Mincor Resources has sent the first parcel of ore from its Kambalda nickel operations to BHP Nickel West’s Kambalda nickel concentrator in Western Australia.
The milestone came in line with the companies’ ore tolling and concentrate purchase agreement (OTCPA) which was finalised in August 2019.
The OTCPA gives Mincor the right to process up to 600,000 tonnes per year of nickel sulphide ore at BHP’s Kambalda nickel concentrator.
This initial parcel was the first time ore from a Mincor mine will be processed at the Kambalda concentrator in six years, ahead of the concentrator’s commissioning in the June 2022 quarter.
Mincor managing director David Southam said this was a milestone to remember.
“This is another fantastic achievement for our team as we close-in on first nickel concentrate production, which remains on track to be achieved next quarter,” Southam said.
“It’s a significant moment for everyone involved with Mincor to see high-grade nickel ore being hauled from one of our mines to the Kambalda nickel concentrator.”
The ore was hauled by MLG OZ which will be responsible for hauling from both of Mincor’s operations – the Cassini and Northern sites – to the Kambalda concentrator.
Mincor stated that multiple ore drives are now online at the Northern operations and development at Cassini is nearing the top of the orebody. First ore is expected at Cassini before the end of March.
At time of writing, the price of nickel sat around $US23,700 ($33,247) per tonne, which Southam said was a great motivator for Mincor.
“With the current nickel price substantially above the assumed price used in our DFS (definitive feasibility study), we are incredibly excited to be on the cusp of production once again in Kambalda,” he said.