M a r k e t N e w s

Strandline Resources look to complete mine in 12 months time

Posted on : Wednesday , 11th October 2017

Strandline Resources have conducted a definitive feasibility study (DFS) for the Fungoni heavy mineral sands project in Tanzania and have concluded with results of a strong financial performance.
 
The study has shown that the company will need to invest $30m in developing projects, while investments are also lacking in working capital, mine infrastructure, land access, port facilities and also in pre-production mining.
 
The DFS confirmed a maiden ore reserve of 12.3Mt at 3.9% total heavy mineral (THM), with an internal rate of return (IRR) of 56% and revenue-to-operating cost ratio of 2:7.
 
The project will be worth $42.9m before taxes, with computed revenue of $168m over the course of its operation. Earnings of around $98m are expected before interest, tax, depreciation, and amortization (EBITDA).
 
Strandline Resources Managing Director, Luke Graham confirmed his backing of the project by calling Fungoni an ‘amazing project’ which will deliver great results financially for Strandline shareholders while also providing socio-economic benefits to the people of Tanzania.
 
Fungoni has a high single unit value, heavy mineral assemblage and is very simple to mine. Over 93 percent of the valuable mineral in the ground is available and the final product is also highly marketable.
 
 "The path to profitable production is short, based on proven low-cost execution strategies, there is potential to grow mine life and re-use the infrastructure on future Strandline projects, and the payback period and rates of return are very attractive."
 
An environmental certification has already been attained, but the company continues to wait on mining licenses and land access approvals. The plan is to win major contracts and hasten project execution planning activities.
 
The project will be an open pit convention dry mining operation, with a series of stages, advanced beneficiation and also mineral separation.  
 
The DFS estimates that the construction and commissioning of the project will take no more than 12 months. 
 
The company has also simultaneously made mineral sand discoveries at the Bagamoyo tenement, located some 40 km north of Dar-es-Salaam in Tanzania.
 

Source : Business News Africa
Featured Companies
  • dubaiexporters.com

Complete List  

Advertisers in previous issue:

  • Information hub for global wood industry.
  • The 71 projects of the wood-furniture sector company operating in the market for interior doors
  • SPC "Stroytekh" specializes in the production lines of molding formless (LBF) and house-building factory (DSC).
  • S-Conn becomes the leading designer and manufacturer of RF Connectors, Cable Assemblies and Antenna in Taiwan.
  • Trade Exhibition
  • Manufacture various products ranging from open plan partition, office furniture, executive desk, office chair to multi purpose chair series.
  • ECAT is an independent manufacturer that is leading the Egyptian market in water based flexographic inks and varnishes for over 20 years (previously promoted as Wafa chemical).
  • Kirby Building Systems Building Systems is one of the largest pre-engineered steel building (PEB) companies in the world
  • Tata Africa Holdings has a strong presence in over 11 African countries with investments exceeding US$145 million.
  • Manufacturers of Stone Chip Coated Steel Roof Tiles. Metal Tile
  • We are a green restroom specialist that pioneers intelligent, water-conservation sensor technology.
  • Athi Steel
  • Natural stone an exporter and a trader
  • Atlas Copco is a world-leading provider of sustainable productivity solutions.
  • India
  • The company manufactures PVC construction profiles for the most varied applications.
  • Manufacture a full line of Toilet Partitions, using a high pressure decorative laminate, phenolic core laminate, high density polyethylene plastic, powder coated steel, stainless steel and solid surface materials. We manufacture high pressure laminat
  • Nasco Trading L.L.C is a multi disciplinary Engineering Organisation operating in the United Arab Emirates since 1992, supplying Elevators and Door Operators and Barriers for the most prestigious buildings, Backed by complete.
  • Adhesives and Sealants for the Automotive, Electronics and Consumer Industries
  • TechnoConstruct is poised to transform the construction sector in Kenya and Africa.
  • Saudi Marble & Granite Factory Co. Ltd. (SMG), a pioneer in Saudi Arabia’s mining and construction industries.
  • Product includes HIMOINSA distributors gather in Spain, New Magnet lockout tagout devices for plant safety locking etc.
  • Solahart has manufactured over one million solar hot water systems installed in 80 countries on every continent around the world.
  • Road construction machinery
  • Involved in spectrum of activities like Industrial Flooring, Waterproofing, Repairs and Rehabilitation and Acidproof Treatments etc.
Afrotrade International Marketing, Tel: +971-50-6285684
© 1998-2017 Afrotrade