Frequently Asked Questions
Rakita is a Serbian company, currently carrying out exploration activities in the Timok district of Eastern Serbia, near the town of Bor, and holds the exploration license for the Cukaru Peki Project (The Project). Rakita is owned and operated through a joint venture between Nevsun Resources Ltd. and Freeport-McMoran Exploration Corporation.
The main focus of activity for Rakita is the Cukaru Peki Project, situated within the Brestovac-Metovnica exploration license. The Cukaru Peki mineral deposit has been subdivided into two zones, the ‘Upper Zone’ and ‘Lower Zone’. Nevsun holds a 100 % interest in the Upper Zone, and is the operator of the Project. As for the Lower Zone, following completion of the Feasibility Study on the Upper Zone, Nevsun will hold a 46% interest in the Lower Zone and Freeport will hold a 54% interest in the Lower Zone.
In March 2018 Rakita has completed the Pre-feasibility Study for the Cukaru Peki deposit, and the plan is to complete the Feasibility Study in mid-2019. At the same time, the exploration of the Lower Zone, which has a lower content of ore, but is of larger volume, is continuing.
The Project is located approximately 6 km south of the city of Bor, and approximately 245 km southeast of Belgrade, Serbia. City of Bor is the regional administrative center and the seat of the mining industry. The Project site is favourably located for mining infrastructure (road, rail, power, water) and close to the recently upgraded copper smelter complex in Bor.
The current studies are indicating the potential for an underground mine on the Upper Zone to a depth of 450 m to 850 m below ground surface.
The access to the Upper Zone will be enabled through an inclined tunnel or decline. On June 4th, 2018 Rakita marked the start of mining works for the building of the exploration decline with a ground-breaking ceremony in the presence of state officials, local community, Rakita and Nevsun management, employees and partners.
The exploration decline will be 2,630 meters in length, 5m by 5m, at -14% gradient. A parallel 5m by 5m Egress/Ventilation Tunnel will be established to the west of the access tunnel at a distance of 30 meters sidewall to sidewall. The Egress/Ventilation Decline is also 2,640 meters in length, at -14% gradient. The declines are interconnected on 300m intervals along the decline for ventilation follow-through, traffic flow and emergency egress. The dual decline system allows this exploration decline to be developed safely, under the same ventilation clearance time and without the need for establishing a ventilation raise. Once the decline has reached the orebody a diamond drilling platform will be established for further resource definition drilling and, under the exploration permit, access the orebody will be gained on the -100m level. The envisaged deadline to execute these works is two years.
A processing plant would be developed to convert the mined ore into a copper concentrate with gold credits, which would be available for sale at international rates. A tailings storage facility would be located in the vicinity of the processing plant, designed and built to comply with Serbian laws and international best practice, based on the best international practices for the construction of such projects.
At the end of the operating phase of the Upper Zone, the Project site will be reclaimed. A depression will remain in the ground surface above the mine, and some ground subsidence is expected within a circular zone around this depression.
Rakita is conducting exploration activities under the Decision of the Sector for Geology and Mining of the Ministry of Mining and Energy No. 310-02-0221/2012-14. Although some limited exploration work had been carried out in the area in the past, no mineral deposit had been identified until the Rakita team discovered Cukaru Peki in July 2012.
The works on the exploration decline for the Upper Zone commenced in June 2018. The construction of the proposed mining and mineral processing facilities for the Upper Zone is scheduled to commence in 2020, following positive results of the Feasibility Study, as well as obtaining permits and approvals from relevant authorities. The completion of the processing facilities construction for the Upper Zone deposit is expected no later than 2022, with underground mining operations starting later that year. The mining and mineral processing operations are expected to run approximately 12 to 15 years, while the exact timeframe for these activities will be further clarified in the Pre-feasibility and Feasibility studies for the Upper Zone.
The assessment of the Lower Zone mineral resources will be continued. However, its sustainable development has yet to be confirmed with considerable drilling and technical/economic studies required, while initial works are not likely to begin for at least 15-20 years, depending on further success of the Lower Zone exploration program.
