PERTH (miningweekly.com) – ASX-listed Globe Metals & Mining has settled its dispute with South African joint-venture partner Thutuka regarding the Kanyika niobium project, in Malawi.

Full ownership of the project would revert to Globe after Thutuka withdrew from the project.

The disagreement resulted in the delay of the Kanyika bankable feasibility study (BFS), which is scheduled for completion in mid-2011.

The dispute arose out of certain aspects of the BFS, which caused Thuthuka to suspend all work on its part of the study. The disagreement related primarily to the timing and mode of carrying out the concentrate optimisation programme, which has started at South Africa’s Mintek, as well as the planned 750-t bulk sample extraction, which was to feed the concentrate pilot programme.

Globe MD Mark Sumich reported that the company would continue with the BFS, while it evaluated additional funding and partner options for the project.

“While the delays in the BFS to date have been a setback, that Globe has regained its 100% stake in the project is clearly the best result for our shareholders and we can now push forward without delay under our own steam,” said Sumich.

The Kanyika project was expected to start production in 2013, at a rate of 3 000 t/y niobium metal, principally in the form of ferro-niobium.

Kanyika has a Joint Ore Reserve Committee-compliant resource of 56-million tons of contained niobium, uranium, tantalum and zircon, and has an estimated life-of-mine of 20 years.

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