Modern Mining

Rainbow, the AIM-quoted rare-earth element mining company, reports that independent laboratory testing recently undertaken in respect of its ‘main vein’ at Gasagwe in Burundi has returned an average Total Rare Earth Oxide (TREO) grade of 62,17 %. Gasagwe is the area within the company’s 39 km2 mining licence which is expected to provide ore for the first two years of production, which is targeted to commence in Q4 2017.

Exceptional rare earth grades confirmed at GasagweView of the Gasagwe mine site in July this year (photo: Rainbow).

The grade compares extremely favourably to the average grade of 57 % contained within mineralised veins across the project area as disclosed in the Competent Person’s Report compiled by MSA and contained in Rainbow’s IPO prospectus published in January 2017.

Martin Eales, CEO of Rainbow, commented: “This really is fantastic news. We always knew that the Gakara project was capable of delivering grades far in excess of industry norms, but to get this level of average TREO content from our first mining area is a wonderful boost as higher grade means that we shall achieve higher prices for each tonne of concentrate sold.

“Taking into account the continued strengthening of rare earth prices over recent months, the Gakara project continues to add to its excellent potential. We are now gearing up towards our first production and sales of high-grade concentrate through our multinational distribution partner thyssenkrupp Raw Materials in Q4 2017.”

The laboratory testing was undertaken by ALS Chemex using its facilities in Canada and reviewed 20 individual ore samples taken from the main vein at Gasagwe.

In order to facilitate the production of rare earth concentrate from the run of mine material produced during mining, the company is constructing a processing plant at Kabezi, which has been designed to operate on a batch basis with the capacity to produce over 5 000 t/a of rare earth concentrate without incremental capital expenditure.

The run of mine material will be processed simply by physically separating the mineralised vein material from the waste rock without requiring chemical processing.

According to Rainbow, the project is proceeding well. At the Kabezi site, civils are well underway and the first containers of plant components have been dispatched from South Africa ahead of assembly during September and October 2017. At the Gasagwe mine site, work continues to expose the main vein ahead of full-scale mining operations.

Rainbow recently hosted the President of the Republic of Burundi, Pierre Nkurunziza, and other notable guests at an inauguration ceremony for the Gakara project on 21 July.

Contact Modern Mining

Title: Editor
Name: Arthur Tassell
Email: mining@crown.co.za
Phone: +27 11 622-4770
Fax: +27 11 615-6108

Title: Advertising Manager
Name: Bennie Venter
Email: benniev@crown.co.za
Phone: +27 11 622-4770
Fax: +27 11 615-6108

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