Business
Corporate and Operational Update
Corporate and Operational Update.
About this update from Kropz Plc
[{"type":"text","content":"\n \nRNS Number : 0980D Kropz PLC 14 February 2020 \n\nThe information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.\n \n14 February 2020\nKropz Plc\n(\"Kropz\" or the \"Company\")\n \nCorporate and Operational Update\n \n \nKropz Plc (AIM: KRPZ), an emerging African phosphate explorer and developer, announces a corporate and operations update for its Elandsfontein, Hinda and Aflao projects.\n \nElandsfontein update\n \nFollowing the announcements of 5 June 2019 and 12 September 2019, the Company has confirmed that the latest metallurgical test work on the Elandsfontein phosphate mine (the \"Project\") completed by Eriez, Pennsylvania and JESA, Florida (the \"Test Work\"), has identified and confirmed a robust processing alternative to the previous flotation circuit.\n \nThe Test Work has consistently demonstrated that the Elandsfontein phosphate mine processing plant (the \"Plant\") will produce a final saleable concentrate to expected specification of 68% BPL (approximately 31% P2O5) using a flotation configuration of direct followed by reverse, flotation circuit. This type of circuit has been successfully employed throughout the industry for decades.\n \nSupplementary design work has been completed to advance the front-end engineering, and has identified that additional equipment, infrastructure and modifications to the original plant are needed to cater for the requisite process modifications. The capital costs have been estimated to AACE Class 3 level, by external consultants, and negotiations on an engineering, procurement and construction contract are well advanced. \n \nThe further time required for the Test Work together with newly identified long-lead items and associated structural works will impact timing and capital costs to first production. Accordingly, the target date for commercial production at Elandsfontein is now Q4 2021, with a total estimated funding requirement of US$40 million, excluding the US$14 million already held by Kropz Elandsfontein (Pty) Ltd (\"Kropz Elandsfontein\") and including working capital, debt repayments and capital expenditure....