Walkabout publishes Lindi scoping study, to fast-track project
PERTH (miningweekly.com) – A scoping study into the Lindi jumbo graphite project, in Tanzania, has revealed that it could produce between 25 000 t/y and 40 000 t/y of graphite concentrate over a mine life of more than 20 years.
ASX-listed Walkabout Resources on Tuesday revealed that the project would require a capital investment of between $35-million and $40-million, with operating costs estimated at between $290/t and $350/t, making the Lindi project the second-lowest-cost producer amongst its peer group, and the lowest-cost producer in Tanzania.
The scoping study estimated that the project would have a net present value of some $169-million, based on a 25 000 t/y production, increasing to $304-million on the 40 000 t/y production case.
The estimated pre-tax internal rate of return was pegged at 63% for the base case production scenario, and at 97% for the upside case.
The Lindi project was estimated to deliver an average yearly free cash flow of between $24-million and $43-million, while earnings before interest, taxes, depreciation and amortisation varied between $26-million and $45-million.
The company said that the very high-grade nature of the mineral resource provided a competitive advantage in cost reduction and in metallurgical performance, enabling the production of a premium graphite product able to secure premium sales prices in a highly competitive market.
Walkabout is currently in discussions with a number of parties regarding potential offtake agreements or funding opportunities for the project.
Given the forecast high growth in demand for natural large-flake graphite and the nature of the product produced at Lindi during the testwork, the Walkabout directors have elected to fast-track the project to production.
A definitive feasibility study is now under way and due for publication in the first quarter of this year.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation

















