Operations commenced at the beginning of 2024 to bring the mine into production
Bora Mining Services (BMS) has acquired a share in the Steenkampskraal Monazite Mine (SMM) for an undisclosed sum as a strategic partner. SMM is one of the world’s highest average grade rare earths and thorium mines.
The partnership enabled operations to commence at the beginning of 2024 to bring the mine into production. BMS will provide the capital, staffing and equipment to commence with the refurbishment, preliminary construction work and mining contract services.
“It is a brownfields project with developed underground and surface infrastructure with approximately R1-billion already invested into the mine’s infrastructure,” said CEO and owner of BMS, Enock Mathebula, who has been appointed Chairman of Steenkampskaal Holdings Limited (SHL).
“Steenkampskraal offers significant investment opportunities as one of the highest grade rare earths resource in the world at 14.5% contained TREO+Y2O3 on average, greater than 90g/ton gold equivalent,” he said.
“Mr Mathebula is a successful entrepreneur who has developed a group of companies focused on actively supporting the mining industry as contractors for underground, rehabilitation and surface mining operations. His contribution through the Enock Mathebula Foundation is immense with the provision of numerous social upliftment, training and mentoring programmes,” explained Graham Soden, CEO of Steenkampskraal Monazite Mine.
“BMS is a full-service underground and surface mining company specialising in integrated management solutions. Understanding client’s needs, they work to develop innovative approaches and apply high-speed methodologies to both development and production scopes,” Mr Soden said.
“Following recent discussions and positive feedback from the National Nuclear Regulator (NNR) and the Department of Mineral Resources and Energy (DMRE) the decision was made to go ahead with BMS to provide a turnkey solution for the development of the project. With the official start-up date in the first week of January 2024, the first monazite concentrate is expected to be produced around mid-fourth quarter this year,” he added.
As part of the production strategy, Obsideo Consulting will be contracted on a Hybrid BOOT (Build, Own, Operate, Transfer) system to produce monazite concentrate. Initially, this will compromise 30% TREO (Total Rare Earth Oxide) in Phase 1a. This will progress to producing monazite concentrate containing 50% TREO in phase 1b.
“The mine has a known resource of about 605,000 tonnes (NI 43-101 compliant classification) at an average grade of 14.5% Total Rare Earth Oxides (TREO) for a total of 86,900 tonnes contained TREO. The total quantity of neodymium in the mine is 15,600 tonnes at a grade of 2.58% Nd2O3. There is great potential to further increase the mineral resource beyond the current mine area through an ongoing exploration programme,” Mr Soden added.
“The dynamic growth strategy covers producing monazite concentrate with the construction of a monazite concentration plant in phase 1, followed by the construction of a cracking plant to produce mixed rare earth carbonate (MREC) and thorium in phase 2. Preliminary investigations and discussions are underway to develop a separation plant to produce individual rare earth (RE) oxides in phase 3,” Mr Mathebula said.
Mr Soden said that the first phase of a three phase process will involve the mobilisation of mining and processing plant and equipment to the site, refurbishing the decline and shaft area, and re-equipping the headgear and infrastructure.
He said there are ongoing negotiations for the purchase of the concentrate generated from Phase 1 and into Phase 2. “The thorium product is traversing well which effectively could fast track Phase 2. Off-take negotiations are ongoing to supply rare earth product to the Far East, Europe and USA/Canada, all of which could fast track the development scheduling of the various phase substantially.”
Mr Soden noted that the thorium market has changed significantly in recent years. “A number of enquiries have been received both locally and internationally for thorium as a nuclear fuel for replacement of uranium. The safety and environmental benefits far overshadow uranium. Thorium isotopes are also in demand for cancer therapy and ongoing discussions are underway to supply thorium to allow the extraction of these isotopes.”
The second Phase will involve increased mining volumes and monazite concentrate production and all metallurgical test work, design and planning for the construction and commissioning of a monazite cracking plant. This will produce MREC and thorium. In this phase the design and planning of a RE separation plant will also be undertaken.
In Phase three the construction and commissioning of the separation plant will be completed to produce mixed RE oxides. The period January 2026 to December 2026 will see the cracking plant commissioning and initial production of MREC and thorium.
“The period January 2027 onwards will see the steady state production of monazite concentrate to the cracking plant with the production of MREC and thorium with plans to produce individual RE oxides,” Mr Soden added.
He said the Steenkampskraal mine deposit is rich in Neodymium, Praseodymium (NdPr), Dysprosium, Terbium and other RE minerals. The primary REO content elements of the mine are Neodymium – 18%, Dysprosium – 1%, Praseodymium – 5.1%, Terbium – 0.2% Gadolinium – 2% and Cerium – 45.3%.
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