Name of the Project
Kambalda nickel restart project.

Location
The Kambalda district of Western Australia.

Project Owner/s
Mincor Resources.

Project Description
A definitive feasibility study has proposed the development of a mining operation pro­duc­ing 63 000 t of recovered nickel-in-concentrate with relatively low capital intensity.

The initial five-year operation is based on 2.5-million tonnes of ore grading 2.9% nickel for 71 000 t of contained nickel-in-ore and 5 000 t of copper-in-ore.

The Mincor nickel operations are expected to comprise the Cassini and Northern operations (Long and Durkin North) at the start, with the Miitel mine contributing towards the latter half of the project life.

The flagship Cassini mine, a greenfield discovery by Mincor, is forecast to contribute 56% of the total nickel-in-concentrate production over the initial life of the project.

The mine plan involves underground extraction of the Cassini deposit through a boxcut and decline, mining 1.2-million tonnes of ore at an average nickel grade of 3.3% over five years.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at a 7% discount rate, of $305-million and an internal rate of return of 98%, with a payback of 12 months.

Capital Expenditure
Preproduction capital is estimated at $68-million, mainly associated with mine development and related infrastructure.

Planned Start/End Date
First nickel concentrate is scheduled in the June 2022 quarter, instead of late in the March 2022 quarter as previously guided.

Latest Developments
Mincor has received first payment for its first parcel of nickel ore processed through BHP’s Kambalda nickel concentrator.

The payment of A$25.3-million was received, representing 90% of the payment for nickel concentrate calculated for ore deliveries up to the end of May 2022.

The final 10% payment is due in August.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Mincor Resources, tel +61 8 9476 7200 or email mincor@mincor.com.au.