Matilda gains Shire approval for Keysbrook

THE BOURSE WHISPERER: Matilda Zircon has had its Keysbrook zircon and leucoxene project located 70 kilometres from Perth in the south-west region of Western Australia approved by two local Shires.

Special meetings held by the Councils of the Shire of Murray and the Shire of Serpentine Jarrahdale in October both approved the project subject to conditions, most of which had already been mutually agreed with Matilda.

Prior to the Shire approvals the project had already been given the environmental nod by the Western Australia Minister for Environment.

Matilda said the Shire approvals now allow the company to carry out complete detailed planning and engineering that will enable it to complete construction of the Keysbrook project in 2012 and ultimately being in production in early 2013.

“This is an excellent outcome for Matilda because the Shires’ decisions represent the last critical step in gaining approval to now be able to commence operations at the Keysbrook project,” Matilda Zircon technical director Peter Gazzard said in the company’s announcement to the Australian Securities Exchange.

Matilda plans to mine approximately 36 million tonnes of material over the eight year mine life of the Keysbrook project.

Keysbrook is expected to produce approximately 95,000 tonnes per year of zircon and leucoxene products.

Matilda said the doubling of the sale prices for the products it produces over the past year has made the Keysbrook project a significantly more attractive prospect financially.

The company said it anticipates the results of an updated feasibility study of the Keysbrook project will be released later this year.