Avenira Ltd has announced that continued steady progress has been made on all key critical path items at the Baobab Phosphate Project in Senegal including mining, processing, infrastructure and water supply. The progress “reflects Avenira’s accelerated strategy to break into the buoyant nutrient and fertiliser sector.” The company’s strategy to develop the project is based on an initial Stage 1 operation producing 500,000 t/y of phosphate concentrate. Total capital expenditure to production is $15 million and the project is fully funded. The operation has been designed to enable multiple stages of expansion across the project.
Avenira’s Managing Director and CEO Cliff Lawrenson commented: “It is very pleasing to see the Baobab Phosphate Project development advancing rapidly. The project team is making solid progress in all key areas and the project remains on budget and on schedule for first production in the second half of calendar 2016. The project is fully funded to production, while separately Avenira retains cash reserves allowing the company to proceed with development beyond Stage 1 of the project.” Development of the project is well advanced with mining activities now commenced and production of first phosphate rock on schedule for early in the second half of 2016. Mine and process plant access roads are complete with the open pit ramp being established.
Site infrastructure is being established with office and accommodation units on site and main access roads complete. German company BAUER Resources Senegal has been contracted to drill and install two water bores for the project, principally for processing the phosphate ore. This drilling is well underway with the first of two 500 m-deep water bores drilled and airlifting water. Once complete the drill rig will start the second process water bore.
Mining contractor Agromines has completed top soil clearing of the first stage of the open pit and the main mining fleet has commenced overburden removal and is ramping up to be fully operational by the end of March. South African-based specialist engineering group Consulmet is progressing with the fixed-price design and construction of the project modular wet screening plant. The plant is being fabricated in Johannesburg and will be transported to site for final erection and installation. The preferred tenderer for road transport of product to the Port of Dakar has been selected and draft contracts are currently being reviewed. Avenira has signed MOUs for approximately double the initial annual production target of the project and is currently working with buyers to convert the MOUs into offtake contracts. Further updates will be provided throughout the construction process.
