Jumbo drill in a 10-metre high by 7.5-metre wide high grade stope at Kakula. Credit: Ivanhoe Mines.
Ivanhoe mines achieved a production record in February at the Kamoa-Kakula Copper Project in the DRC. The 339,000 tonnes mined and stockpiled in February had an average ore grading of 5.5%; this included 47,300 tonnes grading 4.62% copper from the Kansoko Mine, establishing a new monthly production record at Kansoko. The overall tonnage also included 107,000 tonnes grading 9.01% copper from the high-grade centre of the Kakula Mine.
The total tonnage milestone was reached despite the scheduled conveyor belt changeover to the permanent configuration at Kakula.
Kamoa-Kakula is on track to have more than three million tonnes of high-grade and medium-grade ore stockpiled on surface, holding more than 125,000 tonnes of contained copper, prior to the planned start of processing in July 2021.
Ivanhoe says the surface stockpiles of blended high and medium grade ore are estimated to contain 125,000 tonnes copper.
Ivanhoe believe the potential for sustained higher copper prices further improves the outstanding economics of the project.
“We’ve been publicly stating for the record confidence about higher copper prices in real terms for a long time. The stars now are aligning for the start of production at Kamoa-Kakula,” said Co-Executive Chairman Robert Friedland. “We believe we’re only on the cusp of what will be a structural, powerful and long-term commodity rally given supply limitations and fundamental demand from global green initiatives.”
Underground development for drift-and-fill mining in February totaled 2,798 metres, to total 35.5 kilometres, about 12.4 kilometres ahead of schedule. Mineral processing is to begin in July 2021 producing 3.8 million lb. copper per year.
The company is also making plans for an expansion to 7.6 million tonnes of copper annually beginning in Q3 2022. The expansion has an after-tax net present value (8%) of US.$11.1 billion and an internal rate of return of 56.2% at a long term copper price of US$3.10 per lb. Rising copper prices will, of course, increase both these values.
