4th Sep 2019 15:05
(Alliance News) - Xtract Resources PLC said Wednesday its partner on the Manica hard rock project is making progress on the design and building of the open pit mine at the project.
Mutapa Mining & Processing LDA has completed the operational budget and plan for Manica, based in western Mozambique.
MMP has exchanged letters of intent with suppliers on long-lead items including an elution heater package, a feed thickener, a flocculant plant, and a tower crane.
Xtract also said tailings design consultants have conducted a site visit and agreed all parameters for design.
Chief Executive Colin Bird said: "Our partners, MMP, have approached the Manica hard rock project in very positive and professional manner. Their investigations and planning have led them to a point where they have identified critical items which have the longer lead delivery times. To this end they have letters of intent agreed and deposits paid thereby ensuring no delays are expected to the contractual planned start date."
Bird continued: "We are very encouraged by MMP's commitment and look forward to primary mining and processing commencing with a well designed and built plant together with an optimal mine plan. We share a common belief in the further exploration potential of the concession and the district and will be developing a plan to pursue mutually agreed targets once all of the operational decisions have been made and execution is in progress."
Under the partnership between Xtract and MMP, MMP must begin construction by no later than November, with a planned finish by next July.
Shares in Xtract Resources were 5.8% higher in London on Wednesday at 1.27 pence each.
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