Modern Mining April 2015

MINING News

Tsodilo Resources is completing a dia- mond core drilling programme of 15 holes to a cumulative depth of 2 621 m on both the main and satellite bodies at its BK16 kimberlite project located within the Orapa Kimberlite Field (OKF) in Botswana Tsodilo acquires mobile DMS plant for BK16 sampling in order to develop an advanced geologi- cal model.

refurbishing the plant in order to start treatment of the diamondiferous BK16 kimberlite during Phase 1 of the evaluation programme towards the end of this year. Using very conservative estimated grades, the company intends to extract and treat some 3 500 tons in order to recover in excess of 200 carats during the evaluation programme. “Tsodilo continues to advance its proj- ects in an expedient and cost effective fashion by utilising its company-owned drill rigs, geophysical equipment and now the DMS processing plant. This allows us to evaluate the potential of our projects in a fast and cost effective fashion which is crucial at any time but especially in today’s economic environment. The outlook for diamonds is very positive and we want to move BK16 along as fast as we can,” says Tsodilo’s Chairman and CEO, James M Bruchs.  will be the next niobium producer.” The PFS was prepared by MDM Engineering Projects (MDM) who also undertook plant design and cost estimates. It incorporates technical aspects from Coffey Mining for the mineral resource esti- mate, SRK Consulting (Australasia) for the geotechnical analysis and mine planning, SGS Canada Inc for metallurgical test work, SLR Consulting (Africa) for tailings andwater studies and MTL Consulting Company Ltd for environmental and social studies. The ‘Base Case’ for the PFS is centred upon an open-pit mining operation pro- viding 2 Mt/a mill feed over a 30-year life of mine (LOM). This is the same scale of oper- ation that was considered in the Scoping Study and is the current size of Magris Resources’ Niobec operation in Canada, thus allowing useful comparative analysis. With the success achieved in the PFS in both mill feed grade and metallurgical recoveries, the initial ferroniobiumproduc- tion from a 2 Mt/a plant now approximates 8 to 10 % of world production. For this reason, and to simplify financing arrange- ments, the Definitive Feasibility Study will be scoped so as to achieve a more modest entry into the market (i.e. throughput com- mencing at 1 Mt/a). 

In anticipation of the bulk sampling programme which is scheduled to start during the second half of this year, the company has purchased a DMS mobile plant from De Beers Botswana. The plant is capable of handling a 10 t/h head feed throughput and was used in the evalu- ation of AK6 (Karowe diamond mine) owned by Lucara Diamond Corp. It is set up and located just outside Lethlakane vil- lage approximately 15 km directly WNW from the BK16 pipe. The plant includes primary and second- ary crushers (cone and jaw), de-sliming screens, conveyors, a scrubber with 12 mm trommel screen, a DMS preparation screen and a DMS cyclone (250 mm/57 mm). It is equipped with a laboratory, security office and concentrate storage units. Tsodilo intends to spend some time

The 10 t/h DMS plant acquired by Tsodilo Resources for the BK16 project.

ASX-listed Cradle Resources has announced the results of a Preliminary Feasibility Study (PFS) for the Panda Hill niobium project in south-western Tanzania. Grant Davey, the MD of Cradle, com- mented: “We are very pleased with the results of the PFS, which demonstrate a highly economic, world class project. The PFS substantially de-risks the project fol- PFS demonstrates a “world class”niobium project lowing on from excellent results achieved with the resource drilling and the metal- lurgical test work last year. We focused the study on a higher grade mining schedule that delivers the optimal early cash flow for the project. With the Definitive Feasibility Study already underway, and an updated mineral resource due out shortly, we are well advanced in ensuring that Panda Hill

Mineral resource exceeds target at Mahumo ASX-listed MOD Resources has announced a high grade mineral resource of 2,68 Mt at 2 % Cu and 50 g/t Ag (at a 1 % cut-off ) for Stage One of its 100 %-owned Mahumo copper/silver project in Botswana. The tonnes and grade are well above MOD’s tar- get of 2 Mt at 1,8 % Cu and 45 g/t Ag.

mining and ore processing at Mahumo. Metallurgical test work has already com- menced to validate preliminary results announced on 29 September 2014. The scoping study is due for completion in the June quarter. “The Stage One mineral resource at Mahumo has exceeded our expectations,” comments Julian Hanna, MD of MOD Resources. “Importantly, the high copper and silver grades are continuous from near surface to the deepest intersections in drill- ing completed to date. Mahumo remains open ended below the current resource and it appears that further drilling may result in a significant increase in the size of the resource.” 

The resource has a copper equivalent grade of approximately 2,5 % – which MOD understands is the highest announced grade for any copper/silver deposit in Botswana. It adds that the silver grade is approximately three times the average sil- ver grade of other announced resources in the Kalahari Copperbelt. Due to the high grades at Mahumo, MOD is now proceeding with a scoping study to evaluate a range of options for potential

20  MODERN MINING  April 2015