First Quantum Minerals has reached a new milestone as it moves closer to re-opening its Ravensthorpe nickel project, while fellow nickel miner Western Areas has signed new offtake contracts with BHP and Jinchuan.
First Quantum Minerals has reached a new milestone as it moves closer to re-opening its Ravensthorpe nickel project, while fellow nickel miner Western Areas has signed new offtake contracts with BHP and Jinchuan.
The first sulphur shipments for the Ravensthorpe operation arrived in Esperance Port last week, which First Quantum said was a major step forward in the restarting of the mine.
Ravensthorpe was placed into care and maintenance in 2017.
Work to re-open the mine began late last year when First Quantum awarded MACA a five-year contract for open-pit mining works, including drilling and blasting, loading and hauling.
The 32,000 tonnes of sulphur recently shipped has been transferred to a storage facility by Southern Ports Authority and will be transported by road to the Ravensthorpe mine, First Quantum said.
The next shipment of sulphur is due to arrive at the end of the month, with regular shipments to continue indefinitely.
Ravensthorpe nickel operation general manager Anthony Mukutuma said the shipment was a significant milestone in re-opening preparations.
“(The shipment) illustrates how vital Esperance Port is to the economic success of the region,” he said.
“We look forward to welcoming sulphur shipments through Esperance Port for several years and working closely with the Southern Ports Authority to ensure a smooth and efficient process for our future imports and exports.
“I hope that local communities like Hopetoun, Ravensthorpe, Esperance and Albany are starting to feel the flow-on effects of our rapidly increasing activity at the mine.”
Mr Mukutuma said the collaboration with Southern Ports, contractors and local businesses would create local jobs as well as provide employment for those in surrounding communities.
More than 250 people were employed in the past three months and around 100 more roles are to be filled, First Quantum said.
It said a further 200 positions were being created by MACA, which is currently delivering a fleet of trucks and other equipment to the Ravensthorpe site.
First Quantum confirmed nickel production was expected to commence on schedule in the current quarter, with first concentrate to be exported from Esperance Port early in the second quarter.
Meanwhile, Western Areas signed new offtake agreements after a competitive tender process, which the company said resulted in improved commercial terms compared to the current agreement with Tsingshan Group.
Western Areas will supply BHP Nickel West with 10,000t of nickel contained in concentrate per annum, or until the 30,000t aggregate is reached.
Western Areas will also supply Jinchuan with 10,000t of nickel in concentrate per annum, or until a 20,000t aggregate is reached.
The contract with Tsingshan Group is due to end on January 31.
