The Tantalite Valley (TV) project, near Warmbad, in Namibia’s Karas region, is undergoing refurbishment and preparation work to reach first pilot production by midyear, resource and energy investing firm Kennedy Ventures chairperson Giles Clarke tells Mining Weekly.

Kennedy Ventures acquired 75% of tantalum producer African Tantalum (Aftan) for R12-million in January. Aftan has a 60% share in the TV project, which it acquired in June last year.

The TV plant had previously produced tantalum under ASX-listed junior Magnum Mining & Exploration, which still holds the remaining 40% of the project.

Previous mining activity has enabled Kennedy Ventures to schedule the mine’s first production within a relatively short timeframe, Clarke explains.

“The company has been examining old records . . . to locate bottlenecks that can be engineered out of the system,” he says, noting that, owing to the embedded hardware that was already on site, many of the typical challenges associated with starting a mine were circumvented.

Initial mining at the TV project will be done in the existing adits in the side of the hill, while some of the pegmatites are also opencastable, Clarke explains.

At full production, the mine will employ around 130 people.

Tantalum Market

Clarke asserts that Kennedy Ventures is confident that, owing to the robust demand for electronic consumer goods, the demand for tantalum will remain steady for the foreseeable future.

He explains that the principal demand for tantalum comes from the electronics industry, where tantalum capacitors are used in electronic equipment such as mobile phones, tablets, laptop computers and video-game systems.

Tantulum is also used to produce a variety of super alloys, which can be used to manufacture high-temperature cutting tools. It can also be used in other applications, such as in the aerospace industry, where its high melting point and corrosion-resistant properties are required.

At the time of going to print, Tantalite ore concentrate was trading at just over $207/kg and tantalum metal at $420/kg.

Conflict Compliant

Clarke highlights the significance of the tantalum mined at the TV project being classified as nonconflict tantalum.

“The tantalum produced by Aftan would be conflict free and the company anticipates that a premium for tantalum from conflict areas could, therefore, be charged – hence, deincentivising the use of conflict tantalum.”

Clarke explains that the US Securities and Exchange Commission (SEC) adopted a rule in August 2012 that required companies reporting to the SEC to publicly disclose the origins of the tantalum that they buy to restrict the use of conflict minerals.

The mine is certified, which enables it to supply the tantalum mined at the TV project to companies that are required to comply with the SEC regulations.