Tuesday, January 18, 2022

Discovery Metals bullish Boseto will be delivered on time

Discovery Metals Limited said the construction of its flagship project in the northern part of Botswana remains on time and within budget.

In an update, the BSE listed company said the construction of the Boseto Copper Project is 75 percent complete and is on schedule for commissioning and commencement of copper silver concentrate production is within set timeframes.

“The construction timeline remains on schedule to allow commencement of commissioning of the process plant in first half of 2012,” the company said.

Discovery commenced mining operations during September following successful delivery and commissioning of the first units of the mobile plant fleet and induction of the first group of mobile plant operators.

Two John Deere scraper units have been engaged in top?soil stripping and haul?road construction and a Caterpillar front end loader and truck fleet has commenced ROM stockpile pad construction.

Activities in the September 2011 quarter included finalisation of off?site engineering and procurement with most items delivered to site.

According to the company, onsite works included erection of structural steelwork, installation of plant, equipment, piping and electrical works.

Some of the key milestones achieved by the contractors to date include engineering and procurement, which is nearing completion, the awarding of Toteng housing contracts and works, the commencing of delivery of mine mobile equipment (including spare parts and tyres) which will enable ontime commencement of mining operations.

Discovery added that the structural concrete for the process plant has been completed and said the first two of the eight 2.5 megawatt diesel powered generators arrived on site in early October.

“All major components are on site and work has commenced on the electrical and piping packages of work. Work continues to complete erection of the fine ore bin and the concentrate shed and work has commenced to construct the Run Of Mine (ROM) ore pad adjacent to the primary crusher,” Discovery said.

The first of three Liebherr 9350 excavators (350 tonne) was successfully delivered and assembling commenced in late September. This unit was commissioned and commenced operation in mid?October 2011.

The remaining mobile plant is on schedule for delivery and commissioning is in late 2011 and early 2012. Excavator and truck mining operations are planned to commence at the Zeta Deposit in the next month to start the building of the run?of?mine (ROM) ore stockpile ahead of plant feed requirements.

Discovery added that the recruitment and induction of mining mobile plant operators and support staff continues in alignment with the fleet delivery schedule.

Already, the fixed plant technical and supervisory team is largely recruited and established temporarily in Maun.

The plant team is currently focused on development of training modules, spares and supplies procurement and plant management systems development. Recruitment of fixed plant operators is in progress and the first operators are expected to commence training late in the 4th quarter of 2011 in anticipation of commissioning in the first half of 2012.

Discovery Metals said the latest estimate to complete the Boseto capital works project show that the project is expected to be completed within the US$175 million (about P1.3 billion) approved budget.

The separate estimate of US$75 million (about P555 million) for the procurement and delivery of the mobile mine equipment is also in line with budget estimates.

The company has maintained progress in line with the schedule set in August 2010.

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