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Elandsfontein phosphate project, South Africa – update

Aerial view of the Elandsfontein phosphate project

Aerial view of the Elandsfontein phosphate project

25th March 2022

By: Sheila Barradas

Creamer Media Research Coordinator & Senior Deputy Editor

     

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Name of the Project
Elandsfontein phosphate project.

Location
Saldanha Bay, in the Western Cape, South Africa.

Project Owner/s
The Elandsfontein project is held by Kropz (70%), African Rainbow Capital, or ARC (25%), and a smaller empowerment partnership (5%). Ubuntu Botho Investments forms part of the ARC structure.

Project Description
The Elandsfontein deposit is the biggest sedimentary phosphate deposit in South Africa.

The phosphate mineralisation is contained in the Varswater formation, with the phosphate occurring in phosphatised shell fragments and phosphorite pellets. The remainder of the deposit consists of silica sand and calcium oxide.

The project has an initial mine life of about 14 years and can deliver one-million tonnes a year of phosphate rock concentrate at steady state.

The processing plant will produce a final saleable concentrate to the expected specification of 68% bone phosphate of lime and about 31% phosphorus oxide using a flotation configuration of direct flotation, followed by a reverse flotation circuit.

Potential Job Creation
Not stated. 

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
Kropz has spent $120-million to bring its Elandsfontein phosphates mining and processing project into production and requires an additional $16-million to cover its augmentation.

Planned Start/End Date
First phosphate rock ore exports from Elandsfontein are expected in the first quarter of 2022.

Latest Developments
Kropz has achieved its first production of phosphate rock concentrate from its Elandsfontein operation.

Plant commissioning at the Elandsfontein operation began in the fourth quarter of 2021 and has since achieved a concentrate grade of 31% phosphorus pentoxide, in line with management expectations.

Concentrate samples will be prepared for shipment to several potential buyers to confirm product specifications, Kropz has said.

Sales to smaller local customers in South Africa will begin towards the end of March.

The focus for Kropz has now shifted to ramping up the operation to achieve nameplate capacity and the first commercial large-scale shipment of concentrate.

Key Contracts, Suppliers and Consultants
DRA (engineering, procurement and construction management); Minopex (processing plant operation); and VDM Transport.

Contact Details for Project Information
Kropz, tel +27 21 930 0927 or email info@kropz.com.

Edited by Creamer Media Reporter

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