Australian mining giant BHP intends to proceed with its Hartley platinum project in Zimbabwe, which will be developed in partnership with Delta Gold, also of Australia.
BHP will spend A$310 million (US$211 million) on the project during three years, taking a 67% stake as per its agreement with Delta, Agence France Presse reports.
The project is 80 km southwest of the capital, Harare. The startup is subject to the approval of the Zimbabwe government.
BHP spokesman Anthony Wells said the company would mine palladium, rhodium, nickel, copper and gold, in addition to platinum. Initial design capacity allows for mining at the rate of 2.2 million tonnes per annum and the mine will employ about 2,000 people.
BHP did not release a production timetable but said the capital expenditure program would extend over the next three years.
Under the agreement with Delta, BHP was to become entitled to its stake after undertaking a feasibility study and committing capital to the project within three years.
A Delta Gold spokeswoman said a detailed timetable and budget were being put together for release at the company’s impending annual meeting. The first production is anticipated in 1996.
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