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Green Giant Molo graphite project, Madagascar

10th October 2014

  

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Name and Location
Green Giant Molo graphite project, Madagascar.

Client
Energizer Resources.

Project Description
A preliminary economic assessment (PEA) on the project envisages a conventional openpit mining method using trucks and loaders, with a capacity of 1.17-million tonnes a year of ore at 92% availability, with an average head grade of 8.5%.

The processing will entail three-stage crushing, followed by a primary milling and flotation separation circuit. The resultant flake graphite concentrate will be thickened, dried, separated into various flake sizes, packaged and stored before shipment. The final residue generated by the flotation process will generate a clean, nonacidic tailing. The concentrate production is estimated at an average of 84 000 t/y of graphite concentrate, with an average specification of 92%.

Value
The estimated capital cost for the project is $162.04-million.

Duration
Production is slated for 2015.

Latest Developments
Energizer will undertake a brokered private placement to raise $4.8-million to fund the production of additional graphite concentrate samples at its Molo project.

The common shares to be issued as part of the placement will have an issue price of $0.14 a share.

The additional graphite concentrate samples will be required for potential offtake groups and end-users of graphite, with which the company is in advanced discussions.

While a pilot-scale plant is already in operation at Molo, Energizer is targeting the start of commercial production of between 50 000 t/y and 150 000 t/y of graphite in 2015.

Key Contracts and Suppliers
Not stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Energizer Resources senior VP of corporate development Brent Nykoliation, tel +1 416 364 4911, fax +1 416 364 2753 or email info@energizerresources.com.

Edited by Creamer Media Reporter

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