Cadence confirms hot commissioning start of Azteca iron-ore process plant
Aim-listed early-stage mining investor Cadence Minerals has confirmed the start of hot commissioning at the Azteca processing plant, as part of the Amapá iron-ore project, in Brazil.
Cadence holds a 36.2% interest in Pedra Branca Alliance, which owns 100% of the owner and operating company of Amapá, DEV Mineração.
After completing cold and wet commissioning at the plant, DEV has started processing existing feed material to assess throughput, concentrate grade and recovery, at plant capacity rates of between 25% and 50%.
The Azteca plant is using magnetic separators and spirals to recover iron from existing material that was previously mined, crushed, ground and partly concentrated. The feed comes from historic stockpiles identified in the commissioning plan.
The commercial operation of the Azteca plant remains subject to successful commissioning and receipt of an operating licence. DEV expects to provide supporting maintenance and environmental monitoring documentation to authorities this week.
DEV aims to produce 380000 t/y of 65% iron once the plant enters commercial production.
The company is also undertaking repairs to a nearby bridge, with completion targeted before the first shipment of iron is due from the plant.
Cadence CEO Kiran Morzaria comments that with the Azteca refurbishment being complete, the companies now have to prove the performance of the plant. "Our team is putting existing material and infrastructure back to work, focused on consistent results as we work towards commercial operations.
“Credibility comes from delivery. Producing a consistent product and delivering it to customers would establish an operating record at Amapá that shareholders, potential partners and financiers can assess," Morzaria states.
He adds that successful operation of the plant could also generate cash to help advance Cadence and DEV's larger Amapá redevelopment strategy, after operating needs and funding obligations are met.
