Current Mining Operations & Nickel Projects

Miitel Nickel Mine

Mincor acquired the then partially developed Miitel Nickel Mine from WMC Resources Ltd in 2001 and put it into production that year as the Company's first mine. To end December 2013 Miitel had produced 2.216 million tonnes of ore at an average grade of 2.97% nickel, for 66,790 tonnes of contained nickel. With past production added to June 2013 ore reserves, Miitel's total known nickel endowment is in excess of 75,000 tonnes of nickel metal, and with future exploration success may ultimately exceed 100,000 tonnes of contained nickel metal - making Miitel one of the more significant of Kambalda's ore bodies.

The Miitel ore body has an elongated, near vertical but gently plunging configuration, making it ideal for mining. The channel structure that hosts the ore lenses has proved very continuous. Mincor discovered the North Miitel ore body in 2002 and the South Miitel ore body in 2005, and has continued to extend these discoveries ever since. The overall mineralised system remains open to the north and south and subject to ongoing exploration.

Miitel - Long section showing channel structures


Mincor suspended operations at Miitel for an 18-month period following the global financial crisis of 2007/08, but resumed mining in July 2010. A year later Mincor changed the operational structure, moving away from the use of contractors for underground operations and converting the mine entirely to owner-operations with a residential workforce. This proved successful in bringing costs down and mining quality up, and Miitel continues today as a robust operation with a competitive cost of production.

Mariners Nickel Mine

The Mariners Nickel Mine was discovered and operated by WMC Resources Ltd between 1991 and 1999, over which period it produced 1,114,730 tonnes of ore at 2.53% nickel for 28,190 tonnes contained nickel metal. It was closed by WMC and written off in 1999 due to flooding which coincided with a period of low nickel prices. Mincor acquired the project at no cost as part of its acquisition of the Miitel Nickel Mine in 2001.

Mincor carried out feasibility studies on reopening Mariners during 2002 and 2003, and gave the project the go-ahead in 2004. After six months of pumping, the mine was de-watered and mining commenced.

Since then, and to December 2013, Mincor has extracted 1.27 million tonnes of ore at 2.74% nickel for 34,822 tonnes of contained nickel.

In October 2011 Mincor changed the operational structure at Mariners, moving away from contractors for underground operations and shifting to an entirely owner-operated model with a residential workforce. Costs and quality have improved as a result and Mariners continues today as a low-cost and efficient mine.

Mariners - Long section showing drilling and geological interpretations at 30 June 2014

 Mariners long section

Durkin North Nickel Project

The Durkin North mineralisation lies down-dip of the previously mined Durkin ore body, which produced 3.15 million tonnes of ore at 3.26% nickel for 102,740 tonnes of nickel metal between 1969 and 1984.

Mincor has estimated a resource of 366,000 tonnes at 5.1% nickel for 18,600 tonnes of contained nickel metal in Indicated and Inferred Mineral Resources at Durkin North.

Initial scoping studies examined the viability of a mining operation which will access the ore body via a take-off from the existing Otter Juan decline, and indicated a production rate of approximately 2,500 tonnes of nickel metal per annum for an initial period of four years. The project's economics would be strengthened by the addition of reserves closer to the proposed decline take-off from Otter Juan, and further exploration in this area is planned.

Stockwell Nickel Project

The Stockwell Nickel Project lies on the 'Bluebush Line', a series of exploration and mining licences acquired by Mincor in 2008. Work by previous explorers had identified mineralisation at Stockwell, and drilling by Mincor during 2009 outlined a Mineral Resource estimated at 554,000 tonnes of ore at a grade of 3.0% nickel, for 16,700 tonnes of nickel metal.

Pre-feasibility studies have confirmed the potential viability of this project, and further work is underway.

Otter Juan Nickel Mine (not in operation)

The Otter Juan Nickel Mine is one of Kambalda's oldest mines and by far its largest single ore deposit. The mine was in near-continuous operation between 1970 and early 2014, when it was placed on care and maintenance following depletion of its known ore reserves. At that point the mine had produced approximately 8.76 million tonnes of ore at an average grade of 3.58% nickel, for over 314,000 tonnes of nickel metal. Mincor acquired the Otter Juan Mine in July 2007 through its acquisition of the privately owned company, GMM Pty Ltd. 

Numerous high-quality underground exploration targets remain to be tested from within the mine, and it is possible that operations will recommence in the future.

McMahon Nickel Mine (not in operation)

The original McMahon Decline was developed by WMC Resources Ltd and used to mine the McMahon ore body, and subsequently a number of other ore bodies that were discovered and mined from the same decline. By June 2007 approximately 1.7 million tonnes of ore had been hauled to surface using the McMahon decline, from the mining of seven different ore bodies.

After acquiring the mine in 2007, Mincor discovered additional mineralisation and took the decision to develop the mine on the basis of a Mineral Resource of 373,656 tonnes of ore at an average grade of 4.1% nickel, for a total of 15,170 tonnes of nickel metal. Approximately half this Resource was then in the initial Ore Reserve, some 7,734 tonnes of nickel metal.

In late 2008, following the collapse in the nickel price induced by the global financial crisis, Mincor suspended development of the decline at McMahon but continued mining reserves that had already been accessed. During 2010 Mincor restarted the main decline, and accessed the high-grade MNO3 ore body in December 2011.

The mine continued to operate successfully until it was placed on care and maintenance in early 2014 following depletion of its known ore reserves. Additional underground exploration targets remain, however, and it is possible that the mine will restart in the future.  

McMahon/Durkin and Otter Juan (showing channel structures)

Wannaway Nickel Mine (not in operation)

The Wannaway Nickel Mine was discovered in the early 1980s and mined between 1984 and 1998 by WMC Resources Ltd, producing 553,000 tonnes at 2.3% nickel for 12,560 tonnes of nickel metal. The original ore body was mined out by 1998, but WMC discovered a second, higher grade ore body alongside it. Mincor acquired the mine from WMC in 2001, before any mining had taken place in this second ore body.

Mincor commenced mining in late 2001 and by August 2008 the original ore reserves had been mined out and operations were terminated. During this phase of its life Wannaway produced 524,000 tonnes of ore at 3.0% nickel for 15,844 tonnes of contained nickel and 13,931 tonnes of nickel-in-concentrate, generating $141 million in gross revenues.

Significant nickel resources remain below the current level of development, as well as further exploration potential, and the mine is currently on care and maintenance pending higher nickel prices.


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