Lundin accelerates exploration at all sites into 2018

JOHANNESBURG (miningweekly.com) – TSX-listed base metals miner Lundin Mining’s exploration efforts continue to add significant value to the company’s assets and, in light of improved market conditions, the company plans to accelerate exploration at all mine sites in 2018, as well as advance at least two new copper-focused greenfield exploration projects.

The company announced on Tuesday that, as at June 30, its proven and probable mineral reserves categories totalled 3.23-million tonnes of copper, 3.16-million tonnes of zinc and 130 000 t of nickel.

Commenting on the release of the company’s reserve estimates, Lundin CEO and president Paul Conibear noted that exploration success at the group’s Candelaria operation, in Chile, has resulted in increases in underground mineral resources and mineral reserves that will enable Lundin to continue advancing mine plan optimisation and mine life extension in the South American country.

Reflecting the continued success of exploration campaigns, total measured and indicated mineral resources at Candelaria increased by about 7.5% to 740.9-million tonnes at 0.70% copper, from 689.0-million tonnes at 0.64% copper.

Total proven and probable mineral reserves at the Chile-based project increased by about 3% to 497.5-million tonnes at 0.56% copper, despite mining depletion.

However, the openpit proven and probable mineral reserves, excluding stockpiles, decreased to 315.9-million tonnes at 0.53% copper, from 337.6-million tonnes at 0.54% copper, reflecting 12 months of mining depletion.

Total underground proven and probable mineral reserves at Candelaria now stand at 89.3-million tonnes at 0.88% copper, reflecting a significant increase of 38.1-million tonnes over last year, reflecting continued exploration success, particularly in the Candelaria Norte underground mine.

Meanwhile, study work and approval during the last year of the zinc expansion project at the Neves-Corvo project, in Portugal, and the Eagle East development, in the US, have contributed to increased mineral reserves at both mines.

Copper proven and probable mineral reserves at Neves-Corvo increased to 29.1-million tonnes at 2.4% copper from 26.1-million tonnes at 2.7% copper, as at June 30, despite mining depletion. Zinc proven and probable mineral reserves, meanwhile, have increased to 30.4-million tonnes at 7.7% zinc from 23.4-million tonnes at 7.2% zinc.

Total copper measured and indicated mineral resources at Neves-Corvo has been reduced by mining depletion and geological reinterpretation to stand at 61.7-million tonnes at 2.4% copper, compared with 70-million tonnes at 2.7% copper reported in the prior-year period. However, the total zinc measured and indicated mineral resources remain almost unchanged at 106.5-million tonnes at 6.1% zinc.

At Eagle East, probable mineral reserves reported on April 10 amounted to 1.5-million tonnes at 3.7% nickel and 3% copper. The total combined Eagle and Eagle East proven and probable mineral reserves now stand at 4.7-million tonnes at 2.7% nickel and 2.3% copper.

Meanwhile at Lundin’s Zinkgruvan mine, in Sweden, the zinc proven and probable mineral reserves have increased to 11.9-million tonnes at 7.2% zinc and 2.9% lead, while copper proven and probable mineral reserves have increased to 5.3-million tonnes at 1.8% copper.