By Oscar Nkala
Australian miner Nzuri Copper Ltd has updated its feasibility study for the first phase of mine development at the Kalongwe Copper-Cobalt Project in the Democratic Republic of Congo (DRC).
In a statement, the company said the updated stage 1 feasibility study was based on pricing and reflected the continued increase in cobalt prices and point-of-delivery costs.
Company chief executive officer Mark Arnesen said the updated results had reinforced the financial and technical merits of the project and delivered significant financial returns.
“The Kalongwe Copper-Cobalt Project continues to grow from strength to strength. The updated Stage 1 feasibilility study has delivered an impressive pre-tax net present value of US$186 million, a 99% internal rate of return and increased ore reserve which now underpins an 8-year- mine life(span).
“This incorporates updated, though still conservative, cobalt pricing assumptions. It is also based on an enhanced point-of-delivery at Kolwezi based on advanced discussions with potential off-taker completed since the 2017 feasibility study,” Arnesen said.
The updated results have raised the underground cobalt reserve at Kolwezi to 8 million tonnes at 2.94% copper and 0.34% cobalt.