UNDERGROUND MINING

BHP invests $50M in Tanzania green nickel project

Miner to invest in Lifezone to accelerate development and production

This illustration highlights the scale of the Kabanga nickel sulphide orebody

This illustration highlights the scale of the Kabanga nickel sulphide orebody

BHP will invest US$10 million into UK-based green technology provider Lifezone as part of its plans to participate in the Kabanga Nickel Project in Tanzania. 

The company invest a further US$40 million in Kabanga to improve the development and supply of Class 1 battery-grade nickel, cobalt and copper.

Kabanga Nickel said Lifezone's environmentally friendly hydrometallurgical processes are"more cost-efficient" than smelting and have a "significantly lower environmental impact."

Furthermore, the Lifezone technology would ensure that finished battery nickel, copper and cobalt will be produced in Tanzania, Kabanga Nickel said.

"Lifezone is the owner of the hydrometallurgical technology that will be used to build and operate a refinery in Tanzania," Kabanga Nickel said.

"Lifezone's hydrometallurgical technology provides a greener, lower emission and higher margin product and will allow full beneficiation of metals in-country."

The deal will allow for new patent applications and research and development work that "further commercialise" the company's hydrometallurgical technology.  

Chris Showalter, Kabanga Nickel's chief executive officer, said through the development of Kabanga and Lifezone's technology, Tanzania will "have a growing role in the supply of battery metals needed to move to a global low carbon economy."

The project timeline anticipates the first production by 2025 and is expected to result in an annual output of 40,000 tonnes of nickel, 6,000 tonnes of copper and 3,000 tonnes of cobalt.

Kabanga has been the subject of repeated exploration programmes and feasibility studies by some of the world's leading mining companies, Mining Journal wrote last year.

"[T]he big miners could never overcome Kabanga's remote location, a wildly fluctuating nickel price, and a rigid belief that the best development route was through conventional pyrometallurgical ore processing (heat) and the export of a concentrate to overseas smelters," added the MJ report.

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining Magazine Intelligence team.

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining Magazine Intelligence team.

editions

Mining Magazine Intelligence: Automation and Digitalisation Report 2024

Exclusive research for Mining Magazine Intelligence Automation and Digitalisation Report 2024 shows mining companies are embracing cutting-edge tech

editions

ESG Mining Company Index: Benchmarking the Future of Sustainable Mining

The ESG Mining Company Index report provides an in-depth evaluation of ESG performance of 61 of the world's largest mining companies. Using a robust framework, it assesses each company across 9 meticulously weighted indicators within 6 essential pillars.

editions

Mining Magazine Intelligence Exploration Report 2024 (feat. Opaxe data)

A comprehensive review of exploration trends and technologies, highlighting the best intercepts and discoveries and the latest initial resource estimates.

editions

Mining Magazine Intelligence Future Fleets Report 2024

The report paints a picture of the equipment landscape and includes detailed profiles of mines that are employing these fleets