Tag Archives: Morila

MSALABS to bolster Chrysos PhotonAssay inventory on ‘exceptional demand’

Base metals, Environmental, Mineral exploration, Mining services, Precious metals, , , , , , ,

MSALABS, a global provider of geochemical laboratory services for the exploration and mining sectors and a majority-owned subsidiary of Capital Limited, has expanded its global partnership with Chrysos Corp that will see it bolster its number of PhotonAssay™ units.

The partnership will see MSALABS deploy 21 Chrysos PhotonAssay™ units across the globe by 2025.

In April 2021, MSALABS announced its global partnership with Chrysos and revealed the planned deployment of six PhotonAssay units across its global network. This rollout commenced with a unit at Barrick Gold’s Bulyanhulu Gold Mine, in Tanzania, and represented the first Chrysos PhotonAssay unit deployment outside of Australia.

MSALABS has continued the rollout with units now commissioned at the Morila Gold Mine, in Mali (Firefinch), and in Val d’Or, Quebec, Canada. A fourth unit will arrive imminently in Yamoussoukro, Cote d’Ivoire, with facility preparations well advanced. A fifth unit is ready for shipment to the Kibali Gold Mine, in the DRC (Barrick Gold), with the sixth unit due to begin installation in Timmins, Canada, by the end of 2022.

The company has committed to a further 15 Chrysos PhotonAssay units that will be rolled out over 2023 and 2024. MSALABS says it is currently engaged with multiple mining companies globally, including most of the top 10, and continues to see “exceptional demand” for this revolutionary new technology.

PhotonAssay delivers multiple advantages over the slower, more hazardous fire assay process, according to MSALABS. The technology provides faster, safer, more accurate and environmentally-friendly analysis of gold, silver, copper and other elements. The process is significantly simpler than fire assay, dramatically improving the turnaround time for results and reducing the risk of human error, with the added benefit of being able to retain and retest samples. In addition, the use of X-rays avoids the high temperatures and harmful chemicals such as lead and acids involved in fire assay, making it more environmentally friendly with a lower carbon footprint.

Revenue guidance for MSALABS in 2022 remains circa-$30 million, which includes the rollout of the initial six Chrysos PhotonAssay units by year-end, with each unit generating $3-5 million, depending on use. Following the rollout of the further 15 units across 2023 and 2024, in conjunction with the expansion of the existing geochemistry business, MSALABS anticipates generating revenues in excess of $80 million/y.

Stuart Thomson, MSALABS CEO, said: “We are pleased to expand our relationship with Chrysos and to assist in the global rollout of its revolutionary technology. Over the past year, we have seen very strong demand for Chrysos PhotonAssay, and we expect this interest to continue to grow as our global mining customers not only gain confidence in its accuracy and reliability, but also benefit from the substantially improved turnaround time for results not possible with fire assay. In recent years we have grown our network significantly and now have 18 laboratories globally. Adding Chrysos PhotonAssay into our service offering is exciting for us and a key benefit for our customers.”

PhotonAssay tech set for Western Africa debut with MSALABS agreement at Morila

Mineral exploration, Mining services, Precious metals, , , , , , , , , , , ,

Chrysos’ PhotonAssay technology is set to make a debut in the Western Africa market after Capital Ltd’s MSALABS signed a provisional five-year agreement with Societe Des Mines De Morila SA at the Morila gold mine in Mali.

The mine, which has an existing drilling contract with Capital Ltd, is 80%-owned by Firefinch. The ASX-listed company acquired the mine in November 2020 with the view to increase production at the 4.5 Mt/y mill from a current annual production profile of 40,000 oz/y of gold from tailings treatment, towards a target of 70,000-90,000 oz/y of gold through mining of small open pits, stocks and tailings from mid-2021. In 2022, Firefinch plans to increase production to 150,000-200,000 oz/y by re-commencing mining from the main Morila pit.

The contract, which remains subject to final terms and conditions, could see the first PhotonAssay arrive on site before the end of the year. This would be the first Chrysos unit to be deployed in Western Africa, according to Capital.

