RSS UpdatesCompany Information for Chromex Mining Plc
Company stock charts - 6 Month chart
 AIM; CHX
View full financial data |
Company Statement
Chromex Mining plc (AIM: CHX) is an AIM quoted dedicated chrome company established to acquire, control and develop chromite mining and processing facilities. It currently has two key mining assets located on the Bushveld Complex in South Africa, which between them have total resources of approximately 41 million tonnes of chromite.
Stellite Project – Western Limb
- 31.9Mt opencast and underground resource with a New Order Mining Right
- Commenced production July 2008
- Benefication plant commissioned June 2009
Mecklenburg – Eastern Limb
- 9.6Mt underground resource with a bankable feasibility study completed in March 2007, New Order Mining Right
Chromex is focused on growing its current resource base with near production projects to supply beneficiated chrome products into the ferrochrome and stainless steel markets. In addition the Company continues to review additional prospects.
Current Operations
Stellite
The 271 hectare Stellite chrome project, located on the Western Limb of the Bushveld complex in South Africa, has a New Order Mining Right and 31.9Mt of chrome resources comprising four seams, namely the LG6, MG1, MG2 and MG4. All four seams outcrop on the property and it’s anticipated that circa three million tonnes will be open cast. The project has been extensively drilled and has had approximately 170,000 tonnes of chromite mined and sold both to the domestic and international chrome markets.
Chromex commenced producing run-of-mine (‘ROM’) chrome ore in July 2008. Chromex is constructing a 40,000 tonne per month beneficiation plant which will produce metallurgical, chemical and foundry grade sands. The plant is expected to be completed and commissioned during the second quarter of 2009. Output at the mine has been significantly reduced due to market conditions and is expected for the short term to be producing approximately 10,000 tonnes per month of beneficiated chrome sands once commissioned.
| Gross Stellite Chrome Project Mineral Resources ** | ||||||||
|---|---|---|---|---|---|---|---|---|
| Chromite Seam | Opencast Mineral Resources * | Underground Mineral Resources * | ||||||
| Tonnes (mt) | Cr2O3 (%) | Cr:Fe | Tonnes (mt) | Cr2O3(%) | Cr:Fe | |||
| LG6 | 0.55 | 40.8 | 1.5 | Inferred | 7.81 | 40.8 | 1.5 | Inferred |
| LG6A | 0.28 | 38.8 | 1.4 | Inferred | 3.98 | 38.8 | 1.4 | Inferred |
| MG1 | 1.09 | 39.8 | 1.4 | Inferred | 3.63 | 39.8 | 1.4 | Inferred |
| MG2 | 1.60 | 36.9 | 1.3 | Inferred | 3.29 | 36.9 | 1.3 | Inferred |
| MG4L | 1.84 | 36.0 | 1.3 | Inferred | 3.85 | 36.0 | 1.3 | Inferred |
| MG4U | 1.34 | 36.0 | 1.3 | Inferred | 2.66 | 36.0 | 1.3 | Inferred |
| Total | 6.70 | 37.3 | 1.3 | 25.23 | 38.3 | 1.4 | ||
* Opencast Mineral Resources refer to Resources to a depth of less than 40m and Underground Resources refer to Resources at a depth of greater than 40m.
** The table details the gross mineral resources of the project of which 74% is attributable to Chromex.
Mecklenburg Project
Chromex has a New Order Mining Right over the Mecklenburg farm in the Limpopo Province, South Africa, where it intends to mine chromite. Mecklenburg is located on the Eastern Limb of the Bushveld Complex, well known for hosting much of the world’s known resources of platinum, but also a major source of chromite. The LG-6 and LG-6A chromite reefs, which outcrop at surface at Mecklenburg, comprise approximately 9Mt and 5.7Mt of chrome resources and reserves respectively. Once regulatory issues have been resolved and market conditions improve Chromex intends to mine this resource over a 10 year period with a target production rate of 60,000 tonnes per month of underground run of mine ore.
