The initial focus of Monument Mining at its Mengapur Polymetallic Project will be on production of market grade magnetite from fresh rock that underlies the free digging soils to generate cash flow. The company will also place its initial 2014 focus on research and development (R&D) and market research of other downstream potential commodity products, and completion of a National Instrument (NI) 43-101 compliant Preliminary Economic Assessment (PEA).
In the financial year ending June 30, 2013, Monument completed a drill program at Mengapur with a total of 50,045 metres drilled. The new drill data has been combined with the existing 58,000 metres drilled the former owner, Malaysia Mining Corporation, into a new project database.
In 2014 while Monument plans to proceed with mining initiatives that it expects will optimize and advance the process flow sheet for the Mengapur deposit, the company will continue its work in order to provide a resource estimate for the project as a whole through mine modelling and other related work based on the 2013 exploration results.
The PEA is expected to be completed by March 31, 2014. While completion of this complex report has taken longer than initially estimated, it will be a major achievement and provide a significant update to the historic feasibility study completed by the project’s former owners.
Monument has completed a number of on-site infrastructure projects, including improved and expanded employee accommodation, R&D and assay laboratories and a new expanded core shed to assist in achieving these and other objectives.
Specifically, Monument will undertake R&D activities related to the development of a number of marketable commodity products subsequent to the targeted recovery of magnetite that the company believes can be separated for production to London Metals Exchange grade, particularly copper separated from the other metals mined at Mengapur. These products generally will allow production of further magnetite, as well as production of sulphuric acid, molybdenum and different types of fertilizer.
“The Mengapur project continues to represent the most significant opportunity for a long-term mining asset for our company. Our short-term focus will be on mining and producing magnetite and related R&D initiatives at the project site that we believe have potential to produce marketable commodities that will contribute stable cash flows as we work to advance the project as a whole,” says Monument’s president and CEO Robert F Baldock.
“In 2014 we expect to file an updated resource estimate and Preliminary Economic Assessment for Mengapur, and our long-term goal as to become a sustainable dividend paying, mid-tier gold and base metals producer remains the same.”
Monument has recently appointed Les Kwasik as executive general manager, Monument Malaysia Group, resident in Malaysia.