Iluka completes Sri Lanka pre-feasibility study, bombings delay investment

ECONOMYNEXT – Australian mineral sands miner Iluka Resources Ltd. has said it has completed a pre-feasibility study of a Sri Lankan ilmenite deposit it wants to mine but recent suicide bombings had delayed plans for investment.

The company, one of the world’s biggest producers of minerals sands, withdrew its team on the island after April’s bombings of churches and hotels that killed over 250 people.

A pre-feasibility study on the Puttalam deposit on the island’s northwest coast, 170 kilometres north of the capital Colombo, has been completed, a statement said.

The study included work packages relating to pre-mining or baseline conditions of the Puttalam deposit.

“Following the devastating Colombo terrorist attacks in April, Iluka withdrew its project team from the country,” the statement said.

“Since this time, Iluka has re-commenced limited engagement activities with the government on legal and investment terms for the development.

“However, as expected given the circumstances in country, progress has been slower over the period.”

Iluka said it has spent 4.8 million dollars on exploration and evaluation of the deposit in the first half of 2019.

The company is in talks with the government on legal and investment terms for the development of the Puttalam deposit.

These include securing surface access rights, ministerial and other government approvals for any subsequent mining licence and reaching a deal with the government on fiscal and other arrangements that will apply to the project.
(COLOMBO, 20 August, 2019)

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Iluka completes Sri Lanka pre-feasibility study, bombings delay investment
ECONOMYNEXT – Australian mineral sands miner Iluka Resources Ltd. has said it has completed a pre-feasibility study of a Sri Lankan ilmenite deposit it wants to mine but recent suicide bombings had delayed plans for investment.

The company, one of the world’s biggest producers of minerals sands, withdrew its team on the island after April’s bombings of churches and hotels that killed over 250 people.

A pre-feasibility study on the Puttalam deposit on the island’s northwest coast, 170 kilometres north of the capital Colombo, has been completed, a statement said.

The study included work packages relating to pre-mining or baseline conditions of the Puttalam deposit.

“Following the devastating Colombo terrorist attacks in April, Iluka withdrew its project team from the country,” the statement said.

“Since this time, Iluka has re-commenced limited engagement activities with the government on legal and investment terms for the development.

“However, as expected given the circumstances in country, progress has been slower over the period.”

Iluka said it has spent 4.8 million dollars on exploration and evaluation of the deposit in the first half of 2019.

The company is in talks with the government on legal and investment terms for the development of the Puttalam deposit.

These include securing surface access rights, ministerial and other government approvals for any subsequent mining licence and reaching a deal with the government on fiscal and other arrangements that will apply to the project.
(COLOMBO, 20 August, 2019)

 

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