Mar. 10, 2011 - Matilda Zircon plans to restart mining operations on Melville Island in the Tiwi Islands, after Northern Territory approved the construction of a road to the Lethbridge South mineral sands deposit.
Matilda would also construct a gravel pad and transport the concentrator, screening unit, power generators and site offices from Lethbridge West to Lethbridge South.
The Lethbridge South deposit consists of four strandlines similar in size to Lethbridge West, however, grade at Lethbridge South is lower.
Matilda said that mining at Lethbridge South would resume next month, after the wet season, and once the preparatory work has been completed and the mining licence and mine management plan have been approved.
The approval process was proceeding well, but Matilda noted that it had been delayed for several weeks owing to the Christmas period.
The period between the completion of the Lethbridge West mine, in October last year, and the start up of the Lethbridge South operations have now lasted several months longer than initially anticipated, however, the company noted that a positive consequence of the delay was the significant increase in the sales price of zircon and rutile, which has occurred during the period.
"The higher sales price has increased the total revenue from the Lethbridge South mine by an estimated $4,5-million and the total sales revenue from Lethbridge South concentrate is now expected to be around $20-million," the company said.
Matilda would also construct a gravel pad and transport the concentrator, screening unit, power generators and site offices from Lethbridge West to Lethbridge South.
The Lethbridge South deposit consists of four strandlines similar in size to Lethbridge West, however, grade at Lethbridge South is lower.
Matilda said that mining at Lethbridge South would resume next month, after the wet season, and once the preparatory work has been completed and the mining licence and mine management plan have been approved.
The approval process was proceeding well, but Matilda noted that it had been delayed for several weeks owing to the Christmas period.
The period between the completion of the Lethbridge West mine, in October last year, and the start up of the Lethbridge South operations have now lasted several months longer than initially anticipated, however, the company noted that a positive consequence of the delay was the significant increase in the sales price of zircon and rutile, which has occurred during the period.
"The higher sales price has increased the total revenue from the Lethbridge South mine by an estimated $4,5-million and the total sales revenue from Lethbridge South concentrate is now expected to be around $20-million," the company said.
