Name: Hengjaya Meralindo (HM) mine.

Location: The Hengjaya mine is located in the Morowali Regency of Central Sulawesi, in Indonesia.

Mine Owner/s: Nickel Mines holds an 80% interest in the share capital of PT Hengjaya Mineralindo (PT Hengjaya), an Indonesian PMA company. The remaining 20% interest in PT Hengjaya is owned by the company's Indonesian partner, the Wijoyo family. PT Hengjaya holds a 100% interest in the Hengjaya nickel project.

Brief Description: The HM mine is a large tonnage, high-grade saprolite mine. The mine tenement covers 5 983 ha, with a 20-year mining operation/production licence with two further ten-year extension periods.

Brief History: PT Hengjaya was issued a 20-year mining operation/production licence, including a further 10-year extension option, in 2012.

Since acquiring its interest in the HM mine, Nickel Mines has advanced the project through the various permitting, exploration, community socialisation, environmental studies and feasibility and development stages, including construction of a haul road, jetty and stockpile area. Production started in October 2012.

Direct shipping of nickel ore to export markets was banned by the Indonesian government in 2014. When producer of nickel and stainless and special steels products Tsingshan committed to establishing a material downstream processing presence in Indonesia in October 2015, requiring a reliable supply of nickel ore, production restarted.

Primary Metals/Minerals: Nickel laterite.

Secondary Metals/Minerals: Not stated.

Geology/Mineralisation: Ophiolite is the dominant rock type at the surface in the HM area and extends over more than 60% of the concession area. The Tokala formation is older and lies underneath the ophiolites.

Reserves: None stated.

Resources: Total mineral resources as at August 27, 2020, were estimated at 185-million dry tonnes grading 1.3% nickel, 0.08% cobalt and 28% iron.

Mining Method: Opencut at surface truck-and-shovel operation, with no tailings.

Major Infrastructure and Equipment: The mine includes a jetty capable of berthing 10 000 t barges, a mine camp and associated infrastructure, including technical offices and workshops, a community relations centre, training and recreational buildings and a mosque.

Prospects: Key expansion activities continue to advance in support of HM mine’s plan to further increase production of both saprolite and limonite ores at the mine.

Contact Details:
Nickel Minerals Limited
Tel +61 2 9300 3311
Email info@nickelmines.com.au
Website https://www.nickelmines.com.au