Investee Company Operational Update

RNS Number : 4081L

Kennedy Ventures PLC

03 October 2016

 

3 October 2016

Kennedy Ventures plc

Kennedy Ventures plc

Investee Company Operational Update

Kennedy Ventures plc ("Kennedy Ventures" or "the Company"), the AIM quoted investment company, who through its stake in African Tantalum (Pty) Limited ("Aftan") has an interest in the Tantalite Valley Mine ("TVM") in Namibia, is pleased to announce that it has been informed by Aftan that the testing programme of the plant upgrade at the Homestead Project ("Homestead") has been successful and is ramping up to full capacity with commercial rate production expected from next week.

As previously reported, Aftan's mining operations have continued throughout the upgrade. The new compressor has been installed. The underground loader and Bell tractor and trailer are currently en route to site and should enable mining production to be ramped up to full capacity.  The increased mining rate target of 15,000 tonnes per month, together with the existing stockpile, will ensure continuity of plant operations.

The plant modules are performing as per design specifications and production is being ramped up as each section completes testing. Full commercial production at the new higher target rate of 15,000 tonnes per month is expected to be reached during next week and first shipment of tantalite concentrate to Aftan's offtake partner is anticipated to take place in the second half of the month, and twice per month thereafter.

Aftan has advised that further fines recovery equipment will be installed in the first two weeks of October without disrupting production and this is expected to increase the recovery of fine tantalite.

Aftan continues to assess the potential of the lepidolite lithium deposit as well as the occurrence of lithium in the other pegmatite bodies and both geological and metallurgical studies are in an advanced position.

Renier Swiegers, General Manager of TVM, said:

"I am very pleased that the progress of the plant upgrade and the testing has gone according to plan. I look forward to the mine resuming full production imminently and recommencing tantalite shipments in the second half of this month."

Giles Clarke, Chairman of Kennedy Ventures, said:

"The upgrade is part of the overall strategy to maximise production and, upon commercial production, we hope that Aftan will quickly reach a cash generative position. Aftan's ongoing investigations into the lithium potential at Tantalite Valley continue to be exciting and we look forward to updating shareholders as this work progresses and Aftan provides further updates."

For further information on the Company, visit: www.kvplc.com:

Kennedy Ventures plc
Peter Hibberd (CEO), c/o Billy Clegg	Tel: [phone]
Grant Thornton UK LLP (Nominated Adviser) Colin Aaronson Richard Tonthat Daniel Bush	Tel: [phone]
Shore Capital (Broker) Mark Percy / Toby Gibbs (corporate finance) Jerry Keen (corporate broking)	Tel: [phone]
Camarco (PR) Billy Clegg / Gordon Poole Tom Huddart	Tel: [phone]

 

END

 

 

UPDEBLFXQKFZBBZ