Name of the Project
Ancuabe graphite project.

Location
The project is located in the Cabo Delgado province, in north-eastern Mozambique.

Client
Triton Minerals.

Project Description
A scoping study has demonstrated a robust project, with upside potential through optimised mine planning, coarser grind size and process optimisation. The scoping study has been based on updated mineral resources estimates released to the ASX in April.

The indicated and inferred mineral resource estimate for Ancuabe comprises 27.9-million tonnes grading 6% total graphitic carbon for 1.68-million tonnes of contained graphite.

The Ancuabe facilities are located between the T12 and T16 deposits. Mining will start at T16, from the indicated mineral resources, and progress to T12, with inferred mineral resources stockpiled to access the indicated mineral resources.  Once the mining of indicated mineral resources is completed at T12, the inferred mineral resources at T16 will be mined. This provides for a mine life of about 17 years. There is currently about nine years of indicated mineral resources in the mine plan.

As a result of the low initial strip ratio at T16, materials for the tailings storage facility wall and raw-water dam-wall construction will also be sourced from within the proposed containment areas.

Mining will be by conventional openpit methods.

The scoping study proposed 120 t excavators and 40 t trucks for graphite mineralisation and waste movement.

The process plant design is based on maximising water recycling for the project.

Graphite mineralisation from the mine is intended to be processed through a conventional three-stage crushing plant, a rod mill grinding circuit and rougher-cleaner flotation process, with three stages of attrition.

The scoping study estimates that Anacube can produce 60 000 t/y of graphite over a 17-year mine life.

Jobs to Be Created
Not stated.

Net Present Value/Internal Rate of Return
The scoping study estimates a net present value of between $128-million and $246-million. Payback has been estimated at between 2.7 years and 4.8 years.

Value
The project has a preproduction capital cost of $83-million.

Duration
The project development schedule indicates that the project could be built by the second quarter of 2019 if funding and relevant project approvals can be secured by the end of the first quarter of 2018.

Latest Developments
Triton Minerals has shortlisted engineering, procurement and construction management (EPCM) companies Sinosteel Equipment & Engineering and MCC International as potential EPC contractors for its Ancuabe graphite project.

Negotiations with the companies are under way and have progressed to the final stages of due diligence for the award of EPC contractor, owing to the companies’ significant EPC experience in natural resource construction. The final stage of due diligence is expected to get under way immediately, running in parallel with the Ancuabe definitive feasibility study (DFS), which is scheduled for completion in December, with site visits expected to take place in January.

The EPC contract will be accompanied by debt financing arrangements.

The EPC contract is expected to be awarded in the first half of 2018.

Triton has said, however, that it cannot guarantee that a binding agreement will be entered into following due diligence and subsequent contract negotiations, though it aims to do its best to award a legally binding EPC contract in the stipulated period.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Too early to state.

Contact Details for Project Information
Triton Minerals, tel +61 8 6489 2555, fax + 61 8 6489 2556 or email info@tritonminerals.com.