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DML optimistic on copper mine project
Own Correspondent
March 11, 2010
 
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  • GABORONE – Discovery Metals Limited (DML), a Botswana Stock Exchange (BSE) and Australian Stock Exchange (ASX) outfit, is upbeat on developments at its core Boseto copper project.

    The development comes after DML announced that its copper concentrate sales contract has been awarded to Transamine, a global non‐ferrous raw materials trading company. Transamine will subscribe for 25 million Discovery Metals’ shares and the A$19 million raised will be used for the construction of the Boseto Copper Project after internal and external approvals.

    “Discovery Metals continues to advance towards its goal to commission Botswana’s largest copper mine in late 2011,” said Discovery Metals’ Managing Director, Brad Sampson in a commentary on the company’s half year results released on Wednesday.

    “We have made significant progress and are on the cusp of moving from an exploration and feasibility company into a development company.  We have tracked our path through the Global Financial Crisis and, with continued support of our shareholders, expect to realize the first development of the Kalahari Copper Belt in north-west Botswana.  The year ahead is full of excitement and plenty of hard work,” he added.

    Situated in the north-west of Botswana approximately 80 kilometres south‐west of the town of Maun, Boseto is currently in its Bankable Feasibility Study (BFS) stage with completion of work timetabled for the end of March 2010.

    According to the report the economics for Boseto copper project was updated in September 2009 and shows a very robust project at copper prices above Australian $2.00 per pound

    The Boseto copper project comprises fourteen (14) prospecting licences covering an area of 10,100 square kilometres in north-western Botswana.  The project covers a large area of significant copper-silver mineralisation within the Ghanzi Formation.

    During the last six months of 2009, DML continued to focus its activities on the copper project.  Copper in the Boseto Project area occurs predominantly in chalcocite, with minor amounts of bornite and other copper sulphides present. At shallow depths, malachite and chrysocolla exist in significant proportions within some areas of the mineral resource.

    Meanwhile, activities at the company’s second project Dikoloti nickel project in eastern Botswana recommenced following the signing of a Joint Exploration Agreement with the Japanese government agency, JOGMEC.

    “We are also pleased to welcome JOGMEC as the funder and partner for continued exploration of the Dikoloti Nickel Project in eastern Botswana.”

     
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