Name: Kolomela mine.

Location: The Kolomela mine is located 22 km from Postmasburg, in South Africa’s Northern Cape province.

Controlling Company: Kumba Iron Ore

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Brief History: Exploration on the Kolomela project dates back to the 1950s, although the first impact studies were only undertaken in 2001. Construction of the mine started in late 2008, following the receipt of the relevant permits. Production began in late 2011, with the first shipment of ore in December 2011.

Brief Description: The mine was brought into commercial production ahead of schedule in December 2011, and is on track to produce at design capacity of nine-million tonnes a year in 2013. Kolomela’s life-of-mine (LoM) is currently estimated at 29 years.

Mining Method: Openpit.

Products: Iron-ore.

Major Infrastructure and Equipment: The Kolomela mine is a highly mechanised mine. The mine has been designed as a direct shipping ore operation, where conventional openpit drilling and blasting, shovel-and-truck loading and hauling mining processes are applied to mine the group of ore bodies from different pits.

The reclaimer at Kolomela mine assists in the blending of different grades of processed ore prior to shipment.

Product size is controlled by a crushing and screening plant for all buffer stockpile and pit run-of-mine material.

The iron-ore is transported to the Saldanha export harbour by means of the Orex iron-ore export line.

Geology/Mineralisation: Iron-ore at Kolomela mine is preserved in the chemical and clastic sediments of the Proterozoic Griqualand West Supergroup. These sediments define the western margin of the Kaapvaal Craton, in the Northern Cape.

The stratigraphy has been deformed by thrusting from the west and has undergone extensive karstification. The thrusting has produced a series of open, north-south plunging anticlines, synclines and grabens. Karstification has been responsible for the development of deep sinkholes. The iron-ore at Kolomela mine has been preserved from erosion within these geological structures.

The structural regime that dictates postdepositional changes at Kolomela mine was reviewed in 2011. Four distinct iron-ore types have been described at the deposit, with the bulk of the ores having their equivalents at Sishen mine. The Kolomela mine deposit comprises high-quality, clastic-textured (29%), laminated (53%), collapse breccia (10%) and conglomeratic (8%) ores.

Reserves: Total proven and probable reserves as at December 31, 2012, were 209.5-million tonnes, with a grade of 64.4% iron.

Resources: Total measured and indicated resources as at December 31, 2012, were 60.3-million tonnes, with a grade of 65% iron. Inferred resources considered for the LoM plan were 50.5-million tonnes, with a grade of 64.2% iron. Inferred resources outside the LoM plan were 55.7-million tonnes, with a grade of 62.8% iron.

Prospects: Further expansion of the Kolomela mine by six-million tonnes a year is being considered.

Contact person: Corporate communications manager, Gert Schoeman.

Contact details:
Kumba Iron Ore, tel +27 12 683 7000, and website: www.angloamericankumba.com.