Raglan South moves ahead

Last week, the Canadian Royalties Mining Co. announced the start of the permitting process for the Raglan South Nickel Project, with the delivery of a “project notice” to Quebec’s department of sustainable development, environment and parks.

The project notice is a document describing the proposed Raglan South Nickel mine project.

Canadian Royalties wants to establish an independent, stand-alone mining and milling operation in the general vicinity of Falconbridge’s Raglan Mine. Located about 90 kilometers west of Kangiqsujuaq, and just south of Raglan’s Kattiniq operations, Raglan South could share existing infrastructure with the Raglan Mine, such as roads, the Deception Bay port, and Donaldson Airport.

But, before moving ahead, the project will have to pass federal, provincial and municipal authorizations. And, at the same time, Canadian Royalties says it also intends to complete agreements with Inuit communities.

Consultants are wrapping up a scoping study, which includes a preliminary economic assessment for the mine. The scoping study will be followed up by an engineering feasibility study, to be initiated in mid-2006.

Canadian Royalties has announced that its exploration efforts have confirmed metal deposits of at least 10.5 tonnes, which, the company says, is the amount the mine needs to be economically viable. Nickel, copper, platinum, palladium and cobalt have all been found in the four deposits explored to date.
Raglan South will produce ore from open-pits at the same scale as Falconbridge’s nearby Raglan mine, that is, about 2,500 tonnes per day, over a lifetime of eight to 12 years, and employ between 200 and 400 people.