Sylvania Resources yesterday (29th October) announced R224 million plans to build two new chrome and platinum recovery plants at the Tweefontein and Doornbosch chrome mines in South Africa.

The company confirmed that it intends to commence construction at the two Samancor Chrome sites in the third and fourth quarters of the 2009 fiscal year, while commissioning has been pencilled in for January 2010.

It is believed that the move will allow Sylvania to increase peak production by 33,000 oz PGM per year, meaning the current 80,000 oz PGM target set for 2010 will be raised to 113,000 oz PGM for 2011.

Although the plans - which will also see steady-state production rise 144 per cent to 61,000 oz PGM - are still in their formative stages, the company is enthusiastic about the venture.

MD Terry McConnachie said: "It is very gratifying that we can leverage off the growth in the chrome mining activities, thus continuing to deliver on our promise to shareholders of increasing PGM production from surface resources with the trademark Sylvania characteristics of low risk, low cost and high margin."

The firm has allocated R107 million for Tweefontein and R117 million for Doornbosch as part of the project, which was conceived as a result of rapidly expanding production at both mines.

Sylvania processes platinum from chrome tailings dumps, a strategy which tends to be much safer than underground platinum production.



Source:

Sylvania to build new chrome, platinum recovery plants in SA (29/10/08)
http://www.miningweekly.com/article.php?a_id=146339