Another definitive feasibility study for the Prieska Copper Zinc Mine, which is well advanced, is currently being independently reviewed by Practara. Picture: Supplied
By Tawanda Karombo
ORION Minerals is now poised to progress with its Northern Cape copper projects after the Takeover Regulation Panel approved the company’s Black Economic Empowerment (BEE) Entrepreneur Share Acquisition Agreement.
The Takeover Regulation Panel approved conditions for the New Okiep Exploration Company (NOE) and New Okiep Mining Company (NOM) Historically Disadvantaged South African (HDSA) transactions, rendering the deal fulfilled.
According to Orion, the approval allows New Okiep Mining Company to move “into the project financing phase, following the completion and approval of the feasibility study” by partners to the project. These include the Industrial Development Corporation (IDC) and Landmark Capital.
“This will allow us to easily move into the financing phase of the project once the DFS has been completed and approved,” said Errol Smart, CEO of Orion Minerals.
“While both studies have taken longer than expected, we believe that the additional work and the intensive review process currently under way will result in more robust project studies that will assist in project funding from debt and equity sources, as well as offtake related funding.”
Orion, however, intends to develop the Flat Mines project first. The definitive feasibility study for the Flat Mines project was nearing completion, with an external review by independent technical experts Practara Metals and Mining Advisory having also has commenced.
Another definitive feasibility study for the Prieska Copper Zinc Mine (PCZM), which is also well advanced, is currently being independently reviewed by Practara. From this stage, it will move to review and approval from the partners including the IDC, Prieska Resources and Triple Flag Precious Metals Corp.
“Although the investment in additional experts to assist the feasibility project team and the allowance for additional time to complete detailed scheduling and planning has added to the overall study timeline, such measures are yielding pleasing outcomes with enhanced project metrics,” said the company.
David Jarvis, the IDC’s interim CEO, said the Orion Minerals projects “affirm the IDC’s Commitment” to its Critical Minerals Game Plan.
“Most important, the socio-economic spin-offs that will result from these projects, including creation of job opportunities, bode well for the Northern Cape province,” he said.
Further exploration drilling by Orion Minerals confirmed additional copper mineralisation near Orion Minerals’ proposed Flat Mine South operation in the Northern Cape. The company recently secured two high-priority prospecting rights that enable it to progress the Okiep copper project in the Northern Cape.
Orion’s ground holdings of 703km² cover most of the Okiep copper mining district where a total of 105 million tonnes is reported to have been mined over the past 100 years.
Of the 105 million tons, some 77 million tons of copper had been mined within the Okiep Copper Project prospecting and mining rights.
Orion’s Flat Mines area and the current drilling program falls entirely within a mining right surrounded by the company’s newly granted prospecting rights.
– BUSINESS REPORT