"Kabanga’s hydromet process is a game-changer. Traditionally, nickel sulphide deposits require smelting for beneficiation, which has a significantly greater environmental impact. Kabanga will be different, delivering Class 1 nickel on a sustainable basis".
Kabanga will be a complete cradle-to-gate nickel operation that will be “cleaner” than industry averages because the refined metals will be produced in-country without smelting or the transportation of large volumes of concentrate over long, intercontinental distances.
Kabanga Nickel intends to adhere to the model of a sustainable electric vehicle value chain and to transparently quantify its environmental footprint for all stakeholders. In June 2020, the Nickel Institute published a Life Cycle Assessment report to quantify the environmental impacts of cradle-to-gate production of nickel products. Accordingly, Kabanga Nickel intends to quantify the environmental footprint of the overall Kabanga project against this baseline for the nickel industry. By adopting hydromet technology for processing nickel concentrate, Kabanga’s environmental footprint is expected to significantly outperform this industry baseline.
ESG commitment to supply clean nickel
Kabanga Nickel recognises the importance of safety and well-being of all employees, local communities and other stakeholders. This is our top priority.
Kabanga Nickel is committed to high environmental, social and governance (ESG) standards that are central to maintaining our social license to operate, as well as create value for all stakeholders and deliver commercial success. These standards are to be integrated throughout the company and embraced by all employees and stakeholders.
Our operations are guided by an acute awareness of the role we play as a company in meeting the UN’s Sustainable Development Goals (SDGs), including the critical role of nickel, copper and cobalt and other strategic minerals in supporting global climate action and complementing the value of these minerals within Tanzania.
The quality of the Kabanga ore body and its geology means the project will be a cradle-to-gate mining operation producing Class 1 nickel, copper and cobalt refined metals in Tanzania ready for use by OEMs and battery makers without any further processing.
Kabanga Nickel also intends cut the emissions footprint of the development by using Lifezone’s hydrometallurgy technology to process the concentrated ore, rather than traditional smelting. This should reduce Kabanga’s energy use and emissions significantly. The process will also eliminate the need to export concentrate to overseas smelters and refineries, thus reducing capital and operating costs with low environmental impact, while maximizing value within Tanzania.
Kabanga is unlocked through hydromet and underpinned by strong ESG credentials throughout the nickel value chain.
Commitment to Tanzania
Tanzania is committed to become a significant producer of responsible and sustainable metals to supply the increasing global demand to facilitate the move to a low carbon economy. The Government of Tanzania is an important partner in the development of the integrated Kabanga project to create shared value. In her address at the COP26 Summit in Glasgow last November, President Samia Suluhu Hassan stressed the need for developed countries to help the African continent with the challenges of climate change. The partnership in Kabanga with the government is an example of how this can be achieved.
Pursuant to a formally signed Framework Agreement that defines the governance structure of the Kabanga project, the Government of Tanzania owns 16% of the project through the joint venture company Tembo Nickel Corporation which holds the recently granted Special Mining Licence. By adopting a business model of full in-country beneficiation to produce Class 1 refined battery grade nickel with by-products of copper and cobalt, increased value will remain within Tanzania. Tanzania and its people will share in the enhanced economic and social value from a world class mining and processing project, which will produce metals for the energy transition as one of lowest carbon emitters of any nickel-processing operations in the world.
The Kabanga project aims to provide the highest standards of community support in the mine area in Ngara District and the hydromet refinery in nearby Kahama. Development of the mine and refinery will provide skills and technical expertise to produce responsible and sustainable future facing commodities.