Chile’s mining ministry accepts Cochilco head’s resignation
Joaquin Morales will be replaced on an interim basis by the agency's current prosecutor Claudia Rodriguez.
Lifezone Metals (NYSE: LZM) has successfully produced nickel, copper and cobalt cathode materials from concentrates derived from borehole core samples at the company’s Kabanga project in northwest Tanzania.
This milestone marks the first metal production from Kabanga since the deposit’s initial discovery in 1975 by the United Nations Development Program. The samples were produced via pilot-scale refinery testwork that is underway at Lifezone’s laboratory in Perth, Australia.
The testwork centers around a proprietary processing technology known as Hydromet, which is said to have a lower carbon footprint than the conventional pyrometallurgical smelting method. Prior tests using this method have demonstrated nickel recoveries of over 98.5%.
“This accomplishment, resulting from extensive test work at our in-house laboratory, reflects our commitment to innovation and bringing this world-class resource to market,” Lifezone CEO Chris Showalter said in a news release.
“This success highlights the effectiveness of our hydrometallurgical techniques and our commitment to sustainable metal production,” added Mike Adams, chief technology officer. “The pilot plant’s performance has been exemplary, closely matching our process simulation models, and we are optimistic about the positive impact this will have on the Kabanga nickel project.”
Shares of Lifezone Metals, however, were down by 7.0% in New York on the news, with a market capitalization of $634.5 million.
The Kabanga project represents one of the largest and highest-grade undeveloped nickel sulphide resources in the world, according to the company. To date, it has seen over 583 km of exploration and appraisal drilling, with more than $293 million spent by past owners (Glencore and Barrick) to accurately delineate the ore body.
In 2021, Lifezone – then a privately owned company – took over the project and has since obtained its mining licence and gained the backing of BHP, the world’s largest mining company, who now owns a stake in the project.
The deposit is now estimated to contain 881,000 tonnes of nickel metal within 43.6 million tonnes of measured and indicated resource grading 2.02% nickel, plus 391,000 tonnes of nickel metal (17.5 million tonnes at 2.23%) in the inferred resource category.
Development of the project, which will also include a Hydromet refinery at Kahama, Tanzania, is expected to take two phases, with 1.7 million tonnes mined per year in Phase 1 and another 1.7 million tonnes added in Phase 2. The specifics will be included in a definitive feasibility study, which Lifezone aims to complete this quarter.
Comments