Base Titanium has announced plans to make a capital expenditure of KSh3.3 billion at a new mining site on its Kwale operation, extending the life of the venture by 13 months to December 2024.
IMining at the new site, known as Bumamani, will commence in March next year after land access arrangements are finalised.
The new mining area is expected to yield up to 17.9 million tonnes of titanium ore, out of which the firm expects to get 42,000 tonnes of rutile, 171,000 tonnes of ilmenite and 20,000 tonnes of zircon.
Capital cost is estimated at $28.1 million, including the acquisition of land and the additional mine services and infrastructure that will be required.
As Business Daily reports, capital costs will be funded from internally generated cash flows.
Just last month, Base Titanium has won a fourth prospecting licence in Tanzania, increasing its potential investment decision in the country. The company has already started on-ground exploration