The world-class copper project Cukaru Peki is of outstanding value and potential for Serbia. Nevsun’s capital investment in Cukaru Peki, to develop the project and bring it into production in 2022 is currently USD 590 million. The current estimated mine life is 17 years. After the mine opening during the exploitation phase, it is expected that Nevsun’s capital investment will be additional 457 million USD. During this period of mine operation it is estimated that Rakita will hire around 600 employees plus around 300 employees that will be engaged by Rakita’s contractors.
In addition to the greenfield investment of Nevsun, Serbia and Bor will directly benefit from Cukaru Peki project through approximately 450 million USD in taxes and royalties. Cukaru Peki project development envisages a pace of works that is fully in line with the Serbian Government’s long-term plan and strategy to boost the mining sector’s share of GDP to 5%.
Rakita’s contribution to Serbia and Bor, in addition to the direct investments and spending, will also involve development of the local services sector and supply chain.
Rakita’s environmental policy is based on the objective to achieve compliance with sectoral laws and regulations and to avoid or minimize environmental impacts by implementing proven risk management strategies.
In order to meet Serbian and international standards, Rakita has engaged a number of local and international consulting companies. Environmental Resources Management (ERM), a global provider of environmental, health, safety, risk, and social consulting services, is leading the Project’s environmental and social impact assessment activities with the support of Serbian specialised consultants and institutes. Since 2015, ERM has been collecting social and environmental baseline data on the Project in order to conduct a comprehensive impact assessment in accordance with Serbian laws and international standards. These impact assessment studies will incorporate the analysis of main alternatives to ensure an optimal Project design, taking into account social and environmental factors.
Rakita is committed to environmental sustainability and protection, so the Project design is aiming to avoid, minimize and mitigate potential impacts.
The Project is currently undertaking extensive hydrology and technical evaluations by independent experts, supported by the University of Belgrade, in order to ensure that the mine operation impact on the water regime is minimized. Flow rates in some small, localized tributary streams may be affected, but the Project will implement design measures to protect the water quality during and after the life of the mine. In addition to the adherence to European standards and international best practices, Rakita is engaging with Serbian regulatory authorities and institutions to meet or exceed the applicable standards for the design of their water reticulation systems.
Rakita is acquiring land from private landowners on a willing buyer/willing seller basis, offering and entering into sale purchase agreements. Rakita has established and implemented land acquisition practices in accordance with applicable Serbian legislation and based on international best practices. The compensation for private land and crops is calculated at full replacement cost, which includes an independently assessed market value of the asset and transaction costs, plus a transaction premium. Rakita manages and supports the land acquisition process, including identification of affected plots and owners/users, valuation of properties, sale-purchase agreements, registration of transfer of ownership, and payment of compensation. Additionally, Rakita is continuing to monitor affected households to help mitigate potential impacts of land acquisition activities.
Further information on these topics can be found in the Land Acquisition and Resettlement Framework LARF or by visiting the Rakita Info Center at Mose Pijade Street 46/6, Bor, Serbia.
If there are open positions:
- Apply through the website by completing the application form available at Careers , or
- Send an application to the e-mail email@example.com. It is obligatory to specify the position title for which the candidate is applying. Short-listed candidates will be notified within 5 to 15 days after the expiry of the competition. The notice of the competition outcome will be sent only to the short-listed candidates interviewed during the process. All applications will remain in the applicants’ database led by the Human Resources department.
If there are no open positions:
- You can send a CV at any time to the e-mail address firstname.lastname@example.org. The Human Resources department will enter all data received into the application base. Candidates receive automatically generated responses to inform them that their application has been received. The applicant's database is used in cases when no competition for a particular position is published, so candidates who meet relevant conditions for the position are searched for in the database, or
- You can visit the Info Center at Mose Pijade Street 46/6 in Bor, Serbia, work days from 8 a.m. to 4 p.m. and submit your CV that will be forwarded to the Human Resources department.