DMC Mining Completes Scoping Study on Mayoko Iron Ore Projectadmin
DMC Mining released the findings of the scoping study completed by GRD Minproc on its 80% owned Mayoko Iron Ore Project in The Republic of the Congo, reporting that the Mayoko Iron Ore Project is at an early stage of development. Preliminary economics appear attractive and justify advancing to a more detailed level of assessment. The production rate in Stage 1A will be 3 Mt/a. This will be ramped up to 11 Mt/a within approximately 2 years in Stage 1B. The estimated total capex for the 11Mt/a Stage 1B haematite plant is US$486m. This includes US$428m for direct and indirect costs and an additional US$58m in provisional costs. The final stage, Stage 2, will treat magnetite to produce 3Mt/a of pellets. Commencing operations with a 3Mt/a plant, leasing locomotives and using contract mining allows in excess of US$285m of capital expenditure to be deferred. The total capital expenditure of US$198m includes US$192m for direct and indirect costs and an additional US$6m in provisional costs. Revenue potential of USD$1.1bn/a is based on 11Mt/a at current spot prices or USD$302m/a based on 3Mt/a at current spot prices.
Original Announcement: Scoping Study Complete – Mayoko Iron Ore Project