Velta Continues the Launch of Likarivske Deposit Despite COVID-19May 7, 2020
Velta LLC received the mining allotment certificate, which confirms the company’s rights to use the subsoil at the Likarivske titanium ore deposit in Kirovohrad region. Thus, the process of launching a new Ukrainian titanium asset continues despite the COVID-19 pandemic.
The State Labor Service of Ukraine granted Velta the mining allotment certificate for a plot of 313 hectares. The certificate is valid for 19 years and can be renewed.
“The crisis is undoubtedly adjusting plans to open new mining and other facilities around the world. However, Velta continues to move towards launching a new titanium asset. Under favorable conditions we plan to begin construction at Likarivske deposit this summer”, commented Andriy Brodskyy, CEO of Velta.
The next step towards opening a mining and processing complex is obtaining land for use within the mining allotment. Velta plans to carry out the procedure of establishing servitude. As we mentioned earlier, Velta is one of the first companies in Ukraine to use this new state service and save one year on the registration of a 28-hectare land plot for Byrzulivske mining and processing complex.
Likarivske titanium ore deposit, located in Novomyrhorod district in Kirovohrad region, is only 6 km from Velta’s already operating Byrzulivske mining and processing complex. The nominal capacity of Likarivske MPP is planned at 120 thousand tons of ilmenite per year. Following the launch of the new complex, Velta will increase its capacities to 390 thousand tons of titanium feedstock per year. The company will create 390 jobs. The minimum amount of annual tax payments to various budgets will be at 62.5 million UAH.
Capital investments in the new asset are planned at $30 million.