Premier African Minerals says operations at its Zulu Lithium and Tantalum project in Insiza, Matabeleland South Province remain suspended as the company continues to navigate financial and operational challenges.
The London-listed junior miner, which is developing the Zulu project, has in the recent past reeled under operational challenges to restart production.
In November 2023, Premier announced that plant operations at Zulu had been partially suspended to allow for civil construction to commence in preparation for the installation of the 55 tonnes per hour ball mill and other associated structures.
In its latest trading update, the United Kingdom-headquartered mining concern said: "Whilst the operations at Zulu remain on hold at this time, it is important to note further interpretation of test work results suggests that with minor reagent adjustment, the plant should deliver spodumene at grade and acceptable recoveries as currently configured
"Fabricated inserts when available will be expected to improve on spodumene grade and recovery; due diligence by potential alternate investors is progressing, and a return to production is immediately possible subject to finance."
Production was scheduled to commence in February this year.
Recent test work reports from Enprotec (suppliers of the floatation plant at Zulu), along with independent assessments, have indicated that the inconsistent grade and recovery in the spodumene flotation plant are primarily due to inadequate reagent dosing and excessive residence time in the cleaning circuit.
In addition to the immediate adjustments, Premier has engaged a Chinese engineering, procurement and construction management (EPCM) contractor as a fall-back strategy.
The contractor has recommended supplying a complete flotation plant based on proven technology.
Premier is also exploring alternative reagent suppliers to continuously assess and recommend better reagent regimes.
The group's chief executive officer Mr George Roach said the latest test work and the resource update recently announced together with all the running time on the plant, has once again confirmed that the remaining obstacle to production is to achieve grade and recovery through the spodumene section of the float plant.
"The fix proposed by Enprotec and the reagent variation should now allow for continuous operations when proven.
"To this end, the Company will seek when possible to bring the plant into operation for a limited period to prove this. A limited budget will be allocated for a short 3-to-5-day test run of the plant using ore already mined and ready to feed.
"This short run will also afford other parties the opportunity to access the plant.
"Throughout the challenges we have faced with this project, the facts remain that Zulu is a built mine with all the fundamentals in place which needs to be properly financed to be put into operation," he said.