The Nebo and Babel deposits (jointly referred to as Nebo-Babel) are the largest nickel-sulphide discovery since Voisey’s Bay in Canada in 1993 and the first major discovery in the West Musgrave region.
The Project features:
· Low technical risk due to open pit mining methods and con
ventional processing of ore;
· An operating cost profile at the lower end of existing nickel and copper producers;
· An initial mine life >8 years with scope to increase this to beyond 15 years; and
· A large scale depoist, producing high quality nickel, copper and cobalt metal concentrates.
In April 2015 a positive Scoping Study was completed for Nebo-Babel demonstrating a technically robust project with a long initial mine life; low operating cost profile; and high quality product.
Outcomes from a further Scoping Study announced in November 2017 confirm the positive economic viability for a large, low cost mine, while de-risking key technical aspects including metallurgy and non–process infrastructure costs.
The Study evaluated several development scenarios and determined that a 10Mtpa operation provides the most favourable project economics. Average annual production is estimated to be 20-25Kt of nickel and 25-30Kt of copper in concentrate. The first three year of production are also expected to be higher with potential for 25-30Kt Ni and 35-45Kt Cu in concentrate, improving Cassini’s capital payback period.
The Nebo-Babel Mineral Resource estimate was also updated during the Study, completed by independent resource consultancy, Golder Associates Pty Ltd (Golder Associates). A nickel cut-off grade of 0.25% has been selected for the Mineral Resource Estimate summarised below.
Ni metal (%)
Cu metal (%)
A pre-feasibility study (PFS) will now commence managed by JV partner OZ Minerals Ltd, while Cassini continues to manage on-ground activities associated with the PFS and the regional exploration program.