| Mecklenburg Chrome Project* | ||||||||||
| Chromite Seam | Mineral Resources | Mineral Reserves | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Tonnes (mt) | Cr2O3 (%) | Cr:Fe | Classification | Tonnes (mt) | Cr2O3 (%) | Cr:Fe | Classification | |||
| LG6 LG6a | 2.43 0.81 | 43.6 42.8 | 1.7 1.7 | Measured Measured | 3.15 | 26.8 | 1.7 | Proven | ||
| LG6 LG6a | 1.95 0.67 | 43.9 42.6 | 1.7 1.7 | Indicated Indicated | 2.53 | 26.8 | 1.7 | Probable | ||
| LG6 LG6a | 2.37 0.82 | 42.3 41.1 | 1.7 1.7 | Inferred Inferred | ||||||
| Total | 9.05 | 43.0 | 1.7 | 5.68 | 26.8 | 1.7 | ||||
* Total resources controlled by Chromex
The LG-6 Units are the most important chromite targets in the Bushveld Complex as they combine both the the highest grades and uniform thickness. Analytical results from the LG-6 and LG-6A chromite layers substantiate the geochemical continuity known throughout the explored area and indicate that the chromium grade is similar to that being mined elsewhere in the Bushveld Complex.
It is anticipated that a moderate percentage of the ore will remain as coherent blocks or fragments producing a product called lumpy ore, the preferred product for supply to smelters. Other mines close to Mecklenburg have produced up to 40% lumpy ore. Given the physical test-work from the trial mining exercise it is anticipated that lumpy production from a mining operation could be at a similar level.
Importantly, the project’s location allows the mine to tap into the current water, electricity and tailings infrastructure from Anglo Platinum’s Twickenham mine.
Geographical Spread
Chromex’s projects are located on the western and eastern limbs of the Bushveld Complex in South Africa where in excess of 70% of the worlds chrome resources are located and 40% of chrome production is sourced.
Board of Directors and Key Management
| Brian Moritz | Chairman |
| Russell Lamming | Chief Executive |
| Graham Stacey | Chief Operating Officer |
| James Burgess | Executive Director |
| Robert Sinclair | Non-Executive Director |
Company Address36 Dover Street
|
Additional Address/Key ContactSouth Africa |
CapitalIssues Shares - 85,002,650 |
Year End30 September |
Nominated BrokersAstaire Securities PLC | Nominated AdvisorsAstaire Securities Plc |
Major Shareholders
| FOREST NOMINEES LTD | 38.8% |
| HSBC GLOBAL CUSTODY NOMINEE (UK) LTD | 8.5% |
| REDMAYNE (NOMINEES) LTD | 5.9% |
| MORITZ | 5.9% |
| LYNCHWOOD NOMINEES LTD | 5.0% |
| VIDACOS NOMINEES LTD | 3.9% |
| SAAD INVESTMENT COMPANY LIMITED | 3.79 |
Related News
18/05/10 - Chromex Is In An Expansive Mood, With Output Rising At Stellite, And More Acquisitions Likely To Follow On From The Recent Foray Into Zimbabwe16/02/10 - Chromex Mining Plans To Double Its Output Of Chrome Products By September
21/05/09 - Chromex Prepares To Bring Its New Processing Facility On Stream.
18/03/09 - The Chrome And Ferrochrome Markets May Be Shot To Pieces, But Chromex Mining Remains Resolutely Cash Flow Positive
07/01/09 - Chromex Keeps Its Head Above Water With New Plans For The Stellite Chromite Mine
Most Recent Statement
16/07/10 - Rule 2.10 Announcement29/06/10 - Interim Results
25/05/10 - US$5 Million Capital Project Funding
17/05/10 - New Appointments
10/05/10 - Acquisition of Waylox Mining (Pvt) Ltd
06/04/10 - Directorate Change