Jervois Global Limited has announced that it has commenced the first stage of plant commissioning at its Idaho Cobalt Operations mine site (ICO), following a successful opening ceremony on 7 October 2022.
Highlights:
Jervois celebrated the official opening of the ICO near Salmon, Idaho on 7 October, with US federal and state government representatives and the Australian ambassador to the US in attendance.Jervois has commenced initial commissioning activities at ICO, with an expectation of nameplate capacity to be sustained by the end of 1Q23.Once commissioned, ICO will be the only cobalt mine in the USJervois is evaluating ways to optimise near term operating plans, including to address costs pressures resulting from US inflationary headwinds.
ICO is commencing a commissioning phase during October, with equipment undergoing final completion testwork ahead of continuous commercial concentrate production expected across 4Q22. Jervois continues to expect to achieve full nameplate capacity by the end of 1Q23.
Drilling
Across 2022, Jervois has announced a US$4.8 million, or 46 000 ft, drilling campaign targeting both infill and expansion of the existing known mineral reserve and resource. To date, the company has completed 27 000 ft of drilling, which for infill has reduced drill hole spacing and which is expected to underpin mining in 2023 and into 2024. Given the underground access which has now been opened via mine development, surface drilling (including targeted resource expansion holes) is now switching to underground, where productivity is expected to improve and can continue through the upcoming winter. An updated Australian JORC and Canadian National Instrument (NI) 43-101 Mineral Reserve and Resource Estimate is expected to be published in 2Q23.
Mine development
Ore delivery to the plant on the ICO site is expected to begin this month, with multiple ore faces now available for production mining. Underground mine infrastructure including the underground fuel island, triple clarifying sumps and the main shop are nearing completion. Mine development continues with a focus on vertical development, to support additional production ore faces.
Plant commissioning
Following the opening ceremony, plant commissioning will commence shortly with steady state production at nameplate capacity expected by the end of 1Q23.
Offtake
As there are no cobalt refineries in the US, the cobalt concentrate produced at ICO must currently be sent outside the country for refining. Jervois has an option to refine ICO cobalt concentrate at its 100%-owned São Miguel Paulista (SMP) refinery in São Paulo, Brazil, and is continuing its negotiations with third-party processors in countries allied to the US. Jervois will sell copper concentrate from ICO into North American markets.
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