The West Musgrave project is located in the Musgrave Province of Western Australia and includes the Nebo-Babel nickel-copper and Succoth copper deposits. OZ Minerals is hoping to establish the West Musgrave project as a scaleable, low cost, long life, open pit mining operation.
The tenements have excellent potential for the discovery of further magmatic nickel-copper sulphide systems. Copper and nickel intersections have been returned from drilling at several other prospects.
In June 2020, we announced our intention to acquire Cassini Resources who we signed a joint venture agreement with in August 2016, via a Scheme of Arrangement to consolidate our ownership of the West Musgrave Project to 100%. This was implemented on 5 October 2020.
In November 2017, together with Cassini Resources, we announced that the West Musgrave project would progress to a pre-feasibility study. This pre-feasibility study timeline was extended in 2019 so a detailed evaluation of additional value-add opportunities could be done. The most significant, the use of a dry vertical roller mill to reduce power consumption, has been complemented by reducing the onsite workforce through remote operations, optimising power supply and demand, and using alternative processing technologies.
In parallel with the pre-feasibility study, we have developed stronger relationships with the local community and progressed baseline environmental studies with a view to submitting regulatory approvals documentation in 2020.
Discussions with the Traditional Owners are ongoing, with a view to developing a Mining Access agreement.
For more information on this project, please refer to the ASX Releases section of the website.