Base Resources has confirmed that mining at its Kwale operations in Kenya will end in December 2024 with processing to stop shortly thereafter.
Tim Carstens, managing director, said: “We have explored all avenues for further extending the life of Kwale Operations.
“However, despite these efforts and broad support from the local community, we have been unsuccessful in identifying additional mineral deposits of sufficient grade or scale to support a further extension.
“After completing the previously announced evaluations of the two remaining near mine prospective areas, being the Kwale North Dune Mineral Resource not currently in the mine plan and the Kwale East exploration area, both lack sufficient grade or scale to support the capital investment required to extend or establish new mining operations,” he added.
Limited tailings storage capacity was a key reason for the decision alongside the softening product price outlook for mineral sands.
Activity at Kwale will now turn to detailed closure planning and transition to post-mining land use and progression of its Toliara Project in Madagascar.