The MVDP is designed to extend annual copper cathode manufacturing on the Mantoverde mine operation from round 35,000-40,000 tonnes to 120,000 tonnes. The mission entails processing sulphide ores on prime of oxides in a brand new 32,000-tonne-a-day concentrator, plus a tailings factily and an expanded desalination plant.
Development of MVDP, which is estimated to value $870 million, was accomplished in late 2023. Upon completion, about 75% of Mantoverde’s manufacturing will come from low-cost sulphide ores.
With MVDP reaching business manufacturing and ramping up, alongside the ramp-up efficiency on the Mantos Blancos mine in Antofagasta, Capstone expects the fourth quarter to be the strongest quarter of the 12 months throughout the portfolio.
Nonetheless, the corporate additionally famous that the ramp-ups are occurring later than anticipated, which it stated will end result on this 12 months’s consolidated copper manufacturing trending to the decrease finish of its steerage vary of 90,000-220,000 tonnes of copper, whereas money prices will development within the greater finish of steerage.
After MVDP, Capstone is eyeing an extra growth at Mantoverde, also called the optimized Mantoverde improvement mission, that entails increasing the sulphide concentrator to extend the annual throughput to 45,000 tonnes per day. That is anticipated to convey on a further 20,000 tonnes each year of copper for roughly $146 million of capital.
Optimized feasibility research
For the optimized mission, Capstone launched on Tuesday a feasibility research that supported an prolonged 25-year mine life with complete incremental manufacturing of 368,000 tonnes of copper and 215,000 ounces of gold.
The manufacturing was supported by on the next sulphide mineral reserve estimate of 398 million tonnes at a copper grade of 0.49% and a gold grade of 0.10 g/t, and in addition the next oxide reserve estimate of 236 million tonnes at a soluble copper grade of 0.21%.
The FS outlined an after-tax internet current worth at an 8% low cost fee of $2.9 billion for the Mantoverde operation on a 100%-basis, based mostly on a $4.10/lb long-term copper worth assumption.
John MacKenzie, Capstone’s CEO, stated the feasibility research, when mixed with the just lately launched Santo Domingo FS, defines the “subsequent part of transformational progress” for the corporate.
“MV Optimized is a capital-efficient, high-return and low-risk growth mission that’s anticipated to convey on a further 20,000 tonnes each year of copper for roughly $146 million of capital. We see the MV-SD district producing roughly 250,000 tonnes of copper each year, putting it amongst the biggest producing copper districts on the planet,” he added.
Capstone now plans to start development of the MV Optimized mission following acceptance of its environmental allow utility and board approvals. The allow utility was submitted earlier this 12 months, and approval is predicted within the first half of 2025.
Capstone Copper’s shares closed Tuesday’s session 1.7% greater at C$10.75 apiece, for a market capitalization of C$8.2 billion.