ARM and Assore receive new order mining rights for Khumani Iron Ore Mine (held in Assmang Limited) from the Department of Minerals and Energy
28 November 2006
Assmang Limited (Assmang), a 50:50 joint venture between African Rainbow Minerals Limited (ARM) and Assore Limited (Assore,) today announced that Assmang has been granted new order mining rights from the Department of Minerals and Energy (DME) for its Khumani Iron Ore Mine.
Assmang received written notification from the DME on 16 November 2006 that Assmang had been granted a mining right to establish an iron ore mine on Portion 5 and Remainder of Bruce 544, Portion 1 and Remainder of the Farm King 561, Portions 1, 2, 3, 4, 5 and Remainder of the Farm Mokaning 560 and the Remainder of Parsons 564. These properties are located in the Kuruman district of the Northern Cape Province.
Production from the new mine, the Khumani Iron Ore Mine, will substantially replace the iron ore currently being produced at Assmang’s Beeshoek operation near Postmasburg, which is nearing the end of its mining/ production life.
In its first phase of construction, the mine will have the capability of producing 10 million tonnes a year of export iron ore. Subject to port and rail capacity and further board approvals, it is planned to expand the operation to 16.8 million tonnes (16 million export tonnes) per annum. This expansion is subject to the completion of a feasibility study currently being carried out by Transnet and it is expected that a decision will be made by September 2007.
Further media information:
African Rainbow Minerals Limited Assore Limited
Phone: 27(0)11 779 1476
Mobile: +27(0)83 380 6614