Cancana Resources (CNY.V) has announced the Jaburi plant is now fully operational after the upgrades and is currently working in a two-shift mode. New jigs have been installed at the plant which now allows Cancana to re-process the material that was previously rejected from the Rio Madeira plant. As the upgraded Jaburi plant now also has a roof, Cancana has no reason not to continue the production throughout the rainy season.
Cancana is still mining the Dnei open pit where it can recover the majority of the manganese with the currently applied techniques at the Jaburi plant, but the joint venture partners at the Brazil Managanese Project are considering installing a crusher to reduce the harder ore to a smaller size that could then be processed in the existing processing plant.
Adding the crusher will increase the flexibility in Cancana’s extraction and production activities because it has now recovered some large massive blocks from the Jabury 2 part of Dnei, but these blocks cannot be processed due to their size.
Meanwhile, the joint venture partners at BMC have completed in excess of 6,700 meters of drilling at the Eduardo Mendes-Vitalino Corridor and the Antonio Gomes prospect. At the corridor, Manganese mineralization has been traced for approximately 12 kilometers (not continuously) with for instance 4.5 meters of 31% Mn and 23.9% Mn at just 21.8 and 17.5 meters from surface. As could be expected, the average grade of the mineralization varies based on the host rock dilution and Ferrometals and Cancana will perform metallurgical studies in 2016 on the different types of breccia.
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The author holds a long position in Cancana Resources. Cancana is a sponsor of the website. Please read the disclaimer
