Wednesday, January 17, 2007 Molybdenum boosts prospects of Tampakan mining project
A MULTINATIONAL firm pursuing a copper and gold project in Tampakan recently revealed that it has detected the presence of molybdenum in its exploration activities.
Tony Robbins, managing director of the Australian Stock Exchange-listed Indophil Resources NL, said the Tampakan project site has considerable molybdenum content although he added that they are still evaluating its quality and volume content.
"We're looking at ways on how we can create further upside for shareholders. We're looking at having a late-stage flotation system, which separates the molybdenum from the copper concentrate to produce a copper-molybdenum concentrate. This would be very marketable," Robbins said.
Robbins said they are now putting serious efforts to fully understand the distribution of molybdenum throughout the project development area.
Molybdenum is a refractory metallic element used principally as an alloying agent in steel, cast iron, and superalloys to enhance strength, toughness, and wear and corrosion resistance.
The versatility of molybdenum in enhancing a variety of alloy properties has ensured it a significant role in contemporary industrial technology, which increasingly requires materials that are serviceable under high stress, expanded temperature ranges, and highly corrosive environments.
Moreover, molybdenum finds significant usage as a refractory metal in numerous chemical applications, including catalysts, lubricants, and pigments.
The Tampakan project, straddling the towns of Tampakan in South Cotabato, Columbio in Sultan Kudarat and Kiblawan in Davao del Sur, is being pursued by Sagittarius Mines Inc.
Ownership changes sweep the venture recently after major global firm Xstrata Queensland Limited or Xstrata Copper exercised its option.
Before the option was exercised, Indophil owns 95 percent of the venture and five percent by local firm Alsons Corp.
Now, the beneficial ownership interest in the project is A class shareholders - Xstrata Copper 62.5 percent, Indophil 32.5 percent and Filipino partner Alsons Corporation five percent with B class shareholders (limited voting and capped dividend rights) to the Tampakan Mining Corporation and Southcot Mining Corporation (the Tampakan Group of Companies).
Indophil and Xstrata Copper will now work through a period of transition with completion of the exercise and management handover of the project to occur on March 30, 2007.
Xstrata has poured US$30 million (around P1.5 billion) to finance the definitive feasibility study of the Tampakan project, which is to be completed in approximately 18 months. (BSS)
