DRA has commenced construction of a new 240 t/h export coal washing facility at the Hakhano coal mine in Mpumalanga, South Africa. This represents the company’s first build-own-operate-transfer (BOOT) project, which is valued at around R71 million. It is expected to take six months to complete and will be built for a throughput of 2.17 Mt/y. DRA’s scope of work includes the run-of-mine loading facility feeding a crushing and screening circuit designed to supply a maximum of -75 mm material to a 200 t/h dense media separation plant. The company has also accounted for the potential addition of a dense medium drum and spiral separators.

DRA will fully finance the project on behalf of its client, Umthombo Resources which already has an offtake agreement in place with a company in Turkey. Once the plant has been built, DRA’s sister company, Minopex, will operate the facility with revenue generated on a rate per tonne basis. After four years the client will have the option of either extending Minopex’s operating contract or taking transfer of the plant and its operations.

Paul Hopwood, Manager, Turnkey Projects at DRA said “The concept of BOOT projects is quickly gaining momentum, particularly among small mining operations which lack the capital to build and operate their own plant facilities. Such projects work out as a win for all parties as the client is able to establish itself while we are guaranteed a return on our investment. DRA is already negotiating similar projects for the near future.”