Yulho announced on the 16th that its nickel mine exploration project underway in Tanzania, Africa, has been selected as a basic exploration survey support target under the Korea Mining Industry Promotion Corporation (KOMIR)'s ‘2024 Overseas Resource Development Support Project’.
The ‘Overseas Resource Development Support Project’ aims to increase the success rate of private companies' overseas resource development investments and expand the supply chain of core minerals, which are essential raw materials for the country's future industries.
Yulho will receive various administrative and financial supports from the government for preliminary work on mine development. In particular, since KOMIR's evaluation criteria consider the necessity of resource development, investment environment, and development feasibility, it is significant that the potential success of the Tanzanian nickel mine has been recognized.
According to the government announcement, large corporations receive support for up to 50% of the subsidized project cost, mid-sized companies and individuals up to 60%, and small and medium-sized enterprises (SMEs) up to 70%.
Yulho qualifies as an SME and can receive support of up to 90% of the project cost if the basic survey is followed by the main survey. If the applied mineral species are classified as core minerals, an additional 20% support is provided. The ‘nickel’ that Yulho is developing is included among the core minerals.
In addition to financial support, Yulho will also receive assistance in establishing customized exploration plans according to mine characteristics and designing mid- to long-term exploration directions. Yulho plans to conduct various basic preliminary exploration tasks next month with KOMIR, including preliminary analysis of the nickel mine's deposit potential, development feasibility, and understanding of exploration and development conditions.
A Yulho official said, "The nickel mine development project in Tanzania, Africa, will proceed more efficiently through government support," adding, "We will do our best to successfully complete the preliminary survey with KOMIR and proceed to the main survey (direct exploration)."
He further added, "Yulho will strengthen its corporate value by ensuring a stable supply of core materials such as nickel and graphite in the secondary battery sector."
Yulho is conducting global mine development and trading businesses centered on Tanzania, Africa. Recently, through its subsidiary, it established a joint venture with a local partner company. Upon establishment, it secured exploration rights for large-scale nickel and graphite mines. Starting next year, when mining plans are completed, it plans to begin building the necessary infrastructure for mining.
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