The estimated mine life can be extended further upon further delineation of the resource beyond 30m and if the remaining southern portion of the area is investigated further. 5. PLAN TO RAISE FINANCE The company plans to raise finance and capital as follows: a.) Equity contribution from shareholders; this will o include resources such as equipment from the company's other operations which are being downsized due to shortage of raw materials b.) Loans from financial institutions at home and abroad 6. PROGRAM OF MINlNG OPERATIONS The company shall establish an open pit mine with 3.5m to 5 m benches. The mine will be developed in stages beginning with overburden removal in the first 3 to 6 o months of operation. The open pit will be accessed via a ramp which will be designed to allow two 25 ton trucks to bypass each other. Ore will be transported to a primary crusher on site where rocks will be reduced in srze. During mining, rock drilling will be followed by blasting with dynamite to fragment in situ rocks. Explosives 4lPrs! magazines will be established on site to store explosives. lt is envisaged that blasting will take place three times per week but may be reduced to once or twice depending on ore stockpile levels and market consumption. A water bowser will be used to suppress dust during mining and haulage operations. The company will produce aggregate products for the local market and will proceed to add value through the production of building blocks, pavers and other o products. a.) Schedule of Activities Years I Activities Estimated Planned costs (usD) production 0-1 . Set up of camp, 250,000 Site warehouses and preparations mine offices and overburden o . Overburden removal removal Stockpiled initial production 2-3 . Ramp up 750,000 936 000T per production to annum primary . Plant raw material procurement, production relocation and s lr'.1 sE construction: crushers, conveyors, dust abatement, storage sheds, weigh bridges and workshops .Ramp up to full production . Environmental o Protection Fund First Audit Report 4-5 More Value 250,000 1.872 MT per addition: Block annum primary making, pavers, raw material introduction of I production other aggregate products Establishment of o Sales Office in Solwezi 6-25 Steady state 250,000 production 6l Mine Equipment b.) No. Description Model I No. of Units A. Mineral Processing/Material Handling 1, Hopper 12M3 1 2 Vibrating ZSW- 1, Grizzly Feeder 490X11011 3 Jaw crusher PE-750X1060 1 4 lmpact PF-1315V 1, o crusher 5 lmpact PF-1010V 1 crusher 6 Vibrating 2YK-2160 1 screen 2YK-1854 t 7 Vibrating screen I Conveyor belt B-1000x30M 1 9 Conveyor belt B-1000x30M 1, 10 Conveyor belt B-1000x27M 1, o LL Conveyor belt B-1000x10M 1 L2 Conveyor belt B-650X10M 1, 13 Conveyor belt B-650X17M t L4 Conveyor belt B-800x20rvr t 15 Conveyor belt B-650X20M 1 16 Conveyor belt B-500x20M t L7 Conveyor belt B-500x1-5M 1 TlPage 16 Steel 23 TONS As structu res requir ed 18 Electrical PK5-563 lset control assembly B. Mining Equipment I L Excavator XGPC 2OO t o 2 Excavator XGPC 380 t 3. Frontend XG 958 2 loader 4 Frontend XG 360 2 loader 5 Tipper truck 22325 10 7N36478 6. Drilling LGD 2OOO 2 SET machine 7. Air TSCA 363 5 o compressor 8 Water pump SQQP 111 10 9. Grader LGG 230 t 9. Roller LGR 320 t 10. Water cart 22325 N3645 2 11. Air pickaxe SM1TS1.21 5 SET L2. Welding SY-S66 5 SET machine 8ll).,ige 13. Hand cutter BOSS 5 bar I I o c.) Employment of Zambians The mine shall recruit and train local Zambians within the project area but will also recruit from the district to supplement technical skills which may be absent in the local environment. Proposed employment shall be as follows: Position Number Nationality o CEO/Managers 3 Foreigners Managers 3 Zambian Human 5 Zambian Resource and Administrative Staff Accounting 5 Zambian 9lPag.l Sales and 4 Zambian Marketing Staff Technicians 10 Zambian Supervisors Zambian Machine 20 Zambian operators Drivers 30 Zambian a Miners 20 Zambian General workers 1s0 Zambian Total 250 7. Local Business Development The company plans to contribute to the generation of local business opportunities as follows: o a.) Zambian business persons will be encouraged to establish sales outlets for company products b.) Contract work shall be reserved for qualified and experienced Zambian companies especially from within the project area 10 I c.) Services such as canteen facilities and cleaning services shall be reserved for Zambians d.) The company shall offer training to Zambian entrepreneurs to improve quality of services in areas relevant to the company's operations o o 11 lP,;,,,