Published: February 5, 2016 |

[Click image to enlarge]

Mineral Commodities has secured a A$4.5 million loan from Germany’s GMA Group that will optimize the range of output from the Tormin mineral sands project in South Africa.

Under the deal, GMA, a major international player in garnet production, will finance the installation of a garnet stripping plant at Tormin, where about 285,000 tonnes of garnet concentrate is already produced annually.

This addition to the processing flow at the project is expected to increase the non-magnetic zircon-rutile feed grade by removing garnet from the heavy mineral concentrate, in turn increasing the final output of zircon-rutile concentrate.

Use of the garnet stripping plant is expected to increase Zircon recoveries in the operation’s secondary concentrate plant from 68 percent to 85 percent.

The quality of zircon-rutile concentrate will increase from 72 percent contained zircon and 11 percent contained rutile to 80 percent contained zircon and 13 percent contained rutile.

Garnet concentrate product quality will also increase from about 60 percent to 80 percent contained garnet.

The GMA loan will have a 3-year repayment term starting on the re-start of shipping of garnet concentrate in January next year.

An offtake agreement previously entered into with GMA has been amended to a life-of-mine term with an increase in the annual offtake tonnage to 210,000 tonnes (up from 150,000 tonnes) and an option to take all other remaining Garnet concentrate production.

The agreement is interpreted as a strong show of long-term commitment between the two companies and an endorsement of Tormin as a significant world class sustainable garnet producer.

Source: (February 2, 2016) Proactive Investors

About Mineral Commodities
Mineral Commodities is focused on minerals sands projects in South Africa.

To stop by Mineral Commodities’ website, CLICK HERE

Be in-the-know when you’re on-the-go!