JSE-listed platinum miner Northam has revised the operating parameters of the Booysendal platinum project following an optimisation exercise.

The results of the optimisation of the feasibility study indicate that the start-up of production could be accelerated and that the mining layout could support a higher rate of production, which would lower unit operating costs.

The concentrator plant layout has been revised to accommodate higher production, which increases process-flow efficiency and reduces the environmental footprint.

Overall, the total capital expenditure estimate of R3,6-billion – up from R3,1-billion in June 2009 money terms – is slightly more efficient in terms of tons milled and ounces produced.

Northam, headed by CEO Glyn Lewis, says that it is confident that the Booysendal mine can be funded from internal retentions and debt instruments. The project’s capital expenditure requirements peak in mid-2012.

Preparatory work is under way to start the on-reef boxcut in the first half of the company’s 2011 financial year.

Work on the reverse decline adit, bulk earthworks for the concentrator and offices, the permanent access ways and pipelines will start as soon as the environmental permitting is obtained.

Mill throughput to the plant will increase to 150 000 t/m, with 187 500 t/m of run-of-mine material going through the dense-media separation plant, an increase of 25%.

Because electricity consumption is likely to exceed the Eskom-approved 20 MVA at full capacity, 5 MVA of power will be self-generated on site during peak demand times. This will continue until Eskom is able to supply additional power, estimated to be by 2015.

The revised design provides for an energy management system and the introduction of energy recovery strategies.

Improved ore-pass capacity will minimise the operation of decline conveyors during peak shifts.

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