The latest issue of International Mining Project News is now available. This fortnightly project watch is a great way of keeping up to date with your peers – other mining companies, other consultants or other engineering companies. These issues build into a global mine project overview. If you are a supplier – it is full of potential sales leads. Contact [email protected] for more details and a free trial. It has reports on 18 Prefeasibility Studies, 15 Feasibility studies, 31 projects in development, six new mines that have gone into production, 13 existing mines that are expanding, seven merger and acquisition announcements and many new appointments to new positions. The January 11 report covers 27 gold projects, 18 copper, 16 iron ore, 10 silver, six coal and uranium projects, five zinc, four projects on lead, three phosphate, potash, and rare earth projects, two molybdenum, mineral sands, and lithium, one project each for nickel, graphite, alumina, bauxite, aluminium, rutile, ilmenite and one polymetallic project.
RUSAL has signed an agreement with the Republic of Guinea specifying details of the development of Dian-Dian, the world’s largest known bauxite deposit, with the company being the owner of rights to develop this project. According to the document signed, the project development will be divided into four phases. The first phase of the project, which is to be completed by the end of 2015, involves the development of a bauxite mine with a capacity of 3 Mt/y of bauxite. In addition, also by the end of 2015, RUSAL will complete a feasibility study of a project to increase the bauxite production at the mine up to 9 Mt/y, as well as a feasibility study for construction of an alumina refinery with an annual capacity of 1.2 Mt.
Turquoise Hill Resources’s Oyu Tolgoi operation in Mongolia completed a seven-week commissioning of the mine’s ore-processing equipment the week of December 23. 2012. With the conclusion of the power purchase agreement on November 5, 2012, Oyu Tolgoi began the operation’s commissioning process. Oyu Tolgoi also was expected to begin processing first ore through the concentrator by year end, with first concentrate production to follow within one month. The commencement of commercial production is expected three to five months thereafter.
Focus Minerals has completed a placement to Shandong Gold International Mining Corp Ltd, which doubles Focus’s market capitalisation and has been transacted at a significant premium to Focus’s current share price. Focus Minerals Chairman, Don Taig: “This is one of the largest mining deals for an emerging mid-tier Australian gold producer in recent times and underscores the importance of Australia-China mining interests.”
Anglo American is selling its 70% interest in the Amapá iron ore operation in Brazil to Zamin Ferrous. Anglo American has transformed the operational performance of Amapá since acquisition in 2008, increasing production from 1.2 Mt in 2008 to 4.8 Mt in 2011. Zamin has completed a definitive feasibility study for its 18 Mtpa Valentines project in Uruguay with international consultants SNC Lavalin and Ausenco Sandwell. It has submitted its environmental impact statement to the Uruguayan regulatory authorities and expects to receive its license to commence construction for the project in late 2013. Valentines is targeting production in early 2016.
MZI Resources has mandated two leading banks to finance its flagship Keysbrook mineral sands project in Western Australia, paving the way for construction to start in March next year, with plant commissioning in Q4 2013. The water licence has been granted and new plant location and preferred HMC transport route approved.
Bumi plc has launched a major review of its capex program. The mine plan is being reviewed against a backdrop of weak coal prices. Berau Coal was on track to meet 21 Mt output for 2012 – production expected to increase to 23 Mt in 2013. Nick von Schirnding, Chief Executive Officer: “Our near term strategy is very clear: to effect a separation from Bumi Resources and to maximise value in our operating subsidiary, Berau. We have taken immediate steps to mitigate the on-going impact of lower coal prices by adjusting the mine plan for Berau, targeting lower stripping ratios and reducing hauling distances. Expansion must be profitable and sustainable and we believe that the conditions are not right for the $288 million proposed overland conveyor and power plant projects at Binungan to proceed at this juncture.”
Northland Resources’ first concentrate has been transported by rail on the Malmbanan railway, from Pitkäjärvi to the Port of Narvik. The company started ramping up production of high-grade, high-quality iron ore concentrate on December 4, 2012. Since then, the concentrate has been trucked 150 km to Northland’s new trans-loading terminal in Pitkäjärvi, outside Svappavaara. From Pitkäjärvi the product is transported by rail on the high capacity railway Malmbanan (the Ore Railway) to Narvik, a distance of 226 km (IM, February 2012, pp8-16).
Commissioning has commenced at Canada Lithium Corp’s open-pit mine and processing facility near Val d’Or, Québec. During the month of November some 12,000 t of ore and 380,000 t of waste were mined. The waste material is predominantly used to construct the Tailings Management Facility. The ore has been crushed and stockpiled. Mining operations continued through the holiday period.
Herencia Resources has recently undertaken a number of work programs aimed at incorporating an open-pit mine into the Paguanta feasibility study. The company announces that the total silver resource for the Paguanta project has increased to 15.6 Moz, an increase of approximately 2.2 Moz compared to the June 2012 Mineral Resource estimate of silver. This increase is a result of the identification of near-surface silver mineralisation (Silver Halo) up-dip from existing resources following recent sampling programs. The resource lies close to surface with potential for extraction by open-pit mining.
Resource Generation has agreed to issue a secured debenture to Noble Resources International to raise $20 million cash to augment available funding and progress construction activities at its Boikarabelo coal mine. An export coal offtake contract for 2.5 Mt of coal has also been entered into with Noble, with supply after production commences at the Boikarabelo mine. Resource Generation is developing the Boikarabelo coal mine in the Waterberg region of South Africa where there are probable reserves of 744.8 Mt of coal on 35% of the tenements under its control.