Freda Rebecca
 

Klipspringer Diamond Mine

Klipspringer resource – Leopard fissure
Gross Net attributable
  Tonnes (millions) Gross grade (cpht)(1) Contained diamonds (Mcts) Tonnes (millions) Gross grade (cpht)(1) Contained diamonds (Mcts)
Measured 0.211 51.57 1.109 0.148 51.57 0.076
Indicated 0.433 51.57 0.223 0.303 51.57 0.156
Inferred 1.565 83.00 1.299 1.095 83.00 0.909
Total 2.209 73.83 1.631 1.546 73.83 1.141

Notes: 211,000t of proven reserves at a grade of 51.57cpht have been transferred to measured resources while the mine is on care and maintenance;
433,000t of probable reserves at a grade of 51.57cpht have been transferred to indicated resources while the mine is on care and maintenance.

Klipspringer slimes retreatment project:
  Year ended – March 2014
Tonnes treated 23,019
Carats recovered 20,386
Grade (cpht)(1) 88.60
Revenue $334,972
Carats - unsold 4,444

The project will also be exploring other revenue-generating opportunities such as diamond recovery from the tailings dump and the sale of washed aggregate material for the building industry.

Full name:
Klipspringer Diamond Mine
Mwana interest:
Mwana holds 65% of the project.
Geology and history:
The Klipspringer Diamond Mine in South Africa is located 250 km north of Johannesburg and 35 km south of Polokwane, the provincial capital of the Limpopo Province. The mine is a joint venture between Mwana and Naka Diamond Mining (Pty) Ltd (“Naka”), a Black Economic Empowerment company.
The Project consists of several en echelon (staggered or overlapping) kimberlite fissures and blows trending in a northeast orientation, and includes the Leopard Fissure, the Sugarbird Fissure, the Sugarbird Blow, the Kudu Fissure, and the Kudu Blow, amongst others.
As a result of severe weather incidents in December 2010 and January 2011, which flooded the shaft bottom and lower (7) level of the Leopard fissure, the mine was placed on care and maintenance. Ultimate funding from Mwana, has continued to maintain the asset in a ready state and at the same time the interest in the joint venture has increased to almost 70% due to non-investment by the BEE partner in the working capital requirements of Klipspringer.
Care and maintenance will continue until a source of finance is secured to restart the mine and has ensured that the mine will be in a position to take advantage of favourable market conditions. The evaluation of options to re-open the underground operation along the Leopard fissure will continue.
Resources:
As part of the mine recovery phase it is planned to generate a computerized model of the mine for resource statement purposes.
  • (1) Carats per hundred tonnes
Slimes retreatment project
In October 2012, an agreement was signed with Greenhurst Mining and Exploration to re-treat fine-residue tailings at Klipspringer on a profit-sharing basis. Construction and commissioning of the processing plant with a capacity of 50t per hour was completed by the end of September 2013. At steady state, the plant is projected to produce from 15,000 to 20,000 carats per month from the old Marsfontein fine residue tailings deposit.
In November 2013, Klipspringer sold its first parcel of diamonds (1,512cts) under the Greenhurst agreement. During FY2014, production of diamonds more than doubled, quarter on quarter, as a result of the treatment of 16,000t of fine-residue tailings, at an average grade of 88.5cts/100t. An average selling price of $21/ct was achieved. Following process changes in the plant, including screening improvements and a DMS surge bin, a substantial increase in throughput is expected and thus a significant contribution to Klipspringer’s monthly care-and-maintenance costs should follow in FY2015.
  • (1) Carats per hundred tonnes
Geological maps: