- Mayur Resources (MRL) has progressed its Orokolo Bay Project by officially lodging a mining lease application for the asset
- Orokolo Bay is located in Papua New Guinea and represents one of the country’s first iron and industrial minerals projects
- Mayur is planning to produce vanadium titano-magnetite (VTM), dense medium separation magnetite, high-grade silica construction material and zircon rich heavy mineral concentrate
- The company will now await for project approval from the PNG Government, stating the application was the final step to making Orokolo Bay shovel-ready
- Shares in MRL are trading up 3.13 per cent at 33 cents each
Mayur Resources (MRL) has successfully progressed its Orokolo Bay Project by lodging a mining lease application with the Papua New Guinea Government.
Orokolo Bay is located within PNG’s Gulf Province and represents one of the country’s first iron and industrial minerals project.
The application lodged by Mayur relates to full-scale production, which would see 0.5 million tonnes per annum of vanadium titano-magnetite and dense medium separation magnetite produced.
Additionally, one million tonne per annum of high-grade silica construction material and 8000 to 10,000 tonnes per annum (tpa) of a zircon rich heavy mineral concentrate would be produced.
The company is now awaiting on approval of the application from the PNG Government’s Mineral Resources Authority (MRA).
The MRA will review the application, which is supported by a recently completed definitive feasibility study (DFS), as well as land ownership studies.
Mayur Resources Managing Director Paul Mulder said once approval was granted, the project would be shovel-ready.
“Orokolo is a simple, onshore, near-surface mining and processing operation with no requirement for grinding or chemical processing and a capital cost
of only US$22 million (around A$29.1 million),” he said.
“We therefore anticipate being able to work quickly with the MRA on this assessment. We’ve already secured funding for the project which will not require further dilution and is exposed to an attractive forward-looking earning profile from next year,” Paul added.
Mayur shares are trading 3.13 per cent in the green at 3:49 pm AEDT, at 33 cents each.