JOHANNESBURG (miningweekly.com) – ASX-listed junior Caravel Minerals is studying a new copper project in the Wheatbelt district of Western Australia, in which Canada-based First Quantum could earn a stake.
Caravel on Tuesday published the Calingiri scoping study results, which confirmed that the project could be a low-cost, midtier producer. The study contemplated the codevelopment of three openpits, about 120 km north-east of Perth.
Central to the project was the construction of a standalone 15-million-tonne-a-year processing facility.
Caravel stated that the Calingiri scoping study estimated an initial 20-year life-of-mine for 710 000 t of copper produced. However, the company said that the production details would be further assessed in a prefeasibility study, which would be completed in the first half of next year.
A production rate of between 60-million pounds a year and 92-million pounds a year of copper was estimated.
The Calingiri project would require preproduction capital of A$440-million, which Caravel said could be repaid in three years.
“We are confident that Calingiri’s strong economic and technical merits will enable us to secure the funding required on attractive terms with our current tier-one farm-in partner in First Quantum, a highly regarded and rapidly growing global resources group operating six mines and developing five projects worldwide,” commented Caravel CEO Marcel Hilmer.
Edited by: Creamer Media Reporter
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