JOHANNESBURG (miningweekly.com) – Platinum group metals (PGMs) miner Eurasia said on Monday it would submit a mining licence application for its Monchetundra project, in the “near future”, after the Russian State Agency for Suboil use granted a discovery certificate for the project.
The certificate, which is a prerequisite for a production licence, was awarded less than a month after the company submitted its application.
“The rate of progress at Monchetundra, from submission of our feasibility study, through reserves approval to issue of a discovery certificate, has been impressive by any international standard,” said MD and CEO Christian Schaffalitzky.
Monchetundra is considered a “major asset” for Eurasia, which estimates that the total in-situ metal value is worth about $1.7-billion at current metal prices. The project comprises 1.9-million ounces of palladium-equivalent at two openpit locations. These openpits – West Nittis and Loipishnune – also contain significant gold and base metal credits, including 2 t of gold, 28 124 t of copper and 30 410 t of nickel.
Eurasia reported that it had noted a growing appetite from refineries in the region for lower sulphur PGM and base metal concentrates, such as those at Monchetundra.
Eurasia intends to develop the Monchetundra project on a similar model to that used at its operating West Kytlim mine – contracting a suitably qualified operator and selling operating costs for a share in the top line sales.