Vanguard: N. Sumatra limestone mine to start production 2015
Friday, December 19 2014 - 04:15 AM WIB
US-based Vanguard Mining Corporation (VNMC) announced Thursday that PT Mega Kencana Persada (MKP), a company owning a 330-hectare limestone concession in Mandailing Natal, North Sumatra, has confirmed that it has met all the requirements for licensing and permitting and will be ready to commence production in early 2015.
The company said in a statement that in the first phase, MKP plans to produce about 25,000 MT of crushed limestone per month during the first six months and 50,000 MT per month for the next six months, and generate approximately $11,250,000 in revenues and $2,812,500 net income during the first year.
Beginning the second year, it can increase production capacity to 1.2 million MT per year for export markets, with projected revenues of $30 million and net income of $7,500,000 per year. The estimated limestone deposits of this concession are about 150 million MT.
VNMC and MKP also plan to produce other limestone products from this mine, including quicklime for use especially in metallurgical industry and environmental remediation, hydrated lime for paper technology, construction, agriculture soil and water treatment, precipitated calcium carbonate (PCC) for petrochemical industry, paint, rubber, seafood, among others, nano-precipitated calcium carbonate (NPCC) to process high quality chemical cosmetics and foodstuffs, and coated and uncoated PCC and NPCC for use as additives in industries of asphalt plastic, paper, rubber, paint, cosmetics, foodstuffs and medicines. These products command much higher prices and profit margins than crushed limestone.
Editing by Reiner Simanjuntak