Modern Mining September 2016

MINING News

East Africa Metals applies to mine at Terakimti

East Africa Metals Inc, listed on the TSX-V, reports it has filed the mine permitting application for the Terakimti oxide gold project at its 70 %-owned Harvest project in Ethiopia. The Terakimti project has a mineral resource of 1,12 Mt grading 3,2 g/t and 24,0 g/t silver for 107 000 ounces of gold and 812 000 ounces of silver. Simulated heap leach recoveries of 75,3 % gold and 39,7 % silver have been achieved. Terakimti is proposed as an open-pit mining operation followed by heap leach- ing and on site processing to produce gold-silver doré. The combination of near surface oxide gold and silver mineralisa- tion, hosted in soft rock when compared to other deposits, high and rapid extraction of gold at coarse crush sizes in metal- lurgical testwork, along with satisfactory percolation rates, all support this strategy for the development of the project. The project is located in the Tigray region of northern Ethiopia, approximately 600 km north of Addis Ababa, the capital. The region has regular air service and very good, modern transportation and power infrastructure. The proposed mining operation would utilise grid power for the project, for which the nearest high tension power line is approximately 7 km away. Primary road access to the site is by paved highway from the town of Shire, 40 km south of the project. Local surface and groundwater are expected to be sufficient for a heap leach- ing operation and the project would maximise recycling of process water. “Advancing the Terakimti gold oxide project to the permitting stage will mark a significant milestone for the company and highlights the excellent performance the company has achieved with its Ethiopian assets,” says Andrew Lee Smith, President and CEO of East Africa Metals. “The resource at the Terakimti project shares a similarity with other copper-gold proj- ects in the region, such as the Bisha and Debarwa deposits, in that the initial min- ing opportunity was defined by the surface gold-oxide resource followed by mining of copper-gold-zinc sulphide resources. “Management believes that, over time, the potential exists for mining at Terakimti to begin with the gold silver oxide and

East Africa Metals’ geologists working in the field on the company’s tenements in Ethiopia. The com- pany’s two projects in Ethiopia are Harvest (which includes Terakimti) and Adyabo. They are roughly 15 km apart (photo: East Africa Metals).

then transition to high-grade supergene copper oxide and eventually the copper- gold sulphide resource. The Terakimti oxide gold project will provide East Africa the opportunity to benefit from estab- lishing the first heap leach commercial operation in the country, and generate

cash flow to re-invest in exploration and development to grow the company’s resources in Ethiopia, which currently stand at 926 000 gold equivalent ounces in the indicated category plus 860 000 gold equivalent ounces in the inferred category.” 

Baobab phosphate project enters production ASX-listed Avenira Limited says it has reached a “transformational milestone” with the first production being achieved at its 80 %-owned Baobab phosphate project in Senegal.

million development of Stage 1, which was delivered on time and on budget, paves the way for Avenira to continue to pursue its strategy of multiple stages of expansion across the Baobab project. “ The Baobab phosphate project continues to progress steadily and it is fan- tastic to see first production at this time,” says Avenira’s Managing Director, Cliff Lawrenson. “The project has moved from the construction stage to commission- ing and is proceeding through production ramp-up with appropriate procedures and protocols being phased in progressively. To have achieved first production in August, after starting mining activities in March, is outstanding by any measure and is a testament to the focused and committed teamwork from the board to the project operators.” 

The Baobab process plant is going through its commissioning procedures and the first phosphate product is being stock- piled ahead of trucking to port in the next few weeks. Maiden product shipment is expected to take place in late September or October, somewhat dependent upon the regional wet season. Avenira says the first production marks a critical step in its move into the agri-nutri- ent sector, coming just five months after mining activities commenced. Stage 1 of the Baobab project is designed to produce 500 000 t/a of phos- phate concentrate. The successful US$15

September 2016  MODERN MINING  5