Name of Project
Gamsberg mine and plant.

Location
Gamsberg, near Aggeneys, Northern Cape, South Africa.

Project Owner/s
Vedanta Zinc International (VZI) is a grouping of zinc assets located mainly in South Africa and Namibia, owned by India-based Vedanta Resources.

Operations include:

Black Mountain Mining (BMM) and the associated flagship Gamsberg project; in South Africa;

the Skorpion Zinc mine and refinery, in the //Karas region of Namibia; and

the Lisheen mine, in Ireland, currently in active closure mode, with mining and milling concluded in December 2015 after 17 years of operation.

VZI aims to create an integrated world-class regional zinc complex comprising BMM (including Gamsberg) and the Skorpion Zinc mining and refining operations.

Project Description
Gamsberg, one of the largest greenfield mining projects in Africa, is being developed on one of the world’s largest known, but as yet undeveloped, zinc deposits.

The project’s current reserve and resource is 214-million tonnes, with a grade of between 6% and 6.5%, and an estimated life-of-mine (LoM) of 30 years.

Phase 1 has an LoM of 13 years and will result in four-million tonnes a year of ore produced from the open pit and 250 000 t/y of concentrate from its concentrator plant.

Phase 2 will increase ore mined to eight-million tonnes a year and production of zinc-in-concentrate to 450 000 t/y.

Phase 3, which is expected to start in 2025, will result in this increasing to 600 000 t/y.

Studies on Phase 2 and 3 are under way.

Potential Job Creation
Gamsberg, which has the potential to trigger a new wave of industrial and economic development in the Northern Cape, employed more than 3 000 people during its construction.

For the operational phase, about 750 people are already employed.

Capital Expenditure
Phase 1 of Gamsberg is valued at $400-million.
Phase 2 is estimated at between $350-million and $400-million.

Planned Start /End Date
The LoM of Phase 1 is 13 years.

Latest Developments
President Cyril Ramaphosa presided over the official inauguration of Gamsberg on February 28. The inauguration also celebrated the end of construction and the start of ramp-up, with VZI CEO Deshnee Naidoo telling delegates that Gamsberg was now “officially ready for steady-state production”.

Gamsberg has the potential to contribute more than $1-billion of investment into the South African mining industry.

Key Contracts and Suppliers
Aveng Moolmans (bulk mining); ELB Group (concentrator and associated infrastructure); Liviero Civils (tailings dam); Zest WEG Group, including Shaw Controls (upgrade of municipal supply station providing water for the mine and zinc concentration plant).

On Budget and on Time?
Not stated.

Contact Details for Project Information
R&A Strategic Communications, Charmane Russell or Marika Muller, tel +27 11 880 3924 email charmane@rasc.co.za  or marika@rasc.co.za.