Base looks north to increase mine life

MINERAL sands miner Base Resources is assessing a low-grade resource as a possible “modest” mine life-extender at its Kwale project in Kenya.
Base looks north to increase mine life Base looks north to increase mine life Base looks north to increase mine life Base looks north to increase mine life Base looks north to increase mine life

Kwale in Kenya

Base has estimated the Kwale North Dune totals 171 million tonnes at a heavy mineral grade of 1.5%, based on a 1% HM cut-off.

Of that total, 136Mt at 2.1% HM is in the indicated resource category.

Drilling of the deposit is set to continue in 2019, while a "concept study" is set to kick-off shortly.

The Kwale operation is currently based on the Central Dune and South Dune deposits, with mining operations to date focused on the Central Dune.

A transition to the South Dune deposit is scheduled for next month, and on current ore reserves, Kwale will continue operated until mid-2022 - extended to mid-2024 subject to approval of the South Dune mining lease variation currently before the Kenyan government.

With regards a broad comparison, measured and indicated resources at the Central Dune were estimated at 76.2Mt at 6.1% HM when the project was being developed early this decade, while at the South Dune there was 69Mt at 3.6 HM.

Meanwhile a definitive feasibility study is underway in Madagascar on Base's Toliara where construction could begin in earnest next year.

Shares in Base were up 2% to 27c in afternoon trade, capitalising the company at $315 million.