Name and Location
Bushveld P-Q iron-ore project, Limpopo, South Africa.

Client
Bushveld Minerals.

Project Description
The Bushveld project is based on three adjacent new-order prospecting rights on 12 farms, covering 25 207 ha.

The project currently boasts a total inferred and indicated mineral resource of 991-million tonnes, which includes 52-million tonnes at a 40% iron oxide (Fe₂O₃) cutoff on the main magnetite layer.

The total inferred and indicated mineral resource for the P-Q zone deposit is 939-million tonnes of iron-ore at a cutoff of 35% Fe₂O₃, after a 31% resource increase from farms Schoonoord 786LR and Bellevue 808LR.

A scoping study has been completed on the larger, but lower-grade, iron and vanadium P-Q zone, equating to 12% of the total Joint Ore Reserves Committee resource. The study highlights a low capital expenditure (capex) and product route at a base case run-of-mine of five-million tonnes a year.

There is scope for project mining volumes to be ramped up to seven-million tonnes a year, given that the scoping study uses only 12% of the current resource, which is based on only 5.5 km of a potential 18 km strike. This is subject to a rail infrastructure capacity study being undertaken.

The project also offers opportunity for downstream beneficiation.

Value
The project has a low capex of $126-million.

Capex for a seven-million-tonne-a-year operation is estimated at $153-million.

Duration
Bushveld aims to start production in 2016.

Latest Developments
Bushveld expects the prefeasibility study for its Bushveld P-Q iron-ore project to be completed during the 2015 calendar year.

This study had previously been expected to be completed during the first quarter of this year.

The company has also stated that the P-Q Zone phosphate scoping and prefeasibility studies are expected to be completed during the fourth quarter of this year and during 2015 respectively.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Bushveld Minerals, tel +27 11 268 6555, fax +27 11 268 5170 or email info@bushveldminerals.com.