Neves-Corvo, Portugal
Copper Zinc Mine
Neves-Corvo is an underground mine, 100 km north of Faro, Portugal, in the western part of the Iberian Pyrite Belt. The mine has been a significant producer of copper since 1989 and in 2006 commenced treating zinc ores. The facilities consist of a shaft with up to 4.5 mtpa hoisting capacity for ore and waste, a copper plant with 2.5 mtpa processing capacity and a newly expanded zinc plant with 1 mtpa processing capacity. The processing of zinc-rich ores was suspended in November 2008 pending an improvement in zinc prices and the zinc facility was converted to treat copper ore. Zinc production was restarted at a limited rate in 2010 and a new zinc expansion project was completed in July 2011. The expanded plant has the flexibility to process zinc or copper ores.
The mine employs both bench-and-fill and drift-and-fill stoping methods.
The ore treatment is carried out by conventional crushing, flotation, grinding, thickening and filtration processes.
Neves-Corvo Optimization and Expansion Opportunities- Neves-Corvo Copper Plant: The current higher cutoff grade production plan leaves spare capacity in the copper plant, which could be used to treat lower-grade ore, should copper prices rise above current levels.
- Neves-Corvo Zinc Plant Expansion: A further expansion of the existing zinc capacity to 2.5 Mtpa ore feed capacity (to a peak 150,000tpa zinc production averaging 112,000tpa) has been evaluated as described in the Company's Lombador Phase One feasibility study press release of September 2011. While the SAG mill has been ordered and certain other surface critical path items are still advancing, less schedule sensitive expenditures related to the zinc plant expansion have been put on hold pending completion of the overall Neves-Corvo Underground Materials Handling Study.
- Neves-Corvo Underground Materials Handling Study: In order to seek optimal value from the Neves-Corvo asset, a conceptual level study is progressing to evaluate the relative merits of accessing and extracting copper rich Semblana deposit mineralization in advance of exploiting deeper zinc and copper mineralization from Lombador ("Lombador Phase Two"). This study is comparing underground infrastructure investment options including a new vertical shaft, inclined ramps and conveyors, and debottlenecking of the current shaft and underground infrastructure. No allowance has been included in the 2012 capital estimates for such investments pending completion study work.
- Semblana/Lombador Phase Two: No production forecasts have been included for material from these deposits, pending the completion of the Underground Materials Handling Study.
Neves Corvo Mine
| Location |
100 km north of Faro, Portugal, in the western part of the Iberian Pyrite Belt |
| Ownership |
100% |
| Type of ore body |
Volcanogenic massive sulfide (VMS) |
| Primary metal |
Copper |
| Secondary metal |
Zinc |
2P reserves
Copper-rich ores
Zinc-rich ores |
27.7mt @ 3.0% Cu, 0.9% Zn, 0.3% Pb, 44 g/t Ag
23.1mt @ 7.3% Zn, 0.4% Cu, 1.7% Pb, 66 g/t Ag |
| Type of mine |
Underground |
| Mine facilities and method |
4.6mtpa shaft with separate ramp access. Mining based on mechanized stoping using primarily bench & fill and drift & fill methods with sand and paste backfill |
| Processing facilities |
A copper plant (2.5mtpa capacity); a zinc plant (presently being expanded to 1mtpa capacity); tailings impoundment; and backfill plants |
| End product |
Copper in concentrate (grading approx. 25%); Zinc in concentrate (grading approx. 50%) |
| Expected mine life |
10+ years |
| Employees |
910 full-time employee equivalents |
| Potential growth |
Neves-Corvo is considered to remain under-explored. An 80,000 metre drill program is planned for 2011 focused on delineating the Semblana deposit and further expanding copper resources at Lombador . A study looking at development of the Lombador zinc/lead/copper deposit is well advanced. |
| 2011 Targets |
|
| Production |
Copper |
|
Zinc |
| Cash costs |
USc/lb |
|
| 70,000 tonnes contained in concentrate |
| 4,500 tonnes contained in concentrate |
| 180c/lb Cu |
|
Click here to see full Reserves and Resources statement
Quarterly Operations Update
