Olympia Resources to commission Kalimantan zircon plant in December

Australian firm Olympia Resources Limited said on Tuesday that it would start the commissioning of its zircon concentrate processing plant in Sampit, Central Kalimantan in December this year, a month later than the initial schedule.

?The Kalimantan zircon processing plants are progressing well. Construction of the Sampit plant will be near completion by the end of November and commissioning will commence in December,? the company said.

The plant has a maximum feed rate of 15,000 tons per year (tpy) of concentrate. It will produce zircon 10,000 tpy, ilmenite 650 tpy, rutile + leucoxene 400 tpy and gold 1,000 ounces per year

Meanwhile, the construction of the Bati Bati plant in South Kalimantan will be continued in the first quarter of 2008, it said.

The Bati Bati plant is much larger than the Sampit plant and will treat a maxiumum of approximately 38,000 tpy of concentrate and produce 25,000 tpy of zircon as well as 2,500 ounces of gold and by product rutile, leucoxene and ilmenite.

According to the company, it will raise funds by selling 20 million shares within the next three months. The funds will be used to add to the capital expenditure and working capital for the Kalimantan, Harts Range and Keysbrook projects. (denny)