JOHANNESBURG (miningweekly.com) – Aim-listed exploration company Sable Mining Africa says with the original planned drilling programme at its high-grade Nimba iron-ore project, in south-east Guinea, complete, there is currently no activity on site and, therefore, it is not experiencing any delays as a result of the current Ebola outbreak in West Africa.

In a market update on Thursday, the company explained that metallurgical testwork was currently being conducted and included drop tower tests and ore characterisation by Amdel, of Perth, materials handling tests by Tunra, of Perth, screenability testwork  by Metso, of Brazil, and CSIRO, also of Perth, which is conducting sinter testwork and testing of the lump ore.

The bulk-tonnage, direct shipping ore project currently had a resource of 181.8-million tons, grading at 58.8% iron and a maiden reserve of 53.96-million tons, grading at 61.6% iron.

The bankable feasibility study (BFS) is due in the first half of 2015, with Sable’s current cash position of $11.3-million, which would continue to support the company’s development objectives at Nimba, Sable Mining CEO Andrew Groves said, “including, and post-publication of, our BFS in [the first half of] 2015”.

Further, the company highlighted that it was debt free with sufficient funds to continue operating as a general concern into 2016, adding that there was no requirement to raise capital in the short term.

Groves pointed out that Nimba continued to stack up as an asset with the potential to generate considerable value for shareholders even in periods of depressed iron-ore prices. 

“The company has been affected by the negative sentiment around iron-ore, yet, it has significant differentiators to its peers,” he stated. 

Groves outlined that Nimba was a high-tonnage, hematite asset with a hard lump product, grading about 62% [iron], which was not subject to grade discounts and had no requirement to beneficiate.

The iron-ore project was also free of discounted offtakes and benefitted from existing rail and port [infrastructure] in the vicinity, he noted. But, the company said negotiations were ongoing with the governments of Guinea and Liberia regarding transportation of product.