HomeNewsNortham Platinum to build new mine

Northam Platinum to build new mine

The twin shaft
system at Northam
 
Johannesburg, South Africa — MININGREVIEW.COM — 08 October 2009 – Northam Platinum Limited “’ the only fully independent, black-owned and controlled, integrated platinum group metals (PGM) producer “’ has announced that it will start construction on a big new platinum mine by early 2010, and that the first phase would cost about 3 billion rand.

Northam “’ a unit of black owned Mvelaphanda Resources “’ owns Northam mine “’the deepest platinum mine in the world. The company said in a statement that it had completed a feasibility study for Booysendal, which could more than double Northam Platinum’s output, pushing it to rank fourth after the world’s third-biggest platinum producer, Lonmin Plc.

“Our intention remains to fund the project through a combination of a rights issue, internal retentions (own cash) and medium-term bank debt,” said chief executive Glyn Lewis.

“Booysendal is living up to our expectations and is likely to be a significant, long-life producer, and one of the new-generation PGM mining projects of the future.”

Northam Platinum’s production of metals in concentrate during the year to end June rose by 3% to 302 474 ounces.

Lewis said the first phase or module of the project could give rise to sales of some 130 000 ounces) a year of 3PGM+Au (platinum, palladium, rhodium and gold, rising by a further 115 000 ounces per annum from the second phase to a total of 245 000 ounces for both phases.

The first phase of the project’s life-of-mine is expected to exceed 20 years, during which period further production expansions would be developed, he added.

Lewis said South Africa’s power utility, Eskom ,had undertaken a feasibility study for a new sub-station to be situated on the Booysendal property.

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