ASX-listed Orion Minerals has confirmed that a feasibility study on the Okiep copper project, in the Northern Cape of South Africa, is well advanced, and that the results thereof will be published in August.

Orion holds a 56.25% interest in the project, which it has been aiming to restart, with the Industrial Development Corporation of South Africa (IDC) holding the balance of shares in the project.

A 2021 study on the Okiep project estimated a peak funding requirement of A$58-million, to produce 9 000 t/y of copper in concentrate at peak. This would supplement the 22 000 t/y of copper production planned from the Prieska project, which is also in the Northern Cape.

Orion is completing a study on an accelerated development strategy at the Prieska project, with early dewatering and trial mining due to start soon. Details of trial mining and an updated bankable feasibility study are expected to be published by year-end.

Thereafter, operations at Prieska will transition to a pilot scale production phase, before ramping up to steady state production and first sales in 2024.

The trial mining will involve determining the actual rock conditions in the +105 resource and the performance of the proposed mining method. Orion says the appointment of selected contractors in this regard is imminent.

An updated mineral resource estimate Orion provided in the six months ended June 30, meanwhile, estimates the Prieska project to have 31-million tonnes grading 1.2% copper and 3.6% zinc, including the Level Crown Pillar Block containing 2.26-million tonnes grading 1.7% copper and 1.6% zinc.

Both of these projects had been difficult to advance more quickly owing to development funding constraints. The company has since managed to assemble a range of key investors, supporters and financiers that collectively help fulfil the company’s production ambitions.

Orion is also developing the Jacomynspan nickel, copper and cobalt project, 70 km north of Prieska, in which it holds a 50% interest.

CEO and MD Errol Smart comments that the first half of this year was a genuinely transformational period for the company, in having secured a new highly credentialed cornerstone equity investor and strategic partner, Clover Alloys.

Clover Alloys is a privately-owned South African mining group.

An equity investment package worth A$73-million funded by a combination of existing shareholders and Clover Alloys builds on a A$30-million funding package for the Prieska mine secured with IDC and Triple Flag Precious Metals.

“Our two base metal hubs in the Northern Cape are now moving rapidly towards realisation, which opens the way for South Africa to become a producer of two of the critical metals required for the global energy transition.”