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Kangwane JV partner to appoint BFS manager for SA anthracite project

By: Creamer Media Reporter

JOHANNESBURG (miningweekly.com) – ASX-listed mining company ZYL and Siyanda Resources, the joint-venture (JV) partners in the Kangwane anthracite project, in South Africa’s Mpumalanga province, were planning to appoint a bankable feasibility study (BFS) manager for the project within the coming weeks. ZYL in July signed a memorandum of understanding to acquire South Africa-registered company Exsteen, which had the right to earn an interest of up to 50,12% in the project in terms of a farm-in or JV agreement with Siyanda. As part of a due diligence investigation into the Kwangwane project, a BFS committee, comprising four representatives from both JV partners, has been formed, to discuss the current status of exploration planning and the commencement and timing of the BFS. The parties believed that Kangwane had the potential to host economic resources of high-quality anthracite, from which a low-ash and low-impurity washed product could potentially be produced for the export markets and a medium-ash washed anthracite product for the local markets. They have jointly invited eight technical consulting organisations to tender for the BFS management role for Kangwane, with two companies having been short-listed.

The JV partners were working with each of the shortlisted companies to finalise the scope of the BFS and to determine the timing and costs associated with each phase of the study. The BFS for Kangwane would include the completion of an additional 7 000 m of drilling, to increase the global resource at Kangwane and to delineate proven and probable reserves. The study would initially focus on the openpit target areas of the South pit and North pit, which had Joint Ore Reserves Committee‐compliant resources of about 16,3-million tons of measured and indicated resources. The study was expected to be completed within a 12 to 14 month period.

Meanwhile, preliminary discussions for the use of a rail siding and treatment options have been held with the owners of a neighbouring anthracite operation. The rail siding, which is located on the southern tip of the Kangwane tenements, fed directly into the main rail line, which continued directly to the Matola Port Terminal in Maputo, in Mozambique.

Edited by: Mariaan Webb

By: Creamer Media Reporter21st September 2010  JOHANNESBURG (miningweekly.com) – ASX-listed mining company ZYL and Siyanda Resources, the joint-venture (JV) partners in the Kangwane anthracite project, in South Africa’s Mpumalanga province, were planning to appoint a bankable feasibility study (BFS) manager for the project within the coming weeks.
ZYL in July signed a memorandum of understanding to acquire South Africa-registered company Exsteen, which had the right to earn an interest of up to 50,12% in the project in terms of a farm-in or JV agreement with Siyanda.
As part of a due diligence investigation into the Kwangwane project, a BFS committee, comprising four representatives from both JV partners, has been formed, to discuss the current status of exploration planning and the commencement and timing of the BFS.
The parties believed that Kangwane had the potential to host economic resources of high-quality anthracite, from which a low-ash and low-impurity washed product could potentially be produced for the export markets and a medium-ash washed anthracite product for the local markets.
They have jointly invited eight technical consulting organisations to tender for the BFS management role for Kangwane, with two companies having been short-listed.
The JV partners were working with each of the shortlisted companies to finalise the scope of the BFS and to determine the timing and costs associated with each phase of the study.
The BFS for Kangwane would include the completion of an additional 7 000 m of drilling, to increase the global resource at Kangwane and to delineate proven and probable reserves.
The study would initially focus on the openpit target areas of the South pit and North pit, which had Joint Ore Reserves Committee‐compliant resources of about 16,3-million tons of measured and indicated resources.
The study was expected to be completed within a 12 to 14 month period.
Meanwhile, preliminary discussions for the use of a rail siding and treatment options have been held with the owners of a neighbouring anthracite operation.
The rail siding, which is located on the southern tip of the Kangwane tenements, fed directly into the main rail line, which continued directly to the Matola Port Terminal in Maputo, in Mozambique.
Edited by: Mariaan Webb