Listed Mining Companies
2nd September 2005
TEXT SIZE
Project description Anglo Platinum (Angloplat) and Xstrata Alloys have formed the Mototolo joint venture (JV) to develop a platinum-group metals (PGM) mine and concentrator on the eastern limb of the Bushveld Complex in Mpumalanga.
Angloplat and Xstrata will each contribute a similar amount of in-situ PGM reserves and resources from Xstrata’s Thorncliffe farm and Angloplat’s bordering farm Richmond, part of its Der Brochen project area, to the JV.
Angloplat will purchase Xstrata’s 50% share of PGM concentrate for further smelting, refining and marketing of finished product. Xstrata will construct a beneficiation plant at its own cost to process the UG2 chrome tailings arising from the PGM concentrator and will buy Angloplat’s share of chrome concentrate.
The project is expected to produce about 132 000 oz of platinum and 82 000 oz of palladium in concentrate a year.
Value The project is estimated at R1,35-billion to commissioning, of which Xstrata and Angloplat will each contribute R675-million.
.
Duration Construction of the mine and concentrator is expected to start in the third quarter of 2005, with initial production of PGM ounces anticipated in the last quarter of 2006 and full production in the third quarter of 2007.
Breakdown of main contracts Xstrata will be responsible for developing and operating the underground mine, contributing its expertise in mechanised room-and-pillar mining, while Angloplat will construct and manage the 200 000 t-a-month PGM concentrator.
Client Mototolo JV is a pooling arrangement between Xstrata and Angloplat.
Latest developments None stated.
Participants None stated.
Will any structural steel be used and if so how much? Too early to state.
On budget and on time? The project has just been announced.
Contact details for project information Xstrata, Etienne du Preez, tel: (014) 590 2357 or e-mail: edupreez@xstrata.co.za Angloplat, Trevor Raymond, tel: (011) 373 6462 or e-mail: traymond@angloplat.com
.gif)
