Name of the Project
Savannah nickel project.

Location
Western Australia.

Project Owner/s
Panoramic Resources.

Project Description
An updated mine plan based on an updated ore reserve has confirmed an attractive, near-term nickel sulphide mine restart opportunity.

The updated reserve at Savannah, which includes Savannah North, comprises 8.3-million tonnes grading 1.23% nickel, 0.59% copper and 0.08% cobalt for contained metal of 102 000 t of nickel, 48 500 t of copper and 7 000 t of cobalt. The ore reserve underpins an estimated 13-year mine life.

Mine scheduling has been adjusted to ramp up ore production to 960 000 t/y as quickly as possible. Ore sourced from Savannah North underpins the potential restart strategy, with the scheduling of ore from Savannah remnants averaging about 20 000 t a month.

The new mine plan envisages average production of 9 402 t/y of nickel, 5 046 t/y of copper and 714 t/y of cobalt in concentrate over more than 12 years, with the majority of ore sourced from the Savannah North orebody.

The mining methods used in the life-of-mine plan are in line with the previous operation, as a top-down, longhole open stoping mining method using paste fill is implemented. This mechanised, nonentry method has proven to be a safe, productive mining method at Savannah.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at an 8% discount rate, of A$844-million.

Capital Expenditure
Not stated.

Planned Start/End Date
The project was commissioned in October 2021.

Latest Developments
A recent drilling below the historical workings of the Savannah orebody has indicated a continuation at depth, with the potential to bring additional material into the mine plan.

“The mine plan continues to provide an attractive base case for Savannah, with significant scope to further enhance the mining inventory by upgrading inferred resources and testing the Savannah North orebody at depth and along strike where it remains open . . . the project is highly leveraged to nickel price upside that is expected to be driven by the electric vehicle market, as evidenced over the past year,” Panoramic MD Victor Rajasooriar has said.

Key Contracts, Suppliers and Consultants
Entech (updated mine plan); and Braminco (underground mining contract).

Contact Details for Project Information
Panoramic Resources, tel +61 8 6266 8600 or email info@panres.com.