Investee Company Operational Update

RNS Number : 1923K

Kazera Global PLC

09 April 2018

 

9 April 2018

Kazera Global

Investee Company Operational Update

Kazera Global plc ("Kazera Global" or "the Company) the AIM quoted investment company who, through its stake in African Tantalum (Pty) Limited ("Aftan"), has an interest in the Namibia Tantalite Investment Mine ("NTI" or the "Mine") in Namibia, is pleased to provide an operational update.

Highlights

·      Aftan's fifth shipment of industry leading high purity tantalum has been sent to its customer, a global North American leading tantalum consumer and end user of our tantalum ore ("the Customer"), with the recent shipment reaching grades of over 40% purity

·      Discussions continue with a second potential customer who has confirmed that Aftan has passed its stringent processing and product audit

·      Tendering process has commenced for the laying of pipework for the newly approved Orange River Water Project with the intention of utilising solar power to drive the system

·      Aftan has begun the application process, through a third party environmental engineering firm, for the certification of the installation of a larger tailings dam as part of plant upgrades to continue the planned production ramp and satisfy our potential future customer base

·      As part of the plant upgrade programme, Aftan has purchased a new Tractor-Loader-Backhoe ("TLB") to optimise loading of the plant to enable a continuous running process

Aftan continues to focus on delivering industry leading quality tantalum shipments from the NTI mine to the Customer and is pleased to note a fifth shipment with continued high grades of over 40% purity has been delivered to the Customer.

The planned production ramp up is on schedule and the continued efforts to sustain the high quality of the product has meant that the stringent needs of the second potential customer have been met and, in turn, they have confirmed that Aftan has passed the audit they were conducting. As the mine scales production and upgrades aspects of the processing facility, Aftan expects to be in a position to supply multiple customers.

In line with our continued focus to improve plant efficiencies, Aftan, through a third party environmental engineering firm, has started the application process to acquire the certificate required for the installation of a larger tailings dam. A tendering process has also commenced for the laying of pipework for the newly approved Orange River Water Project with the intention of utilising solar power to drive the system. Moreover, Aftan has purchased a new TLB to optimise loading of the plant through a continuous running process. The purchase of the TLB unit aligns with our aim to cut variable costs through its reduced fuel consumption and its multi-purpose functionality as a fork lift.  These upgrades continue to improve efficiencies in order to satisfy the current customer and the potential multiple customer base.

Larry Johnson, CEO, said:

"Significant progress continues at the Mine, with the application for a larger tailings dam, bidding for the installation of a system to pull water from the Orange River Water Project underway and our fifth shipment of industry leading high purity tantalum being sent to the Customer. I am delighted that our second potential customer has confirmed that the mine has passed their audit and encouraged that, in a recent meeting they noted that they were impressed by our management systems, grades and ability to work to stringent quality requirements in short order.

At the mine, we continue to focus on increasing efficiencies and recent upgrades have materially improved the plant, mine and working conditions for our employees. The purchase of a new TLB, with multifunctional capabilities, will continue with the reduction in variable costs and improve overall efficiencies. The board and I continue to look forward to the future of the Company with optimism and look forward to updating shareholders on further progress."

**ENDS**

Kazera Global plc (c/o Camarco)	Tel: [phone]
Larry Johnson (CEO)
finnCap (Nominated Adviser and Joint broker) Christopher Raggett / Scott Mathieson / Anthony Adams (corporate finance) Simon Johnson (corporate broking)	Tel: [phone]
Shore Capital (Joint broker) Mark Percy / Toby Gibbs (corporate finance) Jerry Keen (corporate broking)	Tel: [phone]
Camarco (PR) Gordon Poole / James Crothers / Monique Perks	Tel: [phone]

The information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

 

END

 

 

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