Savannah Resources PLC (LON:SAV) told investors that construction work has started for the pilot plant at the Mutamba project in Mozambique. The plant is part of the bulk metallurgical test project at Mutamba. It will be a 20-tonne per hour facility, capable of producing bulk samples of concentrates from mineral sands.

David Archer, Savannah chief executive, said: “We are pleased that the pilot plant construction work is now well underway at Mutamba and that good progress is being made.

“Once commissioned and operational, the plant will provide concentrated bulk samples for analysis and the preparation of final products for test marketing.

“The completion of the plant will be a key milestone for the Mutamba Consortium as we move the Project towards a development decision.”