Obtala Resumes Mining at Sierra Leone Project

11 February 2010 (Last Updated February 11th, 2010 18:30)

Mineral assets developer Obtala Resources has resumed alluvial diamond mining activities at its recently acquired Konoma diamond operation in Sierra Leone. The company acquired the project last month from African Minerals. Since the acquisition, Obtala has concluded a review a

Mineral assets developer Obtala Resources has resumed alluvial diamond mining activities at its recently acquired Konoma diamond operation in Sierra Leone.

The company acquired the project last month from African Minerals.

Since the acquisition, Obtala has concluded a review and maintenance programme of both the earth moving equipment and the dense-media separation (DMS) plant.

The company has hired key senior on-site personnel and is upgrading infrastructure, access and international security procedures.

Mining activities are being carried out at the Bolima and Bakidu sites upstream from the main mining camp.

The assessment of additional diamondiferous gravel deposits ahead of the mechanised mining fleet is being conducted by two local prospecting teams.

Obtala chairman Frank Scolaro said the DMS plant and the mining fleet are now operational, a distribution contract is in place and the company will start to recover stones shortly.

"The Board of Obtala remains confident that focused and precise low-cost mining of the alluvial diamond deposits in Sierra Leone will achieve the corporate objective of creating profitability and enhancing value of the overall portfolio of our projects," Scolaro said.