Aim-listed Kazera Global has completed all the mechanical commissioning work required for the Whale Head Minerals heavy mineral sands project in Alexander Bay, South Africa, to proceed with final electrical commissioning.
The electrical commissioning is expected to be completed within the next few weeks.
The mechanical commissioning work included the company building reinforced concrete slabs, reassembling machinery, and building and connecting conveyors.
Meanwhile, Kazera is required to provide additional information related to its submission for a nuclear permit. The National Nuclear Regulator of South Africa now requires the companies to discuss how they will meet financial obligations associated with any nuclear authorisation granted.
These financial obligations are not expected to be of a material nature for Whale Head, which will be funded from Kazera’s cash flow, but the company has provided the regulator with all the required additional information and awaits a response.
The permit will pave the way for heavy mineral sands production and sales to start at the project.
Kazera CEO Dennis Edmonds says the recent changes to the National Nuclear Regulation Act have been a frustration, but he assumes there will be no further delays in the granting of the nuclear permit.
The nuclear permit is required since heavy mineral sands samples from the site indicate the presence of radioactivity, which is not uncommon in the sector.
The company currently has a 60% direct interest in Whale Head, from which the company plans to sell diamonds and heavy mineral sands. The project currently has a mineral resource of 3.11-million tons of heavy minerals grading 61.2%, made up of garnet and ilmenite.
Whale Head will produce about 6 000 t of heavy mineral sands a month at full operation.