Modern Mining January 2015

MINING News

Process plant ordered for Zimbabwean tungsten project

Premier African Minerals Limited (PAM), the AIM-traded natural resource company with mineral projects located in Southern and Western Africa, has placed an order for the process plant for the RHA tungsten project (RHA) in Zimbabwe. Premier is the operator of RHA and holds a 49 % interest. The project is located in the Kamativi tin belt of north-western Zimbabwe and PAM is planning two stages of development – a first phase, low capex (US$4,8 million) open pit, which provides an 18-month life of mine, followed by an undergroundmine (capex estimate – US$14,7 million) based on mechanised long-hole open stoping. The open-pit annual production will be 96 000 t (ROM) while the underground production rate will be between 192 000 and 288 000 t (ROM). George Roach, CEO of Premier, com- mented: “Confirming this order is a further step in the process of re-opening the RHA mine. Although the initial deposit has been paid from our cash on hand, additional finance as set out in our press release of 25 November 2014 will still be

A 3D model of the process plant for the RHA tungsten project. required and we continue our advanced negotiations on off-take and/or marketing contracts and other finance options.”

determined in the metallurgical test work announced on 10 September 2014. The modular plant will be built in Johannesburg by Appropriate Process Technologies (APT). The modules will be containerised and trucked to site where it is expected that the process plant will be fully commissioned by mid-2015. The PEA released on 28 October 2014 modelled average gross monthly revenue before expenses of US$1,78 million.  includes C$12,0 million (R120 million) for the mineral rights and three fit-for-purpose processing plants with such consideration payable on the closing date. Commenting on the transaction, James Campbell, Rockwell’s CEO and President, said: “We are delighted to have concluded this agreement as it represents an excit- ing growth platform for Rockwell. Our executive and operational management have demonstrated their alluvial diamond production expertise during Rockwell’s corporate turnaround and have the capac- ity to take on these additional assets. “We have reviewed a number of consoli- dation opportunities and the transaction met all our strategic criteria. The assets are contiguous to our existingMOR operations, which are known for their gem quality dia- monds. We know the geology of the area. So these new assets offer economies of scale, with the potential to reduce the vola- tility of our quarterly production results and take us above our target of processing 500 000 m 3 per month. It will also give us the opportunity to allocate our financial, human and intellectual capital more effi- ciently across a broader resource base.” 

The process plant is designed to meet a throughput of 16 t/h or 8 000 tonnes per month and achieve a wolframite recov- ery of 82,8 %. The stated production rate excludes any consideration of a pre-con- centration circuit which, if implemented in future, could increase the plant through- put fivefold at a 20 % recovery loss as

Rockwell to acquire MOR properties

Alluvial diamond miner Rockwell Diamonds Inc reports it has entered into a conditional agreement to acquire certain alluvial diamond properties and associated plant and equipment from Bondeo 140 CC and its affiliates. The deal will be worth

C$28,5 million (R284,2 million) The assets are contiguous to Rockwell’s existing properties in the Middle Orange River (MOR) region and will significantly enlarge its operating and resource base. The total acquisition consideration

Trial programme will deliver real-time drilling results Real-time drilling results will be available to resource prospectors for the north-west cor- ner of South Australia.

cores, the participating explorers will effec- tively have‘instant’access to live sensors and on-site analysis of geology,” Koutsantonis said. “This will drastically speed up exploration results testing, enabling explorers to quickly adapt their drilling programmes, improving their chance of success. “With the roll-out of this technology in our own backyard, South Australian explor- ers will be among the best-placed in the world to rapidly assess the merits of mineral assets, and make a quantum leap in produc- tivity gains.” Koutsantonis said the northern Eyre Peninsula was the perfect location to test- drive the next generation of exploration technologies. 

The far north of Eyre Peninsula has been selected as the location for a world-first trial programme which delivers real-time drilling results, improving explorers’chances of find- ing the next major discovery. Opening the South Australian Exploration and Mining Conference in Adelaide recently, Mineral Resources and Energy Minister Tom Koutsantonis said the new A$2 million PACE Frontiers 2015 Mineral Systems Drilling programme will allow explorers to make decisions“on the spot”and better target their efforts to drive exploration dollars further. “Rather than having to wait days and weeks to see the results of sampled drill

20  MODERN MINING  January 2015