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MEI Online: Plant Operation News: Africa: July 11th 2006


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:: LionOre and ARM approve Nkomati Chrome Operation

LionOre Mining International Ltd and African Rainbow Minerals Limited co-owners of the Nkomati nickel mine in South Africa, are pleased to announce the approval of a 60,000 tonne per month chrome ore mining and processing operation, following completion of a feasibility study in June 2006.

The feasibility study investigated the viability of a low cost mining and processing operation to exploit the oxidized massive chromitite resource. This resource overlies the nickel mineralization and forms part of the planned Pit 3 pre-strip requirements for the future nickel exploitation of the large disseminated nickel sulphide orebodies. A bankable feasibility study on this expansion phase will be completed later in the year.

During the past year, Nkomati has mined and produced approximately 300,000 tonnes of lumpy and chip chrome ore from the exposed resource in Pit 3. This product has been successfully trialed at the nearby Assmang Machadadorp Smelter in the production of charge chrome.




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