Name of the Project
Tongo diamond mine project.

Location
The project is located in the eastern Kenema district of Sierra Leone.

Project Owner/s
Newfield Resources.

Project Description
Front-end engineering design (FEED) has definitively shown the Tongo project to be a technically robust and strongly economic development.

The FEED has shown the project to have an initial probable reserve of 1.09-million carats from the shallow zones of the Kundu and Lando kimberlites within the Tongo development. Total ore mined and processed is estimated at 1.09-million tonnes and total diamond production is forecast at about 1.09-million carats – Kundu about 460 000 ct and Lando about 640 000 ct.

The FEED estimates an initial eight-year life-of-mine, with peak production of 260 000 ct/y.

Mining is planned to be exclusively underground, with access to the Kundu and Lando kimberlites from a single portal entrance located about midway between the two kimberlites. The selected mining method is traditional shrinkage stoping (with an 85 cm mining stope width).

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a net present value, at a 10% discount rate, of $33-million and an internal rate of return of 30%.

Capital Expenditure
The project is estimated at $29.4-million.

Planned Start/End Date
The FEED has concluded that diamonds could be produced within 12 months of the final investment decision.

Latest Developments
Newfield approved the development of the Tongo diamond project in July.

Key Contracts and Suppliers
Paradigm Project Management, together with MPH Consulting, Z-Star Mineral Resource Consultants, SRK Consulting and Datamine (FEED).

On Budget and on Time?
Too early to state.

Contact Details for Project Information
Newfield Resources, tel +232 78 415163 or email info@newfieldresources.com.au.