From Melbourne, Panoramic Resources, a company listed on the ASX, said on Friday that it plans to restart its Savannah nickel project in Western Australia as early as the first half of 2021.
The company said that because it is currently in the pandemic period, which has adversely affected the transportation and the availability of personnel, equipment and supplies on the site, in April this year, the company decided to suspend the production of the Savannah project.
On Friday, the company’s announcement of the nickel ore reserves and mine development plan also confirmed that the project is still an attractive opportunity for nickel sulfide restart in the near future, and the mine’s lifespan has been extended to 13 years.
According to the new development plan, in the first 12 years of the mining life of the ore, its annual nickel production (concentrated nickel content) is 8,810 tons/year nickel. In addition, 4,579 tons of copper and 659 tons of nickel will be produced each year. Cobalt, the average total cost is estimated to be 7.54 AUD/lb.
Based on the latest estimates, the mine contains 48,500 tons of nickel and 7,000 tons of cobalt.
Panoramic MD and CEO Victor Rajasooriarr said: "Savannah's updated mine plan and ore reserves lay the foundation for the potential future restart of the business and confirm the significant value of the asset."
"This latest technical study includes the results of all the drilling done in Savannah and applies the knowledge we have learned from recent operating experience. In this way, we further reduce the risk of potential project development."
