| Mon 3 Sep 2007, 8:02 | | ARI-ARM- Nkomati Commissions `Interim Plant` ahead |
|
ARI
ARIM
ARI-ARM- Nkomati Commissions `Interim Plant` ahead of schedule and within budget
African Rainbow Minerals Limited
(Incorporated in the Republic of South Africa)
(Registration number 1933/004580/06)
JSE Share code: ARI
ISIN: ZAE000054045
("ARM" or the "Company")
Nkomati Commissions `Interim Plant` ahead of schedule and within budget
Johannesburg, South Africa and Moscow, Russia Federation
ARM and Norilsk Nickel, 50:50 JV owners of the Nkomati Nickel Mine in the
Mpumalanga Province in South Africa, are pleased to announce that the R384
million (US$62 million) "Interim Plant" Project, released in February 2006,
successfully started commissioning two months ahead of schedule, within budget
and with zero lost time injuries. Full production from the project is now
anticipated earlier in the fourth quarter than originally scheduled.
The current massive sulphide body ("MSB") mine is approaching the end of its
life. The Interim Plan will mine the disseminated Main Mineralised Zone ("MMZ")
orebody at an annualised rate of 6,000 tonnes of contained nickel in concentrate
for an expected life of mine of 10 years.
The objective of the Interim Plan is to bridge the gap between the depletion of
the MSB and the proposed Phase 2 Expansion Project, planned for 2010. The Phase
2 Expansion Project envisages an expansion to produce an average 20,500 tonnes
of nickel in concentrate per year over the life of the mine from a large scale
open pit and an underground mine. The bankable feasibility study has been
completed and is currently being reviewed by the joint venture partners with a
decision anticipated during the third quarter.
Peter Breese, Chief Executive of Norilsk Nickel International commented: "The
Nkomati Interim Plan project team have done tremendously well to deliver this
project ahead of schedule and within budget, given the current cost pressures
faced by the mining industry. The Interim Plan is a logical step to sustain
nickel production at Nkomati whilst the larger expansion is under consideration.
I would also like to commend the team for achieving this success with no lost
time injuries rates, which is a superb result."
ARM`s Chief Executive Officer, Andre Wilkens said: "The Nkomati Interim Plan
Project is yet another example of a project in the ARM stable which we are proud
to announce has been delivered on time and within budget. We are confident that
the Interim Plan will successfully bridge the gap between the first and second
phases in preparation for the large growth project. Furthermore, Nkomati will
benefit from improved chrome sales."
For all investor relations` queries, please contact:
Pieter Rorich
Executive Director: Investor Relations and New Business Development
Office: +27 11 779 1300
Mobile: +27(0)82 570 5064
E-mail: pieter.rorich@arm.co.za
or
Monique Swartz
Corporate Development Manager
Office: +27 11 779 1507
Mobile: +27(0)83 411 2881
E-mail: monique.swartz@arm.co.za
Sandton
3 September 2007
Issued by sponsor:
Deutsche Securities (SA) (Proprietary) Limited
Date: 03/09/2007 08:02:02 Produced by the JSE SENS Department.
The SENS service is an information dissemination service administered by the
JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or
implicitly, represent, warrant or in any way guarantee the truth, accuracy or
completeness of the information published on SENS. The JSE, their officers,
employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature,
howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
