FQM Nickel Mine Production Not et Commenced
First Quantum Minerals (FQM) has announced that the official start date for production at its projected $800 million annual revenue nickel project in Kalumbila has not yet been set, as the miner is still in the stripping process.
In an interview with the Zambian Business Times (ZBT), FQM Government Relations Manager Dr. Godwin Beene stated that there has not yet been an official date set as they have not yet completed the stripping process, as the team has not yet reached the ore bodies.
Dr. Beene, who is also the President of the Zambia Chamber of Mines, said that the mine is currently operational as the plant is already built, but the team is still mining and will reach the ore body soon.
The plant will then be commissioned once the ore is available. He added that the commissioning will be done in stages and will be done after running for three to six months to ensure that the plant is stable before commissioning and also to build to a steady state operation, noting that the project is delivering the biggest nickel mine in Africa.
FQM had announced on 8 May 2022 that the Enterprise Nickel Mine would be brought online within 12 months after an additional investment of $100 million to the $250 million “Enterprise Nickel Mine” brought the total investment to about $350 million. The $250 million Enterprise Nickel Mine, which was officially launched by President Hakainde Hichilema in July 2022, is expected to create over 700 new permanent jobs.
Once operational, the project is expected to generate over $800 million, which has the capacity to raise treasury income, part of which will be channeled to support the free education policy.
Once operational, the enterprise will be among the top ten global nickel mines, producing 30,000 tons of nickel in concentrate annually, making Zambia Africa’s pre-eminent nickel largest producer.
The company stated that the mine is expected to have an annual production of 30,000 tons per annum, with nickel spot prices of about $28,000 per ton, the annual revenues to be generated were expected to be about $810 million per annum, from a total reported investment of only $350 million.
SOURCE:zambia business times
