MCC Contracts has been awarded a R4.8 billion contract for open-cast mining operations at the Pilanesberg mining project, with production of platinum group metals expected to start in 2009.

The firm is confident that the project will be one of the "lowest cost producers" in the platinum industry.

Ian Watson, Chief Executive Officer of Platmin, said that the contract would allow for easier predictions of operating costs for the project, as well as a clearer route to production.

Production of platinum is expected to begin early next year and it could reach 250,000 oz/year of platinum, palladium, rhodium and gold.

According to Mining Weekly, it could reach this target by the middle of 2009.

Construction is on schedule and Terry Holohan, Chief Operating Officer of Platmin, said that 85 per cent of the cost of the R1.6 billion project had been spent.

The mining schedule is expected to be about three months ahead of the original study after mining equipment was brought on site early.



Source:

Platmin awards R4,8bn mining contract to MCC, 22/07/08
http://www.miningweekly.com/article.php?a_id=138630