Firestone Diamonds PLC said it has been named preferred bidder - jointly with ADP Projects - to build a modular tailings dump treatment plant at Debswana Diamond Co’s Jwaneng mine in Botswana; contract negotiations have begun and are expected to be completed in the third quarter of 2009.
Debswana is a joint venture between the government o Botswana and De Beers.
Firestone also announced a strategic alliance with ADP to jointly develop diamond tailings processing plant technology and to pursue other new diamond tailings resource projects.
Jwaneng is the largest diamond mine in the world by value and in 2008 produced approximately 13 million carats, Firestone said.
The objective of the project is the recovery of diamonds from the tailings resource at Jwaneng, which is estimated to be in excess of 30 million tonnes. Initial production of more than 2 million tonnes per annum is targeted to commence in 2011. Firestone will be responsible for financing and operating the plant while ADP will be responsible for plant design and construction.
The Jwaneng based plant will serve as a pilot facility to demonstrate the economics and capability of the modular plant concept and could potentially lead to the deployment by Firestone and ADP of similar plants to exploit additional tailings resources at other Debswana mines, the company said.
ADP supplies modular processing plants to the diamond mining industry, having supplied diamond plant and equipment to De Beers, Debswana, Trans Hex, Gem Diamonds and Petra Diamonds, amongst others.