The global demand for phosphate is expected to increase from markets such as India, China and Brazil, with an increasingly internal demand in Africa.
This the opinion of Minbos Resources Limited’s (Minbos) MD and Executive Chairman, Scott Sullivan, who said the market drivers for phosphate globally were excellent. Sullivan was speaking in Perth, Australia, today on the second day the three day 2013 Paydirt Africa Down Under conference.
Minbos, an Perth-based company, is the co-developer of a US$157 million phosphate mine in Angola, southern Africa.
“The demand for fertilizers will be driven over the next 15 years by rising world population, changing diets as incomes grow, constraints on arable land and government policies designed to enhance crop yields and to encourage the use of biofuels,” Sullivan said.
Minbos and its Angolan JV partner, Petril Phosphate, are poised to commence, as a priority, a Bankable Feasibility Study (BFS) for its Cacata phosphate project in southeast Angola as soon as Prospection Titles are renewed which the partners expect to be imminent. Cacata has a JORC resource of 30.4 million tonnes at 17.2% P2O5.
“With renewed prospection titles, we expect to complete the BFS around September next year which will then provide the basis for granting of a Production Title,” Sullivan said. “Our beneficiation test work has indicated upgrades to 34% P2O5 at 79% recovery rates.
“Cacata is a very robust project. It will be free dig, no drill and blast work is expected, the strip ratio is around 2:1, it has low deleterious mineral content, clear logistical solutions, and is expected to deliver 800 000 tonnes per annum of phosphate rock concentrate.
“The scoping studies have pointed to revenue expectations of around US$180 per tonne and an operating expenditure of US$54.4 per tonne so it is a very robust project.”
Paydirt 2013 Africa Down Under Conference is Australia’s largest mining conference, and kicked off on Wednesday, in Perth, Australia. A showcase for the $40 billion investment to date by Australian mining companies, explorers and suppliers, in co-developing Africa’s vast mineral wealth and its mining industry – and largest gathering in the world of Federal and African resources ministers and business heads outside of the African continent – the three day conference runs over two hotel venues in the Perth CBD.