Name of the Project
Kabanga nickel project.

Location
Ngara district of the Kagera region, in western Tanzania.

Project Owner/s
Kabanga Nickel.

Project Description
Kabanga is the biggest development-ready nickel sulphide deposit in the world. It has contained in situ nickel equivalent resources estimated at 1.86-million tonnes and an in situ nickel equivalent grade of 3.44%.

The project will be a cradle-to-gate mining operation producing Class 1 nickel, cobalt and copper refined metals by adopting a hydrometallurgical processing technology that is more cost efficient than smelting and has a significantly lower environmental impact.

The project, which has a life-of-mine of more than 30 years, aims to produce a minimum of 65 000 t/y of nickel equivalent, with further exploration upside potential.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
Kabanga Nickel announced in January 2022 that BHP would make a $90-million investment in the company to accelerate the development of the project. BHP’s initial investment will be $40-million, which will be converted into an 8.9% equity stake in Kanaga Nickel once approvals and conditions are met. Once invested, and on conversion, the second tranche of $50-million will increase BHP’s equity stake to 17.8%, thereby valuing the project at $658-million. BHP will secure the right to make a further investment in Kabanga Nickel subject to achieving certain agreed milestones.

Planned Start/End Date
First production is targeted for 2025.

Latest Developments
None stated.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Kabanga Nickel, email info@KabangaNickel.com.