Page 73 - pd276-Oct19-mag-web_Neat

Tala Hamza to be built tough

erramin Australia Ltd is preparing the In April, zinc was near $US1.40/lb but start-up capital costs of $449 million
TTala Hamza zinc project to be unlike at the time of print it was trading at just have been started, as Taylor continues
any other in the field. above $US1/lb. local community and government liai-
Richard Taylor, Terramin’s chief execu- “It will be a mine operating for multiple sons in the next 12 months.
tive, said the Algerian asset would be de- cycles. The existing resource is 21 years “We have been delayed by political
veloped to absorb the ebbs and flows of on the 1.3 mtpa case. Unlike other peers changes in Algeria. I was over in Algiers
prices for zinc. in the group we will have a long life pro- about six weeks ago watching the ex-
ject through multiple cycles, including pression of democracy and people on
the times when zinc spikes. Many of our the streets talking about what priorities
peers have mine lives much shorter than they see for the country going forward.
10 years,” Taylor said. They see Tala Hamza as one of the key
A DFS on Tala Hamza was produced priority projects for the new government
in 2018, with one highlight of the study once it is formed and being able to bring
being C1 operating costs over life-of- forward the benefits for the youth of that
mine averaging $US0.53-0.55c/lb. country as it goes forward into the next
Terramin has since been working on stage of development,” Taylor said.
optimising the project “to make that de- Tala Hamza is a JV between Terramin
posit really hum” and has reported prom- (65%) and the Algerian Government
ising upside in terms of a 2 mtpa opera- (35%).
tion at Tala Hamza. – Mark Andrews
Financing discussions for estimated
Richard Taylor

Mining inspires Guinea growth plan

uinea has mining to thank for the sig-
Gnificant growth in its economy over the
past decade.
The country’s GDP has grown from
$US4.74 billion in 2010 to $US6.3 billion in
2016 and $US10.49 billion in 2017.
Increased bauxite exports have been
identified as the premier contributor to
Guinea’s burgeoning economy. The coun-
try is host to the world’s largest untapped
bauxite resources, currently estimated at
40bt with many deposits containing grades
above 40%.
Bauxite production over the past five
years has skyrocketed from 15mt to 60mt
and could reach 150mt as early as 2015.
According to Guinea’s Mining Promotion
and Development Centre, state revenue
from mining has increased from less than Mohamad Lamine Sy Savane
$US150 million in 2012 to almost $US500 “Developments in mining will require fur- “With the increasing mining activity, it is
million in 2017. ther developments in infrastructure, partic- essential to have this facility,” he said.
Mining accounts for almost 99% of all ularly in developing port facilities,” he said “The development of this project will al-
exports from Guinea and contributed “These are opportunities to be seized by low Guinea to not only allow the mining
22.71% to the country’s GDP in 2016. investors who can help develop the mining boom already taking place to continue,
Speaking via a translator, Mining Pro- sector in other areas. but also to develop its own sector with
motion and Development Centre general “The development of hydroelectric pow- increased exports expected through the
manager Mohamad Lamine Sy Savane er will be key to the ongoing development port.”
said Guinea was also looking to develop of bauxite and processing facilities.” Savane said regulators in Guinea con-
other minerals such as iron ore, base met- Savane made special mention of the tinued to review processing times for min-
als, rare earths and uranium. proposed deep-water facility at Port Gon- ing and exploration licences in a bid to at-
Savane said there were also opportuni- zalez which is considered a major devel- tract more foreign investment.
ties to invest in the supporting infrastruc- opment project for the country’s future.
ture required for these mining projects. – Michael Washbourne

aUSTRaLIa’S PaYDIRT OCTOBeR 2019 Page 73