Name and Location
Tschudi copper project, Namibia.

Client
Weatherly International.

Project Description
A bankable feasibility study (BFS) on the Tschudi project has indicated a robust project. Tschudi has mineral resources of 50.1-million tonnes at 0.86% copper and a reserve of 22.7-million tonnes at 0.95% copper.

The BFS envisages an openpit mine and an estimated mining rate of 17-million tonnes a year.

The ore will be processed using solvent extraction electrowinning at a rate of 2-million to 2.6-million tonnes a year of ore.

The mine is expected to produce 17 000 t/y over an 11-year mine life.

Value
Initial capital required to develop the project is estimated at $81-million.

Duration
First copper production is expected to start in the second quarter of 2015.

Latest Developments
The Tschudi copper project remains on track to start production in the second quarter of this year.

The company reports that progress on the project has been “impressive”, with large sections of the crushing and agglomeration plant commissioned in advance of the Christmas break.

Mining at the 50.1-million-tonne project started in July 2014, and, in December, 2 000 t of ore was fed through the crushing and agglomeration plant as a precommissioning test, with the plant achieving the desired throughput rates.

Weatherly has completed the recruitment of a workforce for the project and the plan for commissioning of the plant has been agreed. Operators are undergoing training under the supervision of specialist commissioning group PPM Global.

Meanwhile, leach panels one and two are close to completion and will be ready to receive ore once the crushing plant is in operation. The raw water and raffinate ponds have been completed and were filled with water over the Christmas break. Work on the pregnant leach solution pond is ongoing and is expected to be completed this week.

On December 17, the first acid road tankers arrived from Rössing, Namibia’s longest-running openpit uranium mine, operated by mining giant Rio Tinto. The tankers have started unloading into the newly commissioned acid storage tank, with about 650 t delivered.

Originally, acid was to be sourced from the adjacent Dundee Precious Metals-owned Tsumeb smelter, but construction of the smelter's acid plant was delayed. As an interim move, Weatherly signed a one-year contract with Rössing to import acid through the Port of Walvis Bay.

Further, on December 14, Namibian power utility NamPower signed off on the high-voltage installation, which will enable the mine to switch to the main grid supply when ready.

Further, Weatherly has made the final payment under Tranche A of its loan facility with financier Orion Mine Finance, which is funding the copper project through an $80-million loan facility and an $8-million overrun facility. Orion will buy all of the copper cathode produced at the mine.

At the end of 2014, the company had drawn down $73-million of its $80-million Tranche B facility. The loan was expected to be fully drawn by the second quarter, with the first quarterly repayment of about $4.5-million scheduled for November 30.

Key Contracts and Suppliers
Basil Read Namibia (mining operations); B & E International North (crushing, agglomeration and stacking contract) and Logiman (engineering, procurement and construction).

On Budget and on Time?
The project is ahead of schedule.

Contact Details for Project Information
Weatherly International, tel +44 207 917 2989, fax +44 207 439 0262 or email info@weatherlyplc.com.
Basil Read, tel +27 21 946 4664 or fax +27 21 946 4669.
B & E International North, tel +264 63 233 229.
Logiman, tel +27 11 011 9260 or email info@logiman.co.za.