Name and Location
Kipoi copper project, Democratic Republic of Congo (DRC).

Client
Societe d’Exploitation de Kipoi SA (SEK), comprising Tiger Resources (60%) and La Générale des Carrière et des Mines (40%).

Project Description
The Kipoi project covers 55 km² and is located 75 km north-north-west of the city of Lubumbashi, in Katanga. The project contains a 12 km sequence of mineralised roan sediments that host at least five known deposits – Kipoi Central, Kipoi North, Kileba, Judeira and Kaminafitwe.

Joint Ore Reserves Committee-compliant resources have been reported at three of the deposits. The principal deposit is Kipoi Central, which contains a zone of high-grade copper mineralisation within a much larger, lower-grade global resource.

Tiger is taking a phased development approach at the project.

The high-grade zone of copper mineralisation at Kipoi Central is being exploited during the Stage 1 development. During the three-year operation of Stage 1, an estimated 900 000 t/y of 7% copper is planned to be processed through the heavy-media separation (HMS) plant, with a recovery rate of 55% to produce 132 000 t of copper in concentrate over its 42-month life.

The existing infrastructure at Kipoi for the Stage 1 HMS facility will be a springboard for the development of the Stage 2 solvent extraction electrowinning (SX-EW) plant, thereby minimising costs for the Stage 2 development. It is envisaged that ore from the Judeira deposit, and other deposits within the Kipoi project area and the nearby 100%-owned Lupoto project, will also be processed during the Stage 2 operations, providing additional returns and increasing the mineral resources available as feedstock to the Stage 2 SX-EW plant. Increased resources will potentially increase the nine-year mine life, demonstrated in the feasibility study, and/or yearly plant throughput.

The HMS plant is producing more than 36 000 t/y of copper in a 25% concentrate. After a short period, during which the HMS and SX-EW facilities will operate simultaneously, the HMS will be superseded in the second quarter of 2014 by the SX-EW plant, which will produce London Metal Exchange grade-A copper cathode directly at the mine site.

The SX-EW plant is expected to produce 25 000 t in its first full year of operation and 50 000 t in subsequent years.

Value
Stage 1 cost an estimated $30-million.

Stage 2 will cost $160.9-million.

Duration
The Kipoi project recently achieved commercial copper cathode production at its Stage 2 SX-EW.

Latest Developments
Tiger Resources has reached nameplate capacity at its SX-EW plant, at its Kipoi copper project.

The company produced 2 015 t of copper metal during August, with the plant operating at 97% of its nameplate design capacity, while about 2 104 t of copper was produced in September.

The plant is expected to produce about 14 000 t of copper cathode this calendar year, and a further 25 000 t of cathode in the first full 12 months of production.

Tiger Resources MD Brad Marwood says the SX-EW plant reaching nameplate production within 11 weeks of start-up is an outstanding performance and confirms the capabilities of the team.

“With the SX-EW now achieving production expectations, we will focus on cathode production, as the commercial returns are significantly superior to those associated with concentrate production.”

He notes that planning for the transition to 100% cathode production has started.

Key Contracts and Suppliers
MCK Mining (mining contract – Stage 1); DRA Mineral Projects (lump-sum turnkey contract for the design, installation and commissioning of the HMS – Stage 1); Group Five (subcontractor – construction works for Stage 1); Arccon Mining Services (scoping study); Cube Consulting (pit optimisations); Coffey Mining (tailings dam – design and costing) and Senet (SX-EW).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Tiger Resources, tel +61 8 9240 1933, fax +61 8 9240 2406 or email tiger@tigerez.com.
DRA Mineral Projects, tel +27 11 202 8600, fax +27 11 202 8807 or email dra@drasa.co.za.
Group Five, tel +27 11 806 0111, fax +27 11 803 5520 or email info@groupfive.co.za.
Arccon Mining Services, tel +61 8 9340 6100, fax +61 8 9340 6150 or email mining@arccon.com.au.
Cube Consulting (South Africa), tel +27 12 665 2154, fax +27 27 665 1176 or email highveld@cubeconsulting.com.
Coffey Mining (South Africa), tel +27 11 679 3331 or fax +27 11 679 3272.
Senet, tel +27 11 409 1300 or fax +27 11 409 1301.