Name and Location
Wingellina nickel/cobalt project, Australia.

Client
Metals X.

Project Description
The Wingellina orebody is located in the Central Musgrave ranges, in Western Australia, and is a massive nickel/cobalt limonite deposit with a resource of more than 1.8-million tonnes of contained nickel and 139 000 t of contained cobalt. More than 91% of 167-million tonnes of the Joint Ore Reserves Committee-compliant resource is defined as probable mining reserve.

A prefeasibility study (PFS) completed on the project in 2008 envisaged a mine with an average mine production capacity of 40 000 t/y of nickel and 3 000 t/y of cobalt for a minimum 40-year mine life.

Value
The PFS estimates the cost of the project at $2.3-billion.

Duration
Not stated.

Latest Developments
Since the completion of the PFS in 2008, Metals X has focused on the delivery of approvals to develop the project and is finalising its final submissions for environmental approval.

SNC-Lavalin Australia will act as principal engineer for the Wingellina project’s definitive feasibility study (DFS) and has been directly awarded the engineering for the processing plant and plant infrastructure.

Metals X will complete a new DFS with the assistance of Samsung C&T, updating and reviewing the previous developmental study.

Samsung C&T will provide technical expertise for engineering, feasibility studies and construction and will use its financial reputation and capacity to assist Metals X with the financing and development proposals for the project.

According to a memorandum of understanding (MoU) signed between Samsung C&T and Metals X in September 2012, Metals X will retain a 30% interest in the project, free carried to production, and Samsung C&T will be awarded the engineering, procurement and construction contract for the project on normal and competitive terms.

Depending on the outcomes of the DFS, Samsung C&T can buy equity in the project and provide project delivery.

Key Contracts and Suppliers
SNC-Lavalin Australia (principal engineer – DFS) and Samsung C&T (technical expertise, financing and development proposals).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Metals X, tel +61 8 9220 5700, fax +61 8 9220 5757 or email reception@metalsx.com.au.
SNC-Lavalin Australia, tel +61 7 3002 1000 or fax +61 7 3221 2600.
Samsung C&T, +82 2 2145 2114 or fax +82 2 2145 3114.