Sydney, Jan 27, 2012 AEST (ABN Newswire) - Following its successful listing on the Deutsche Börse's Frankfurt Stock Exchange (code: 1BM) in October 2011, Bracken International Mining (BIM) is poised to become a major player in the international manganese market.
The company is raising Euro 500 million to develop one of the biggest manganese projects in the world, its 100 per cent owned Manganese Mining Project in the mineral rich Kupang province of West Timor.
The project will see BIM move from a Euro 500 million market capitalisation to more than Euro 1 billion (estimated).
Production is scheduled to commence in July 2012 from six mines, with combined reserves of more than 300 million tonnes. The mines have operating licences and are ready to produce and export to world markets.
The 8,208.6 hectare project is conveniently located just 35km from Kupang's main export loading port and is strategically located to take full advantage of China's growing demand for steel, of which manganese is an essential component. BIM also has a licence to build a refinement smelter which will produce silicon and ferrous manganese end use products. The company is focused on becoming the most efficient market supplier of high grade manganese ore.
The West Timor mines have been producing ore in a limited capacity since early 2010, with trial exports of manganese shipped to customers in China. Off-take contracts have been discussed with Chinese customers including Sino Steel and Shanghi Industrial, and will be formalised in March 2012.
The Stage 1 Tailings Project will generate immediate cash flow from production, allowing the Company to move to full JORC feasibility for the Stage 2 Primary Ore Project in 2013/14.
The entire project holds an inferred resource of 299,600 million metric tons of high grade lump manganese ranging from 50 to 69 per cent (independently confirmed by Korean Company Dongbu Metals) on average across the total area.
Capital expenditure required to bring the project into production is estimated at Euro 80.8 million in the first year to bring the first stage mining operation to a rate of production of 41,000t per month. Ramped up production from Stage 2 will see of 240,000mt per month through the new benefaction plant.
Work has already begun on upgrading the port and a new power source has been connected within a few kilometres of the proposed smelter site at Kupang West Timor.
Bracken International Mining Chairman Mr Luke Bracken commented:
"Bracken International Mining aims to be a world leader in quality manganese mining and supply. The company's priority is to economically manage its assets while meeting the needs of end users. The company is committed to building a well managed and productive manganese supply which will customers, investors and the West Timor community."
Contact
Investor Relations
Ms. Lynn Jackson
info@brackenmining.com.au
www.brackenmining.com.au
Media Release by
Public Relations
AWTN.co
Ph: +61 4228 11261
info@awtn.co
www.awtn
| ||
|
