ENERGY
MBAMBA KILENDA
A copper producer within a year of approval? By Nelendhre Moodley
N
ew kid on the block Central Copper Resources Plc (CCR) is perched on the sweet spot as it progresses its flagship Mbamba Kilenda copper project, aiming to be a producer within a year of project approval, COO Kevin van Wouw tells SA Mining. With a widening supply-demand gap in the copper space currently playing out, the soon-to-be copper producer is set to reap some handsome rewards in the near future. “Due to the regulatory uncertainty of the timing of the issue of the mining exploitation licence, CCR has withdrawn its intention to
MBAMBA KILENDA The Mbamba Kilenda project located 70km south of Kinshasa in the DRC sits on the west copper belt which extends over 1 400km from Angola, the DRC, Congo Republic to Gabon.
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list on London’s AIM market,” says Van Wouw. London-based CCR is instead busy advancing its portfolio of exploration and development projects in Zambia and the Democratic Republic of the Congo (DRC), with the Mbamba Kilenda project being its most advanced project. “We will complete the definitive feasibility study of phase 1 of the project in the first half of 2022, and then subject to issue of the already approved licence, can proceed with implementation.”
PROGRESSING MBAMBA KILENDA
The copper exploitation and development company is in the process of finalising the feasibility study for the Mbamba Kilenda project and has engaged various parties for the supply of key equipment and services. The copper developer completed its pre-feasibility work in 2020, and with a completed definitive feasibility study can resolve the finances for project development. “This step is of major importance for CCR as it allows the company to commence its project in a phased way, building financial capacity and skills as we transition from explorer/developer into an operator,” says Van Wouw. He says as a result of the high-grade nature of the Mbamba Kilenda resource, a direct shippable ore-type concentrate will be generated, running at around 20% Cu, making the project extremely cash flowpositive from the implementation of the first phase. “This will not only assist with completion of the feasibility study of the subsequent
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phases, but will also aid in paying for the implementation of the major expansion of the project.” According to the pre-feasibility study, a total capital commitment of $230-million has been identified for the first module. Of that amount, $46.7m has been earmarked to progress the first phase of the project. “At current copper prices, no further capital will be required. Once we have completed the feasibility study, we will seek to finalise the reduced finance requirement as a mixture of equity/off balance sheet debt and normal debt as appropriate for a company of our size.” Mbamba Kilenda is a shallow, high-grade resource with significant expansion potential to both the east and west and containing an “ultra” high-grade zone. The high-grade zone has a copper grade greater than 18% Cu and has been identified as a direct shipping ore product. The mine, which has a 12-year life of mine in the current resource, will be a 30 000tpa copper producer. An induced polarisation geophysical investigation conducted in late 2021 has shown significant resource expansion potential within an additional 5km of strike length to the current resource. “As we expand this resource, we will increase the life of mine and add additional production modules.” Added to this, the various new targets within the same 85km belt along strike within the licence package covering the geophysical feature hosting the mineralisation will allow it to develop new
