Forrestania nickel concentrate plant go ahead
Western Areas has announced a decision to proceed with construction of a nickel concentrate plant at Cosmic Boy, in the centre of its 100 percent-owned Forrestania Nickel Project.Final engineering design drawings for the Stage One plant are complete, statutory permitting has been received and the site has been cleared for construction. Western Areas is putting the plant construction out for tender, with work expected to commence at the start of 2008. Western Areas has already acquired the major components for the plant, including a crushing circuit, ball mill, conveyor system, flotation cells and filtration circuit. Major existing infrastructure at Cosmic Boy includes grid power, a large tailings storage facility, borefields, water storage dams and an ore bin. Western Areas is currently expanding the Cosmic Boy village from 180 to 280 rooms to provide accommodation for the plant construction and the anticipated development of the company’s second mine at Diggers South, 15km to the south. The Stage One concentrate plant is designed with 250,000 tpa capacity and will initially treat ore from the high grade Flying Fox nickel mine. The proposed Stage Two plant will have 650,000 to 700,000 tpa capacity and is intended to treat ore from Flying Fox, Diggers South and potentially the New Morning/Daybreak and Cosmic Boy deposits. Following the successful convertible bonds issue in June 2007, Western Areas has sufficient funds available for the two-stage plant construction, as well as for the development of Diggers South.