REG - Sovereign Metals Ltd - Commissioning of Sustainable Farming Initiative

Sovereign MetalsAnnouncement

26/02/2024 07:00

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RNS Number : 3996E  Sovereign Metals Limited  26 February 2024

NEWS RELEASE I 26 FEBRUARY 2024

SOVEREIGN COMMISSIONS SUSTAINABLE FARMING INITIATIVE IN MALAWI

·      Sovereign has initiated a Conservation Farming Program in Malawi
as part of its sustainability initiatives related to the development of Kasiya

·      Local farmers will be trained in sustainable farming techniques
to increase maize crop yield; protect soil from erosion and degradation; and
to improve long term food security

·      According to the World Food Program, up to 5.4 million people in
Malawi are subject to food insecurity, with many Malawians dependent on
subsistence agriculture

·      Supporting local communities in addressing their social
priorities is a core principle of Sovereign's ESG Strategy as the company
advances the development of Kasiya

·      Sovereign's owner's team have previously implemented this program
at First Quantum Minerals' Zambian operations where over 7,000 farmers were
participating in the program by 2022

 

Sovereign Metals Limited (ASX:SVM; AIM:SVML) (the Company or Sovereign) is
pleased to announce that as part of its Environmental, Social, and Governance
(ESG) Strategy in developing its Kasiya Rutile-Graphite Project (Kasiya), it
has commissioned a Conservation Farming Program (Program) in Malawi.

Figure 1. Sovereign team members conducting conservation farming training

 

 

Malawi's food security depends on maize (corn); it is the major staple food
crop in Malawi with 60% of cropped land devoted to its production. Sovereign
has commissioned the initial Program for 90 Malawian maize farmers from within
the project area, of which at least 50% are female. The Program is to provide
training in low-input-cost, high-yield sustainable farming techniques, with
the aim to provide a platform for the farmers to increase yield and
productivity therefore helping to reduce malnutrition and poverty.

Conservation farming as a system aims to protect soil from erosion and
degradation and increase crop yields. It involves three main principles:

1)   minimum soil disturbance, such as no-till farming,

2)   maintenance of a permanent soil cover, such as cover crops or crop
residues and

3)   diversification of plant species, such as crop rotation.

According to the United States Agency for International Development, 80% of
Malawi's population are smallholder farmers with livelihoods based on
agriculture and subsistence farming.

This initiative forms part of Sovereign's ESG Strategy to develop its tier one
Kasiya Rutile-Graphite Project while simultaneously restoring and improving
the livelihoods of local communities. The Program is being implemented by the
Company's experienced team on the ground, which previously ran a very
successful initiative for First Quantum Minerals Limited's Zambian operations
where its conservation farming program has been effectively operating since
2010. Between 2020 and 2022 harvest crops increased by 67% from 6,000 tonnes
to 10,000 tonnes of maize, with over 7,000 farmers in the program at the end
of 2022.

Figure 2. Local communities embracing the conservation farming program

 

 

ENQUIRIES

 Frank Eagar (South Africa/Malawi)  Sam Cordin (Perth)  Sapan Ghai (London)

Managing Director
+61(8) 9322 6322
+44 207 478 3900

 +61(8) 9322 6322

 

 Nominated Adviser on AIM and Joint Broker
 SP Angel Corporate Finance LLP             +44 20 3470 0470
 Ewan Leggat

 Charlie Bouverat

 Harry Davies-Ball

 Joint Brokers
 Berenberg                                  +44 20 3207 7800
 Matthew Armitt
 Jennifer Lee

 Buchanan                                   + 44 20 7466 5000

 

Forward Looking Statement

This release may include forward-looking statements, which may be identified
by words such as "expects", "anticipates", "believes", "projects", "plans",
and similar expressions. These forward-looking statements are based on
Sovereign's expectations and beliefs concerning future events. Forward looking
statements are necessarily subject to risks, uncertainties and other factors,
many of which are outside the control of Sovereign, which could cause actual
results to differ materially from such statements. There can be no assurance
that forward-looking statements will prove to be correct. Sovereign makes no
undertaking to subsequently update or revise the forward-looking statements
made in this release, to reflect the circumstances or events after the date of
that release.

 

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