Posted on 13 Feb 2019
SL Mining has started commissioning of the Marampa iron ore mine in Lunsar, Sierra Leone, following completion of a Phase 1 investment into rehabilitating operations.
SL Mining is now ramping up production of 'Marampa Blue', an iron ore with over 65% Fe concentrate. This is one of the highest grades in the world, and a first by any mining company in Sierra Leone, SL Mining owner Gerald Group claims.
A high-level delegation from the International Finance Corporation (IFC) and the World Bank visited the Marampa site on 7 February to see how the mine has been brought back to life after nearly four years. Frank Ajilore, IFC Country Representative in Sierra Leone, says SL Mining “… sends the right signal to foreign direct investors that it is back to business in Sierra Leone.” Mining accounts for 77% of exports from the African country.
Gerald has committed some $300 million of investment to bring to the mine to a 2 million tonnes/year production rate in Phase 1, followed by an expansion to 6m t/y in Phase 2. Resources are estimated at 1 billion tonnes of 32% Fe iron ore, with production over the next 30 years. SL Mining currently employs over 650 workers and expects headcount to reach 1,000 in the next few months, and to over 1,800 once mining operations enter into the second phase.
“Once SL Mining is optimised for Phase-II, our goal is to make Sierra Leone’s ‘Marampa Blue’, an internationally-recognised premium iron ore brand,” SL Mining chairman Craig Dean says in a note sent to Kallanish.
The Sierra Leone-based mine needs a supportive business environment to meet its objectives, including access to the African Rail and Port Services (ARPS) on commercially viable terms, Gerald Group concludes.
Marampa was owned by London Mining until 2014 when the company folded due to a lack of liquidity caused by the slump in iron ore prices.
