Introduction of first ore to Elandsfontein plant

RNS Number : 5482W

Kropz PLC

23 December 2021

 

The information contained within this announcement is deemed to constitute inside information as stipulated under the retained EU law version of the Market Abuse Regulation (EU) No. 596/2014 (the "UK MAR") which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. The information is disclosed in accordance with the Company's obligations under Article 17 of the UK MAR. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

23 December 2021

Kropz Plc

("Kropz" or the "Company")

Introduction of first ore to Elandsfontein plant

Kropz Plc (AIM: KRPZ), an emerging African phosphate developer, is pleased to announce a major milestone with the first introduction of ore to the plant at the Company's Elandsfontein mine, located in the Western Cape in South Africa. Now that ore has been introduced to the plant, the team is ensuring all the front end circuits are balanced and running stably.  The flotation circuits will then be commissioned and the reagents added in due course for the production of the first concentrate. Commissioning activities will transition into full scale ramp-up of the mining and beneficiation plant over the coming six months.

Mining activities commenced in October 2021, and significant volumes of ore are available to support the commissioning ramp-up.

CEO Mark Summers stated: "The introduction of ore to the processing plant reflects the successful culmination of the construction phase and signals the commencement of the next chapter in the Company's development.  I would like to express my gratitude and appreciation for the tireless efforts of all of those involved in reaching this milestone safely and on time, despite the many challenges that the past two years have presented."

Transnet has provided the Company with a draft port access agreement to support the long-term export of Elandsfontein's phosphate rock through the port of Saldanha. The contract is now being finalised between the parties. First phosphate rock ore exports from Elandsfontein are expected in Q1 2022.

It is anticipated that the imported reagents required for the recovery of phosphate concentrate will be delivered this month, however, the supply chain situation remains a challenge, with the recent force majeure declared by Transnet Port Terminals in Cape Town on 21 December 2021, presenting further risk to the project. The Company is investigating options to off-load containers at alternative ports, and transport the commodities to the mine site by road to arrive in early January 2022.

The current and further potential effects of COVID-19, and the fourth wave of infections in South Africa remains a risk to successful completion of commissioning. The Company has mitigated this risk as far as reasonably practicable by compliance to the Kropz COVID-19 policies and procedures.

The Company will provide further updates on the Elandsfontein project and further commissioning progress in due course.

For further information visit   www.kropz.com  or contact:

Kropz Plc
Mark Summers (CEO)	[phone]
Grant Thornton UK LLP	Nominated Adviser
Samantha Harrison Harrison Clarke George Grainger	[phone]
Hannam & Partners	Broker
Andrew Chubb Ernest Bell	[phone]
Tavistock	Financial PR & IR (UK)
Nick Elwes Jos Simson Oliver Lamb	[phone] [e-mail]
R&A Strategic Communications	PR (South Africa)
James Duncan	[phone] [e-mail]

About Kropz Plc

Kropz is an emerging African explorer and developer of plant nutrient feed minerals with phosphate projects in South Africa and in the Republic of Congo. The vision of the Group is to become a leading independent phosphate rock producer and to develop into an integrated, mine-to-market plant nutrient company focusing on sub-Saharan Africa.

-ENDS-

 

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