In addition, the mine has also returned probable ore reserves of 8.4 million tons at 3.1% zinc and 0.13% copper.
The project comprises three open pit mines within a radius of 2 km and a central 2 million ton per annum processing facility. It produces copper and zinc concentrates to export to foreign smelters and finally to Saudi domestic smelters.
As per the schedule, the entire orebody was planned for mining over 9.5 years with a further 4 years processing of residual long-term and low grade stockpiles.
The company expects an average grade of the feed to the process plant for the first 7 years to be 4.36% zinc and 3.95% zinc in the first 9.5 years.
Commenting on the development, Alara Resources managing director Shanker Madan stated that the confirmed reserves underline 13 years of mine life for the project.
"The Khnaiguiyah Project area has considerable upside and with a completed DFS which justify the economics of this Project, the results of which will follow shortly, future generations will see this as a historic moment in the life of the Khnaiguiyah Project," added
madan.
Khnaiguiyah located southwest of Saudi Arabian capital Riyadh will be operated by the Khnaiguiyah Mining Company, an equal joint venture between Alara and privately owned Saudi Arabian mining company United Arabian Mining Company.
