Name and Location
Sandpiper phosphate project, Namibia.

Client
The project is a joint venture between Minemakers (42.5%), Union Resources (42.5%) and Tungeni Investments (15%).

Project Description
The project tenements lie in waters about 60 km off the coast of Namibia and cover a combined area of about 7 000 km² in the regional phosphate-enriched province to the south of Walvis Bay in water depths of 180 m to 300 m. The project has an indicated resource base of 74-million tons, with a grading of 20.6% phosphate and an inferred resource of 1.9-billion tons, with a grading of 18.4% phosphate.

The mining of the seafloor sediments will be by a large-capacity dredge, using existing technology. The dredge will steam to a site about 20 km south of Walvis Bay and discharge the ore to a buffer pond after docking with a floating pipeline.

At the buffer pond, seashells will be screened off and the undersize phosphate sand and mud will be transported by slurry pipeline to a site about 4 km inland from the Walvis Bay port. A processing plant will remove the barren muds, which will be stored as tailings. The phosphate sands will be washed using the tailings grey water to remove salt and then dried and taken to the port for export.

Studies have indicated that the most appropriate transport to port for environmental reasons is likely to be in a closed conveyor system.

Production is aimed to begin at one-million tons a year and will be ramped up to three-million tons a year as capacity of the port is expanded.

Value
The estimated cost is $144-million.

Duration
The definitive feasibility study is expected to be completed in the first half of 2012.

First production is planned for the second half of 2013.

Latest Developments
Minemakers has submitted a draft environmental-impact assessment (EIA) and draft environmental management plan for the marine component of the project.

The report, lodged with the Namibian Ministries of Mines and Energy and Environment and Tourism, covers govern-ance; the EIA process; and biogeochemical, benthic, marine fauna/flora, cumulative, socioeconomic, and project impacts.

While there were no environmental issues identified, the company and its subcontractors will implement management and mitigation measures.

The EIA also included the full reports and findings of four independent specialist studies that were undertaken to deal with any specific potential impacts, including fish and fisheries, seabirds and marine mammals, water column dynamics, macrobenthos, and jellyfish.

The draft EIA report provides the necessary information to permit the authorities, as well as interested and affected parties, to verify that matters of concern have been addressed comprehensively.

Key Contracts and Suppliers
J Midgley & Associates and Enviro Dynamics (environmental consultants).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Minemakers, tel +61 8 9264 7000, fax +61 8 9264 7099 or email frontdesk@minemakers.com.au.
Union Resources, tel +61 2 9233 4750, fax +61 2 9233 4749 or email info@unionresources.com.au.
Tungeni Investments, tel +264 61 400 205, fax +264 61 221 333 or email info@tungeniafrica.com.
Enviro Dynamics, tel +264 61 223 336, fax +264 61 307 437 or email info@envirod.com.