Name of the Project
Nokeng openpit fluorspar mine and concentrator project.
Location
The project is located at Rust de Winter, 80 km north-east of Pretoria, in Gauteng, South Africa.
Client
Nokeng Fluorspar Mine, a wholly owned subsidiary of Sepfluor.
Project Description
The Nokeng project has a South African Code for the Reporting of Exploration Results, Mineral Resources and Mineral Reserves-compliant reserve of 12.18-million tonnes.
The project entails the construction of a mine that will produce 180 000 t/y of acid-grade fluorspar and 30 000 t/y of metallurgical-grade fluorspar, at an average run-of-mine rate of 630 000 t/y.
The mine has an estimated life-of-mine of 19 years.
Jobs to Be Created
More than 300 fixed-term jobs will be created in the construction phase and an estimated 200 permanent jobs once the mine is in operation.
Net Present Value/Internal Rate of Return
Not stated.
Value
R1.7-billion. Project finance has been raised through a mixture of debt and shareholder equity. Key equity participants include African Minerals Exploration and Development Fund II Sicar, Ixofluor and Traxys projects.
The finance component of the project arranged by Fieldstone Africa comprises Nedbank, as lender and facility agent, Nederlandse Financierings-Maatschappij Voor Ontwikkelingslanden and Deutsche Investitions Und Entwicklungsgesellschaft.
Concentrate Capital has provided a small tranche of mezzanine debt.
The Department of Trade and Industry has approved an infrastructure grant of R21-million under its Critical Infrastructure Programme.
Duration
Construction of the project started in July and is expected to take 21 months to complete, with commissioning starting in November 2018 and first production in January/February 2019.
Latest Developments
DRA Projects SA and Group Five Construction have been awarded the engineering, procurement and construction (EPC) contract for the mine, which includes the concentrator, access roads and a ‘self-build’ portion of a power supply agreement concluded with Eskom. This involves the construction of a new 14 km, 133 kV overhead powerline. Water supply to the site will be from a newly established wellfield.
Key Contracts and Suppliers
DRA Projects SA and Group Five Construction (EPC).
On Budget and on Time?
Not stated.
Contact Details for Project Information
Sepfluor, tel +27 12 622 9400, fax +27 12 622 9494 or email info@sepfluor.co.za.