Name of the Project
Steenkampskraal rare earths mine project.

Location
The mine is located in the Western Cape, South Africa.

Project Owner/s
Steenkampskraal Holdings (SHL). Steenkampskraal Monazite Mine holds the mining right for the Steenkampskraal rare earth mine.

Project Description
The Steenkampskraal mine is an existing mine that produced and exported a monazite concentrate during the 1950s and 1960s.

The mine is one of the highest-grade rare earths and thorium mines in the world. Steenkampskraal has a mineral resource estimate of 605 000 t of ore grading 14.4% total rare-earth oxides (TREO), containing about 86 900 t of TREO, including 15 630 t of neodymium, 4 459 t of praseodymium, 867 t of dysprosium and 182 t of terbium.

The mine’s design has been developed to make optimum use of the existing underground infrastructure and is based on conventional stoping techniques, tramming the ore to the bottom of the incline shaft and hoisting it up the incline shaft.

About 31 000 t/y of ore will be mined and processed, after allowing for ore dilution during the mining process. At this rate of production, the project will have a mine life of about 25 years.

The planned production volume of 2 700 t/y of rare earths will include 480 t of neodymium, 138 t of praseodymium, 26 t of dysprosium and 5 t of terbium.

Potential Job Creation
About 200 jobs are expected to be created.

Net Present Value/Internal Rate of Return
The project has a net present value, at a 14% discount rate, of R3.04-billion and an internal rate of return at 111.4%.

Capital Expenditure
The capital expenditure for the project is currently estimated at about R405.4-million.

Steenkampskraal Holdings will save about 80% in mine construction costs, as it will use most of the existing infrastructure at the mine.

Planned Start/End Date
Construction is expected to take about 12 months.

Latest Developments
SHL has garnered substantial investment from private company Monoceros Mineral Resources (MMR), and is considering a possible stock exchange listing.

SHL will use the investment to advance mining activities at the mine and to effect the listing, which chairperson Trevor Blench has said will occur either on the Australian or Canadian stock exchange.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Steenkampskraal Holdings, tel +27 21 852 4998, fax +27 086 619 7330 or email info@steenkampskraal.com