Name of the Project
Siviour graphite project.

Location
Eyre Peninsula, South Australia.

Client
Renascor Resources.

Project Description
A scoping study for a proposed openpit mine and graphite production plant at the Siviour graphite deposit has shown encouraging project economics.

The project has total indicated and inferred resources of 80.6-million tonnes grading 7.9% total graphitic carbon for 6.4-million tonnes of contained graphite.

The scoping study considered multiple mine options based on a 20-year mine life, in which the entire life-of-mine graphite production target would be included within the existing indicated resource of Siviour. 

Based on market requirements and potential capital raising capacity, a production rate of 123 000 t/y has been selected as the most viable scenario.

For the scoping study, conventional mining using drill-and-blast, load-and-haul, and crusher feed and in-pit wet disposal have been adopted. Further studies on alternative mining and disposal methods will be considered in future studies.

Jobs to Be Created
Not stated.

Net Present Value/Internal Rate of Return
The project has an after-tax net present value, at a 10% discount rate, of $408-million and an internal rate of return of 59%, with a payback of 1.7 years from first production.

Value
Preproduction capital costs have been estimated at $106.5-million.

Duration
The project development schedule is based on completing feasibility studies in the second half of 2018, and, subject to receiving funding and relevant approvals, the project could start production in 2020.

Latest Developments
Rapid development of the project remains on schedule, with a prefeasibility study (PFS) on the project expected to be completed in the fourth quarter. Subject to satisfactory completion of the PFS, a definitive feasibility study is expected to be completed in the second or third quarter of 2018.

Recently completed work programmes have included advances in mineral processing flowsheet design, advanced product testing, resource enhancement and community engagement, as well as environmental and regulatory planning.

Additional work programmes under way or expected to start in the fourth quarter include advanced mining, as well as geotechnical, hydrogeological and environmental studies.

Renascor is progressing a spherical graphite scoping study and a small-scale commercial start-up study.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Too early to state.

Contact Details for Project Information
Renascor Resources, tel +61 8 8363 6989, fax +61 8 8363 4989 or email info@renascor.com.au.