At a glance
The Khoemacau flagship +60ktpa copper and +2Mozpa silver metal Starter Project has involved the development of the Zone 5 underground mine and associated infrastructure, and the upgrade and expansion of the existing Boseto processing plant.
The Zone 5 deposit currently has a 22-year mine life, with a total mineral resource of 92Mt at 2.2% Cu and 22g/t Ag. This high grade deposit offers a 4.2km strike length and with average widths over 10m is ideally suited to modern, highly mechanised mining, delivering C1 cash costs over the life estimated at approximately $1.30 per pound* of copper and $1.75* per pound on an all-in sustaining basis.
The Project is fully funded, through the US$650 million facilities raised in 2019. The total Project development capital costs were approximately $410m (within 3% of the original budget), and commissioning of the process plant was completed in July 2021 with ramp up to name plate by the end of this year.
Resource development drilling and feasibility studies of the Expansion Project exploiting the Zone 5 N, Zeta NE and Mango NE deposits, which offer total mineral resources of 75Mt at 2% Cu and 33g/t Ag, are underway, while regional exploration continues to define additional exploration targets.
Steady state production from the Starter Project will be +60ktpa copper and +2Mozpa silver metal in concentrate, with the potential to grow to +150ktpa and +6Mozpa respectively.
* net of silver credits at consensus pricing