Metro Mining announced that the Board of Directors has approved a Final Investment Decision (FID), subject to financing – to expand the capacity of its Bauxite Hills Mine to 7.0 Million Wet Metric Tonnes per annum.
Metro’s Managing Director and Chief Executive Officer Simon Wensley said the approval for the expansion was underpinned by securing additional binding offtake with Xinfa Aluminium Group for 2023 and 2024.
“The completion of the expansion DFS confirms Bauxite Hills Mine as a highly profitable, low-cost, long-life producer of good quality bauxite,” he said.
“This brownfield expansion is low risk and low capital expenditure, with 100% binding offtake now confirmed for 2023 and 2024 with our established customer Xinfa, and no further approvals required.
“The choice of a Second Floating Crane Barge makes enormous sense given the experience we have gained and we expect to gain a number of operational efficiencies from running two Floating Cranes.
“Expanding to 7 M WMT pa is perfectly timed to respond to bauxite market conditions expected to be very strong in the next few years. The scale benefits mean that the prospective financial returns are outstanding and I thank Greenstone and Lambhill for their support to move immediately to accelerate implementation. ”
The project is expected to cost $28.3 million.