South Boulder Mines Ltd is a 50% shareholder of the Colluli Mining Share Company (CMSC), a joint venture between South Boulder Mines Ltd and the Eritrean National Mining Company (ENAMCO).
CMSC owns exploration tenements spanning over 400km2 within the Danakil Depression in South East Eritrea.
Since 2010, 97 holes have been drilled identifying a resource containing more than one billion tonnes of potassium bearing salts suitable for the production of potash fertilisers.
South Boulder Mines Ltd is currently working on the Feasibility Study to support the development of the project.
South Boulder Mines delivers strong Quarterly Report
South Boulder Mines is pleased to present its quarterly report for the period ending September 2014. Substantial process on the pre-feasibility study for the production of potassium sulphate has been made.
- Commercial grade potassium sulphate (“SOP”) produced from the Colluli salt suite1
- PFS Flotation testwork demonstrated potassium yields in excess of 80%
- Favourable metallurgical test results resulted in elimination of grinding infrastructure and some thickening infrastructure from the initial process design, reducing capital and operating costs
- PFS process plant design configuration finalised
- PFS drilling campaign completed ahead of schedule and under budget for pit wall and trafficability assessments with testing currently underway in both Canada and Australia
- DFS drilling campaign initiated early to obtain:
- hydrogeology and dewatering requirements including the placement of dewatering bores in the mining area
- geotechnical information for plant and recovery pond infrastructure
- DFS level test pits underway to finalise knowledge of:
- Product haulage road construction requirements
- Borrow material for site, port and road construction
- Waste dump and evaporation pond foundations
- Transfer of resource model to AMC consultants well progressed
- Exploration license renewal completed
- First tranche of environmental baseline assessments submitted to the Eritrean Environmental Ministry
- Over 1.5 tonnes of Colluli salt samples shipped to Canada for pilot plant
- Detailed study for product shipping options underway
The pre-feasibility study is expected to be completed by February 2015. Studies completed in February 2014, showed that mining waste to ore ratios can be substantially reduced by mining all potassium bearing salts in the resource, resulting in materially lower mine operating costs. Potassium sulphate, commonly known as sulphate of potash (SOP) is a premium fertiliser which receives a substantial price premium over the more common potassium chloride (Muriate of Potash).
Colluli Project Information Brochure
South Boulder Mines (ASX: STB) (“South Boulder” or “the Company”) is pleased to present a summary overview of the Colluli Resource and the development strategy to produce potassium sulphate. For the information brochure, please go to:
Africa Downunder Presentation September 2014