Poseidon targeting one million tonne processing plant

  Poseidon Nickel has declared a one million tonne per annum Nickel Sulphide ore processing target for its Windarra mine site.Poseidon Chief Executive Officer, David Singleton said the company’s fast start concentrator concept could see production start within a year of initiation, up to 18 months faster than would be the case if a more conventional project was run. Mr Singleton said the 1mtpa throughput level harks back to the historic days of Western Mining and its operation at the historic Poseidon company tenements. “The ramp up of resource and exploration drilling is obviously critical to the project,” Mr Singleton said. “While we are continuing with concentrator, mining and metallurgical study work, we are confident the project will yield solid results based on the historic performance of the mine.” “We remain focused on initiating early production with our current resource base, whilst investing heavily in expanding exploration,” he said. Mr Singleton indicated that the rehabilitation of the existing underground decline would most likely start in early 2008, enabling early access for mining and further underground drilling of deeper ore bodies. Poseidon General Manager of Geology, Neil Hutchison said the low level of exploration of the Windarra ultramafic sequence increased the high geological prospectivity for the project. “Modern techniques, including the use of electromagnetics, combined with today’s improved geological understanding, will greatly enhance our exploration program,” Mr Hutchison said. “We are now drilling on an area of the belt which has previously yielded high-grade massive sulphide intercepts. The electromagnetics suggest this area has a high degree of potential and we are excited by this prospect.”