This news came out in the release of the company’s interim results, which outlined a 51.6% year-on-year boost in revenue to $98.7 million and a 238.6% boost in adjusted profit to $12.7 million.

MSALABS also has a PhotonAssay contract in place with Barrick Gold at the Bulyanhulu mine in Tanzania, which could see the deployment of at least six PhotonAssay units.

Capital said the initial Chrysos unit had arrived in Tanzania and was in transit to the Bulyanhulu laboratory, with commissioning anticipated imminently, with the Chrysos team now on site.

An additional Chrysos unit secured for Canada was scheduled for arrival in Val d’Or, Quebec, in the December quarter, representing an expansion of MSALABS’ presence in the country and entry into the prolific Abitibi Belt. Capital Ltd said offtake discussions are well advanced for the unit’s capacity.

Capital Ltd Executive Chairman, Jamie Boyton, said of the Photon Assay tech: “Chrysos has the potential to disrupt the geochemical analysis sector and we are encouraged by the demand we see as we prepare to roll out the second unit in Val d’Or in Quebec, Canada, in the December quarter of this year, and the third at Morila in Mali soon thereafter.”

Driven in part by increasing industry focus on safety, sustainability and sample turnaround time, Chrysos PhotonAssay is competing with the centuries-old fire assay process in the gold assaying market. Chrysos says the technology, which originated out of a CSIRO project, is fast taking over fire assay to be the preferred technology of miners and laboratories seeking a solution to the supply chain and environmental challenges created by traditional gold assaying methods.

Hitting samples with high-energy X-rays, PhotonAssay causes excitation of atomic nuclei allowing enhanced analysis of gold, silver and complementary elements in as little as two minutes, Chrysos claims. Importantly, the non-destructive process allows large samples of up to 500 g to be measured and provides a “true” bulk reading independent of the chemical or physical form of the sample.

Mota-Engil and Mali-owned IMS to tackle Morila satellites and Super Pit

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Mining contractor, Mota-Engil, and Mali-owned and operated contractor, Inter-Mining Services (IMS), are to carry out open-pit mining services at the Morila gold mine in Mali, following a contract award from Firefinch Ltd.

The two companies have entered a joint venture to carry out this contract, which will see them mine the satellite pits, Viper and N’tiola, as well as phase 1 mining of the Morila Super Pit.

The contract has an estimated value of some $360 million and includes site preparation and mining operations at the Viper and N’tiola satellite pits, and the Morila Super Pit. The scope of works also includes run of mine stockpile management at the Morila plant.

Mota-Engil have over 75 years of experience operating in Africa, and a demonstrated track record of operating at the scale required to pre-strip and mine the Morila Super Pit, Firefinch said. IMS, meanwhile, has extensive experience operating in the Malian mining sector.

“The combined expertise and capability offered by the joint venture allows for operating at scale, while combining strong local knowledge and content,” Firefinch said.

Work under the JV is scheduled to commence at the satellite pit of Viper and N’tiola in August 2021, with mining at the Morila Super Pit scheduled for the March quarter of 2022.

Firefinch’s Managing Director, Dr Michael Anderson, said: “The joint venture will bring together the capability to operate at scale, and a well-established locally owned and operated business that will maximise local content. It was great to have spent time at Morila and in Bamako this month, where we executed this important milestone. We have identified a solution that brings both local content and the technical capability required to undertake our open pit mining for future years.”

Firefinch has an 80% interest in the Morila gold mine, which has produced 7.5 Moz of gold since 2000. The ASX-listed company acquired the mine in November 2020 with the view to increase production at the 4.5 Mt/y mill from a current annual production profile of 40,000 oz/y of gold from tailings treatment, towards a target of 70,000-90,000 oz/y of gold through mining of small open pits, stocks and tailings from mid-2021. In 2022, Firefinch plans to increase production to 150,000-200,000 oz/y by re-commencing mining from the main Morila pit.