African-focused producer Marula Mining has signed two new manganese ore supply agreements for the supply of a total of 10,000 tonnes per month of manganese ore to the Kilifi manganese processing plant in the Tezo Area, Kilifi County, Kenya.
Under the first deal’s terms, Marula will receive 30,000t of manganese ore with a minimum grade of 24% manganese over a six-month period. Thereafter, further deliveries can be negotiated with a minimum additional quantity of 30,000t.
For the second of the ore agreements, Marula will receive monthly deliveries of 5,000t of manganese ore with a minimum grade of 24% Mn over an initial period of one year. This may be extended for an additional two years thereafter at the company’s option.
Mining, screening and transportation of the manganese ore will be undertaken by Marula, at its own cost.
The new agreements are in addition to the agreement entered into earlier this month with Kitmin Holdings for the supply of 10,000t/m of manganese ore to the Kilifi Plant.
In aggregate, the three agreements provide the company’s wholly owned subsidiary, Muchai Mining Kenya Limited, the opportunity to maximise processing capacity at the Kilifi Plant and operate it on a double shift basis over the next six to 12 months and with the potential to produce between 15,000 t/m to 20,000 t/m of saleable product.
First deliveries are expected to commence by 30 September.
The company said it will continue to advance sales and offtake negotiation agreements with a number of parties for the manganese ore produced from the Kilifi Plant.
Marula has interests in several high value mining operations and mine development projects in Africa: the Blesberg lithium and tantalum mine, Northern Cape Lithium and Tungsten project, Korridor lithium project and the Kruisrivier cobalt mine, all in South Africa; the Larisoro Manganese mine and Kilifi manganese processing operation, both in Kenya; the Kinusi copper mine, the Nyorinyori graphite project, the NyoriGreen graphite project and the Bagamoyo graphite project, all in Tanzania; and the Nkombwa Hill project in Zambia.
Source: marulamining.com