PERTH (miningweekly.com) – Copper hopeful Metminco on Friday said that securing a project partner for the Los Calatos project, in Peru, was taking longer than initially anticipated, owing to current market conditions, and the need to secure a transaction that reflected real value for shareholders.
MD William Howe said that a number of parties were currently working through due diligence studies at the project, with several new parties entering the process in late 2015.
A final mine report in 2015 estimated that the Los Calatos project would produce about 50 000 t/y of copper concentrate over a 22-year mine life, at a C1 cash operating cost of $1.29/lb.
The project was expected to have life-of-mine earnings before interest, taxes, depreciation and amortisation of $3.82-billion and a net present value of $447-million.
Meanwhile, Metminco on Friday reported that the Chilean Supreme Court had upheld a prior ruling by the Court of Appeal overturning a decision by a lower court to grant Metminco mining access rights to the Mollacas project.
Howe said that the ruling did not affect Metminco’s mining concession rights, or the existing rights previously granted over the mining area.
Metminco holds title to 21 exploration concessions covering the Mollacas deposit and surrounding area, and owns 179 ha of land adjacent to the proposed openpit operation.
The project is estimated to host about 15.5-million tonnes of resource, containing 79 100 t of copper and 61 600 t of copper sulphide.
Edited by: Mariaan Webb
Creamer Media Senior Deputy Editor Online
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