Mustang ruby inventory grows to 147 000 ct

JOHANNESBURG (miningweekly.com) – ASX-listed Mustang Resources’ ruby inventory at the Montepuez project, in Mozambique, has grown to 147 052 ct, on track for reaching the targeted 200 000 ct to be sold at the company’s inaugural auction in October.

The growing inventory is, in part, the result of work to increase water supply to the upgraded bulk sample plant, which previously experienced bottlenecks.

Five new water boreholes have been drilled and commissioned and Mustang has increased its water recycling using an expanded settling dam.

With all operational issues now resolved, the plant is running at 1 500 t/d.

Mustang has also submitted an application for a mining concession over the area previously covered by prospecting and exploration licence 4143L.

Meanwhile, the auction will be held in Port Louis, Mauritius, from October 27 to 30.

The auction will define the value range for rubies within each grading category and will be a key indicator of the long-term commercial viability of the Montepuez project.

Discussions with key rough ruby buyers based predominantly in Thailand, India and Hong Kong are well advanced, with many of the largest buyers having already confirmed their support and attendance at the auction.

“We are highly encouraged by the positive responses and support received from customers to date. Mustang’s management team is confident of delivering a strong inaugural auction and continuing to advance towards our goal of establishing the company as a globally significant ruby supplier.

“We are very pleased with the current performance of our processing plant after solving the remaining water challenges and now achieving good daily recoveries of high quality rubies,” Mustang MD Christiaan Jordaan commented.