South African based engineering and project management company DRA has announced that it has been awarded the study of the Process Plant for the next phase of the Zanaga iron ore project in the Republic of Congo by MPD Congo SA, owned jointly by Glencore and the Zanaga Iron Ore Company.

Previous studies have focussed on the viability of a large scale 30Mtpa mine. A review of these earlier studies by Glencore identified the potential for developing the Zanaga project in stages, with the first stage involving a smaller 12 Mtpa operation plus a 1 to 2 Mtpa direct shipping facility using existing infrastructure. Glencore expects that this revised approach will significantly reduce the anticipated initial capital cost of the project,  potentially more than halving previous estimates.

The study to be carried out by DRA into the staged development of the project is due to be completed by the end of the first quarter of 2014 and will form part of the basis of a mining exploitation licence application. Paul Thomson, CEO of the DRA group commented “We are delighted to have been awarded this important study by Glencore. The Zanaga project has the potential to become a large scale producer and a further advancing step in the burgeoning iron ore industry of the Republic of Congo.” He added “The Zanaga study complements our already impressive and growing track record in the iron ore industry, which includes the staged EPCM delivery of the major Khumani iron ore project in South Africa for Assmang , our current work on the Mayoko-Mouss and I iron ore project in the Republic of Congo for Exxaro, and our work on a number of iron ore projects in the Pilbara region of Western Australia.”

“We look forward to applying our demonstrated ability in preparing innovative and cost-effective designs for the staged implementation of Zanaga in close collabation with Glencore, and to the opportunity of being involved in further stages toward its successful operation”.