The mining process has begun with one dredger to remove the mineral-bearing sands. The ore from the sands is being processed through a Wet Concentrator Plant to produce a heavy mineral concentrate.
Once the Mineral Separation Plant is in operation, the concentrate will be separated into ilmenite (iron titanium oxide), rutile (titanium dioxide) and zircon (zirconium silicate). Kenmare expects to produce annually 800,000 tonnes of ilmenite, 21,000 tonnes of rutile and 56,000 tonnes of zircon.
There are plan to expand this to 1.2 million tonnes per annum of ilmenite plus co-products by the end of 2009.
The future is looking bright for Kenmare, which has announced that it has found even more minerals than expected, rising from an estimated 101 million tonnes to 163 million tonnes of ilmenite.
According to Kenmare's Chairman, Charles Carvill, "the increase in the resource base will allow us to push production levels significantly above our present anticipated level while still having a very long life mine. In the meantime the product market is moving in a positive direction with rising prices".
Kenmare expects that Moma will be one of the lowest cost titanium producers in the world. Ilmenite is used as a pigment for paint, paper and plastic, whilst zircon is used in ceramic tiles.
Once fully operational the mine is expected to employ over 400 workers, with around 1,500 more jobs created in the ancillary and support services.
Once up and running, the project could contribute up to 2.4 percent per year to Mozambique's Gross Domestic Product.
SOURCE: AIM
