London Mining Starts Up at Marampa
Marampa production will ramp up to more than 160,000 mt of concentrate per month during the first half of 2012, and full-year production is expected to total 1.8 million mt. London Mining’s “Pride of Marampa” transshipment ves-sel will be commissioned during the first quarter of 2012, enabling the loading of Capesize vessels.
London Mining has undertaken a review of capital and operating costs as it looks to optimize full Phase 1 capacity at Marampa to 4 million mt/y of concentrate and then to in-crease to 11.5 million mt/y as part of a Phase 2a expansion. Long-range planning calls for eventual expansion to 16 million mt/y.
Phase 1 cash costs are estimated at $35/mt of concentrate FOB at the 4-mil-lion mt/y run rate. The company is confi-dent it can achieve operating costs of about $30/mt of concentrate FOB over the life of the mine once project optimizations and expansions are realized.
A new JORC-compliant Marampa re-source statement for the year ending December 31, 2011, and updated Phase 1 and Phase 2 development schedules were planned for release in January 2012. Bateman Engineering has been appointed to complete a bankable feasibility study for the Phase 2a expansion, with completion of the study expected by mid-year 2012.