The Kwale titanium mine in Kenya, one of the largest producers of titanium in Africa, will cease operations by the end of this year, according to its owner Base Resources.
The Australian-based company announced in a quarterly report that it had completed an evaluation of the remaining mineral resources near the mine site and found that they were not viable to extend the mine life beyond December.
The Kwale mine, which started production in 2013, has been a major source of revenue and employment for Kenya, generating about $200 million in annual export earnings and providing over 1,000 direct and indirect jobs.
The mine produces ilmenite, rutile, and zircon, which are used to make pigments, ceramics, and metals. The global demand for these minerals has been affected by the economic slowdown and uncertainty caused by the Russia-Ukraine war and other geopolitical tensions.
Base Resources said that the mine’s performance in the last quarter of 2023 was also impacted by lower prices for all products, as well as operational challenges such as heavy rains and ore grade variations.
The company said that it had mined 3.9 million tonnes of ore in the quarter, down from 4.1 million tonnes in the previous quarter, and produced 67,500 tonnes of heavy mineral concentrate (HMC), down from 84,800 tonnes.
The HMC was processed in a mineral separation plant (MSP) that operated on a campaign basis to optimise product recoveries and reduce costs. The MSP produced 19,900 tonnes of ilmenite, 4,400 tonnes of rutile and 1,600 tonnes of zircon in the quarter.
The company said that it had implemented a comprehensive mine closure and rehabilitation plan, which included capping the sand tailings with a layer of slimes and sand, planting over 110,000 trees, and restoring the natural vegetation and wildlife habitats.
The company also said that it had invested in various social and environmental projects in the Kwale region, such as improving access to water, health, education and livelihoods for the local communities.
Base Resources said that it was now focusing on developing its Toliara project in Madagascar, which it described as one of the best mineral sands projects in the world.
The Toliara project, which is based on the Ranobe deposit, has a mineral resource of 2,580 million tonnes at 4.3% heavy mineral, and an ore reserve of 904 million tonnes at 6.1% heavy mineral, sufficient to support a 38-year mine life.
The company said that it had completed a pre-feasibility study for the project, which showed that it could produce monazite, a mineral-rich in rare earth elements, in addition to ilmenite, rutile, and zircon.
The company said that it had resumed engagement with the Madagascar government, which had suspended the project in 2019 due to a dispute over fiscal terms, and that it was hopeful of reaching a resolution and launching the project soon.
The company said that the Toliara project had the potential to transform the economy of Madagascar, which is one of the poorest countries in the world, by creating thousands of jobs, generating tax and royalty revenues, and supporting local development initiatives.
The company said that it was committed to operating the Toliara project responsibly and sustainably, respecting the environment and the rights of the people.
The company said that it was confident that the Toliara project would enable it to continue its growth and success in the mineral sands industry and deliver value to its shareholders, customers, and stakeholders.
Source: Mining Weekly
