the construction phase. The company is working with SAI and its Chinese industrial partner, Xiamen Antai Zirconium, as it prepares to develop the project in phases.

Resource points to larger project

A recent technical report estimated about 1.31 million tonnes of economic heavy minerals within 1.42% of the 2A licence area.

That resource has an indicative gross in-situ value of about $369.3 million, including ilmenite, garnet, zircon and rutile.

The report also identified the remaining 98.58% of the concession as a geological target with potential for an additional 265.2 million tonnes of heavy mineral sands, although grades have not yet been established. Kazera plans to use further work to assess the wider resource.

Final steps before mining

Richard Jennings, Kazera’s CEO, called the approval “the most significant milestone in Kazera’s history,” saying it gives the company the regulatory platform needed to develop 2A.

He said the partnership with SAI brings capital, technical expertise, processing capability and access to international markets.

Before operations can begin, WHM must complete formal execution of the mining right with the DMRE’s Northern Cape Regional Office.

The document must then be signed before a public notary and witness and registered with the Mineral and Petroleum Titles Registration Office in Pretoria. Kazera expects the process to take a few weeks.

Kazera Global is an AIM-quoted investment company focused on developing heavy mineral sands and diamond assets in Southern Africa.

Its Whale Head Minerals subsidiary operates the Walviskop heavy mineral sands project and is now seeking to expand the business through the 2A concession.

The company said development could create jobs, support local contractors and businesses, strengthen skills and generate wider economic activity in the Northern Cape as the project moves toward production.