Mahenge meets new rules - Black Rock

15th September 2020 By: Esmarie Iannucci - Creamer Media Senior Deputy Editor: Australasia

PERTH (miningweekly.com) – Graphite developer Black Rock Mining on Tuesday settled concerns around the Tanzanian government’s new mining regulations, saying the proposed Mahenge project adhered to the export regulations.

The Tanzanian government officially published regulations concerning graphite concentrate exports, maintaining that the exported product would need to have a minimum graphite concentration of 65% total graphitic carbon, and that payment of royalties on the exports were due.

The new regulation revokes the 2019 Mining Guidelines.

Black Rock told shareholders that two independent pilot operations have proven that the Mahenge project could produce graphite concentrates with grades of up to 98% carbon, confirming the view that the concentrate was suitable for export.

“Having clarity on export controls for graphite products is an important and timely step for Black Rock, and our 100% owned powering company, Mahenge Resources, for meeting likely financial conditions precedent as part of the development of the Mahenge project,” said Black Rock MD and CEO John de Vries.

A 2019 definitive feasibility study estimated that the project could support an initial production of 250 000 t of graphite, increasing to 340 000 t/y, with capital costs forecast at $116-million for the Stage 1 operation.