Horizonte Minerals secures new concession area in Brazil

13 September 2015 (Last Updated September 13th, 2015 18:30)

Horizonte Minerals has been awarded a new 1,610ha concession area 60km north of its wholly owned Araguaia nickel project in Para state, Brazil.

Horizonte Minerals has been awarded a new 1,610ha concession area 60km north of its wholly owned Araguaia nickel project in Para state, Brazil.

The new concession number 850884 granted for three years is adjacent to Glencore's Vale dos Sonhos and Serra do Tapa nickel laterite deposits and is located in a prospective and strategic position.

Horizonte has also filed applications with the mines department for five additional concessions to the south of Glencore's nickel projects and two new concessions on the south-western side of the company's existing Araguaia properties.

"Despite tough market conditions, Horizonte is still active at Araguaia."

Horizonte Minerals CEO Jeremy Martin said: "I am delighted to announce the award of this new concession area, which sees us increase our land holding in Brazil where we are developing the country's next major nickel project.

"Despite tough market conditions, Horizonte is still active at Araguaia. Work is ongoing on the environmental and social base line data collection at site, and we aim to finalise the test work results from the Rotary Kiln Electric Furnace pilot plant campaign shortly."

At present, the company has an additional seven concessions under application, which have a total area of 29,997ha.

Horizonte's Araguaia project is expected to start production by late-2017 or early 2018 and has infrastructure such as rail, road, water and power in-place.

The 100%-owned Araguaia nickel laterite project is located south of the Carajas mineral district of northern Brazil and was a greenfield discovery by Horizonte.

Expected to be the second nickel laterite operation in Brazil, the project plans to use typical open-pit mining methods across seven pits.