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The Base Titanium Limited plant in Kwale County. Mining of titanium by the company, which has in the past been dogged by controversy, has finally kicked off. [PHOTO: MAARUFU MOHAMED/STANDARD] |
By TOBIAS CHANJI
Kwale County: Australian firm Base Titanium Limited has commenced mining of titanium in Kwale County.
Base Titanium is one of the firms licensed to undertake mining activities in the county, which is poised to become a leading mineral exporter in the country.
“It is true that we have started mining and we are so excited about it,” said the General Manager Joe Schwarz in an interview with The Standard.
The company sent a communication to newsrooms on Tuesday saying that mining of the titanium ore consisting of rutile, zircon and illmenite kicked off on Thursday last week.
Concentrate processing
“Base Resources Limited (ASX & AIM:BSE) (“Base”) is pleased to advise the commencement of ore processing through the mining unit and wet concentrator at the Kwale Project. Following two weeks of water commissioning and control logic testing, the first ore from the central dune has now been taken through the dozer trap mining unit and the wet concentrator,” read the communication.
Construction of the mineral separation plant (MSP), the company stated, is now in its final stages, with commissioning of the illmenite and rutile circuits and commencement of concentrate processing expected in November.
This will be followed by the zircon circuit in December.
The company further said supporting infrastructure, which will be handed over to the Government once the mining agreement expires, is already in place.
$900 million
Works on the Likoni marine facility, which will be used for shipment, on the other hand, are expected to be completed next month.
Base Resources is an ASX listed (BSE) resources developer, with a portfolio of assets in Africa. Its flagship venture is the $305 million Kwale Mineral Sands Project in Kenya.
“After repayment of debt, Kwale is expected to generate a cash surplus of $900 million over its 13-year mine life,” the company said.
Income from titanium mining in Kwale is expected to displace coffee as the fourth highest foreign exchange earner.
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The project is expected to triple earnings in the mineral sector to Sh2 billion annually, translating to about Sh26 billion over the 13-year life of the Kwale mine project through royalties and taxation.