Herald appoints mining contractor for N. Sumatra Zinc/Lead project
Tuesday, May 1 2007 - 12:42 AM WIB
Herald said on Monday that McConnell Dowell would carry out mining operations for the first four years of the mine?s life.
Herald is currently in the process of constructing mining facilities in its mining area, with commissioning of the process plant planned late this year.
The company, together with its 20 percent partner PT Aneka Tambang Tbk, is planning to develop Dairi zinc/lead project to process 1 million tons of ore per annum and to produce between 220,000 and 100,000 tons of zinc and lead concentrates annually.
The project is estimated to cost US$118 million.
Ore for the processing plant would be sourced from Anjing Hitam deposit, which has diluted reserves of 6.6 million tonnes @15% Zn, 9% Pb. Initial mine life is expected to last for 7 years.
The company however, thus far still unable to secure forestry permit from the Ministry of Forestry which would allow the company to operate within the area classed as forest. Some of the company?s mining facilities such as mine portal concentrator and tailing facilities are located in the forest area.
Elsewhere, the company also reported significant indicated and inferred reserves increase to 6.5 MT @ 11.3%Zn, and 6.1% Pb in nearby Lae Jehe prospect following receipt of results of recent drilling. The figure was 50 percent higher in volume and 10 percent higher in grade compared to the previous estimate, said the company. (alex)