Amur Minerals (LON:AMC) has obtained a water allotment next to the planned mill site at its Kun-Manie nickel project in Far East Russia.
The allotment includes the Maia River and eight of its drainages south of the expected production area and Amur will now assess where best to draw water to support a six million tonnes per annum operation.
This will involve the drilling of 20 holes totalling 2,000 metres after which a detailed plan will be submitted to the local governmental agencies.
The company is still awaiting a production licence, but obtained the water allotment in advance to keep the project moving forward and keep costs down.
Robin Young, chief executive, said the work consisted of desktop studies utilising its existing staff and would incurring little cost while still advancing Kun-Manie.
Identification of sand and gravel required for construction, limestone sources, and metallurgical coal availability is also underway he said.
Amur intends to carry out 6,000 metres of infill drilling during this year’s season he added.