Moly Mines expands Spinifex Ridge potential

Moly Mines’ Spinifex Ridge  moly-copper project in the Pilbara district of Western Australia is featured in IM June’s Moly World Prospects. Now it has significantly increased its land holding immediately to the north of the proposed mining area for its wholly-owned Spinifex Ridge . The additional 55km2 of ground brings the total controlled by the company to 210km2.

The new area is part of a block of ground controlled by Muccan Minerals. Through an agreement with Muccan, Moly Metals Australia (a wholly-owned subsidiary of Moly Mines), has acquired 55km2 of this ground which includes a mining lease application immediately to the north of the Spinifex Ridge deposit.  In addition, Moly Metals has secured priority access to a portion of the ground still controlled by Muccan which includes an exploration licence that abuts the northern side of the Spinifex Ridge mining leases.

Dr Derek Fisher, Managing Director of Moly Mines, said that the agreement provides increased mining, processing and infrastructure flexibility for all aspects of Spinifex Ridge development.  Significantly, they will also support any future plans the company has to expand production, he added.

Spinifex Ridge, 120 km east of Port Hedland, contains over 600 Mlbof molybdenum in Measured and Indicated resources of 469 Mt grading 0.06% Mo and 0.09% Cu. The company plans to exploit this resource by a conventional large-scale open pit mine with a life of at least 20 years.  Production start-up is forecast for end-2008 at an initial annual rate of approximately 9,700 t of molybdenum and 8,500 t of copper. 

The definitive Spinifex Ridge feasibility study for the proposed 15 Mt/y mining and processing facility is on schedule for completion by June 30. In conjunction with the feasibility process, the company has also commenced studies for possible future production expansion to better exploit the very large resource at Spinifex Ridge.