Ironveld, SEAM ink revised term sheet for Lapon magnetite plant
Ironveld Holdings, a subsidiary of Ironveld, has strengthened its position in the Lapon magnetite plant joint venture (JV) in Limpopo, South Africa, after updating its agreement with Sable Exploration and Mining (SEAM).
This updated term sheet increases Ironveld’s stake in the project from 25% to 50%. The JV will be structured as a 50/50 partnership between Ironveld’s subsidiary, Altona Processing, and SEAM’s subsidiary, Lapon Plant. SEAM has agreed to provide a R5 million ($271,573) prepayment for magnetite material, although the final JV terms will depend on the signing of the definitive contract.
DMS plant
Construction of the dense media separation (DMS) plant remains on schedule despite weather-related challenges, and operations are expected to start this month, with commercial production anticipated next month. The plant is targeted to reach full capacity by the end of April 2025.
Ironveld Mining is currently preparing the mine site for the DMS plant’s commissioning while maintaining engagement with the local community through its social labour programme. Ironveld Smelting is finalizing the design of a water-based atomiser to produce market samples, with final cost estimates expected by April’s end.
Ironveld’s CEO, Kris Andersson, highlighted that the revised deal with SEAM significantly strengthens Ironveld’s position in the project. The company also expects to publish its annual accounts by the end of this month, which would enable the resumption of share trading. Ironveld also holds a high-purity iron, vanadium, and titanium project on the Northern Limb of the Bushveld Complex in Limpopo.
