Sundance re-evaluates Mbalam iron production capacity

According to the new estimates of Sundance Resources, the Australian mining company which developed the railway project from Mbalam-Nabeba, between Cameroon and Congo, instead 40 million tonnes of iron could be produced annually from the first phase of the operation, and not over 35 million tonnes as initially planned in the activity report at the end of March 2015, from the mining company.

Sundance Resources is said to have reached this re-evaluation of the annual production capacity of the iron deposit of Mbalam-Nabeba at the end of a 'controlled more sophisticated dynamic simulation' in the first quarter of 2015.

"This model has confirmed that the rated capacity can be increased with the addition of a loop that goes together with an additional railway siding, subject to a capital cost of $ 10 million (approximately 5 billion Cfa francs)," indicated the mining company in his annual report.

With this increase in the annual tonnage of iron mine, we learnt that, "the annual turnover (of the operator) will increase to 295 million dollars (about 147.5 billion Cfa francs) per year on the basis of a CFR China of $ 80 /DMT iron ore prices and a cost of freight of $ 21 / DMT.