The open pit mine development of Strandline Resources’ Coburn mineral sands project will begin construction two months ahead of schedule, with work on the hybrid power station to commence in July.
After successful early mobilisation of the mining contractor in April 2022, construction of the temporary tailings storage facility is almost finished, and pre-strip mining will commence from early July.
Mine development will now run concurrently with finalising the construction of the processing and supporting infrastructure, which remains on-budget and on track for first production of HMC later in 2022.
Detailed mine planning optimisation by AMC Consultants, using the latest infill drilling data, has resulted in an enhanced pit design for the first two years of the mine plan, which contains less overburden (lower strip ratio) and potentially reduced mining costs compared to assumptions contained within the Coburn DFS.
The strip ratio has reduced from an average of 0.7 to 0.5 over the first two years of the mine plan, due primarily to optimising and scheduling more ore closer to surface on the eastern side of the deposit.
The three dozer mining units have been delivered and assembled on site, ready to be moved into position for mining first ore later this year.
Commissioning of the sub-systems associated with the wet concentration plant (WCP) and hybrid power station is expected to commence from July 2022 as construction verification works ramp up.
Strandline Managing Director, Luke Graham, said commencement of pre-strip mining represents another important milestone for the project, ensuring the project remains on track for first production of heavy mineral concentrate in the December quarter of 2022.
“Construction continues to advance strongly with commissioning of the wet concentration plant and hybrid power station set to commence next month,” Mr Graham said.
With Coburn construction reaching peak activity and personnel numbers on site, Strandline Resources will continue to focus on managing the various risk factors associated with development of the project. This includes HSE risks, potential impacts of COVID-19, inclement weather, contractor performance and contractual claims. The capital expenditure (Capex) forecast to complete the project, including an assessment of contractual claims received to date, is regularly evaluated by the Company’s technical, financial and legal experts. The project forecast remains in line with the overall Capex budget.
