Modern Mining April 2016

COVER STORY

operation to establish an operating platform to support phases two and three, which will see production increasing to 8 Mt/a and 12 Mt/a respectively. The concentrator plant for phase 1 will consist of two modules, each of 2 Mt/a capacity. The final product of the proj- ect will be concentrate although smelting and refining options are not ruled out for the later phases of development. “The timeline on phases two and three is still uncertain but we should be producing ore from phase one in 2019,” says Mouton. “This will be stockpiled as the first 2 Mt/a concentra- tor plant module will only be commissioned in late 2019. We would anticipate ramping up to full first phase steady-state production by 2022. A development decision on phase two, which doubles the size of the project, will probably be made in 2020 with the full 8 Mt/a capac- ity being achieved by 2024/25. A decision on phase three – taking the mine to 12 Mt/a – is much further out and is unlikely to be made before 2028.” Mouton emphasises that all dates are tenta- tive at this stage, given that Ivanhoe still has money to raise and given the vagaries of the PGMmarket. “We believe strongly in the future of PGMs but clearly we will need to develop the project at a pace that is consistent with market demand,” he says. Ivanplats released the results of a Pre- Feasibility Study (PFS) – an incredibly detailed

of production of platinum equivalent ounces. Remarkably (given that it is an underground mine), it is expected to have costs of produc- tion that are not significantly different to those of Mogalakwena. Ivanplats, which is 64 % owned by Ivanhoe and 10 % owned by a Japanese consortium of Itochu Corp, ITC Platinum (an Itochu affili- ate) and Japan Oil, Gas and Metals National Corporation (JOGMEC) with the balance of the shareholding being in the hands of Ivanhoe’s B-BBEE partners, is responsible for executing the project. It is planning to do this in three phases, with the initial phase being a 4 Mt/a

Aerial view of the Platreef site. It has been entirely fenced with an inner concrete wall surrounding the shaft area.

Photo taken during the erection of the headgear. A 600-ton capacity Demag crawler crane from Sarens was used to lift the heavy components.

22  MODERN MINING  April 2016