Cadence Minerals (KDNC ) has completed the refurbishment of its Azteca processing plant at the Amapá iron ore project in Brazil.
The plant now moves into commissioning, although commercial operations and shipments remain subject to successful commissioning and receipt of the operating licence (Licença de Operação).
Cold commissioning is scheduled to start next week. The completed equipment, electrical distribution and control systems will be tested without ore. Completion of this stage will allow the programme to move into wet commissioning. Wet commissioning will introduce process water and trial material through the wet circuit. Hot commissioning remains subject to completion of the applicable regulatory requirements. Hot commissioning will involve limited processing of run-of-mine material to tune plant grade and recovery. Any concentrate produced during this stage will be stockpiled.
"Mechanical completion closes the refurbishment phase,” said Kiran Morzaria, chief executive of Cadence.
“The next job is to prove the plant through commissioning. We will progress sequentially through cold, wet and hot commissioning, identifying and resolving issues as they arise. Commercial operations and shipments remain dependent on successful commissioning and grant of the operating licence. Azteca is intended to establish the first production and cash-flow platform at Amapá. Successful delivery would move the project from refurbishment into operations and support the wider redevelopment strategy."
View from Vox
This is great progress from Cadence, and a good demonstration of its ability to deliver on stated goals. The initial plan at Azteca is for the processing of 380,000 tonnes of approximately 65% Fe concentrate from existing tailings per year. This will generate early cash flow to support ongoing operations and the broader development of the wider Amapá project, which is orders of magnitude bigger.