Name and Location
Four Mile uranium project, Australia.

Client
The project is a joint venture between Quasar Resources (75%), an affiliate of Heathgate Resources, and Alliance Resources (25%).

Project Description
The Four Mile project has the potential to become the highest-grade and largest operating in situ recovery (ISR) mine in the world. The project is located 550 km north of Adelaide, in South Australia. The deposit is a sandstone-hosted occurrence, defined by two mineralised zones within tertiary sediments – Four Mile East and Four Mile West – which occur within laterally extensive sands 140 m to 210 m deep.

Envisaged as an on-site recovery-style mining operation, with uranium to be captured at Heathgate Resources’ Pannikan satellite plant with elution, precipitation, drying and packing taking place at Heathgate’s Beverley processing plant.

The project is estimated to host a total mineral resource of 9.8-million tonnes, grading 0.33% uranium oxide (U₃O₈) for 71-million pounds of U₃O₈.

Value
A$97.8-million.

Duration
ISR mining operations were expected to start at Four Mile East in the second quarter of 2013 and at Four Mile West in the fourth quarter of 2013; however, in July Quasar announced a delay in implemention and said it was revising the programme.

Latest Developments
The Four Mile uranium mine has received its final regulatory approval.

The Four Mile plan has been approved by the state government, with the South Australian Department for Manufacturing, Innovation, Trade, Resources and Energy (DMITRE) advising the approval of the mine monitoring, closure and community engagement plan, as well as the programme for environmental protection and rehabilitation (PEPR). The state’s Environment Protection Authority (EPA) has also approved a licence for mining and mineral processing, including radiation management and radioactive waste management plans.
Prior to starting mining operations, several key steps remain, including a modification to the existing Beverley and Beverley North PEPR’s to accommodate the integration of the Four Mile operation, and a payment of the rehabilitation liability bond.

Key Contracts and Suppliers
Heathgate Resources (feasibility study); and Adelaide Control Engineering (final optimisation study).

On Budget and on Time?
The project has been delayed, owing to legal disputes between Alliance, Quasar and Heathgate.

Contact Details for Project Information
Alliance Resources tel +61 3 9697 9090, fax +61 3 9697 9091 or email info@allianceresources.com.au.
Quasar Resources, tel +61 8 8110 0500, fax +61 8 8212 5559 or email info@quasarresources.com.au.