Sample Copper Mine Cost Report

Sample Copper Mine
Owners | Production | Financial | Reserves | Comments
Name: Sample Copper Mine
Location: x
Latitude: x
Longitude: x
State: x
Country: x
Geological Province: x
Telephone: x
Facsimile: x
Mine Status: Production
Mine Type: O/P
Process Routes: Flotation, SX/EW
Reported Plant Capacity: 153 ktpd
Commodities: Copper in concs., Copper-Electrowon, Gold, Molybdenum, Silver
Owners and Operators
Owner % Interest
Company A 100
Operator % Interest
Operator X 100
Production
1989 1990 1991 1992 1993 1994 1995
MINING
Waste
  Mill Ore
    Waste tonnes 160,776,000
    Waste Ratio 2.60 2.60 2.90 2.90 2.90 2.90 2.90
  Leach Ore
    Waste tonnes 6,144,000
    Waste Ratio 0.64
  Total Waste tonnes 166,920,000
  Total Waste / Open Cut Ore Ratio 2.57
Ore Production
  Mill Ore
    Open Cut tonnes 55,440,000
    Underground tonnes
    Total tonnes 55,440,000
  Open Cut Leach Ore tonnes 9,600,000
  Total tonnes 65,040,000
PROCESSING
Ore Treated
  Surface tonnes 55,440,000
  Underground tonnes
  Stockpile tonnes
  Total Milled tonnes 47,280,000 44,810,000 49,060,000 45,020,000 50,246,000 54,706,000 55,440,000
  Mill Capacity Mtpy
  SX-EW Leach tonnes 37,950,000 36,820,000 36,820,000 29,300,000 30,100,000 47,226,531
  Total tonnes 47,280,000 82,760,000 85,880,000 81,840,000 79,546,000 84,806,000 102,666,531
Head Grades of Ore Milled
  Cu % 1.47 1.42 1.29 1.26 1.22 1.15 1.10
  Pb %
  Zn %
  Mo % 0.03 0.03 0.03 0.03 0.03 0.03 0.03
  Co %
  Au g/t 0.03 0.09 0.06 0.07 0.07 0.06 0.06
  Ag g/t 4.3 2.9 3.5 3.2 3.0 3.0
  Sn %
Leach Ore Grade Cu% 0.60 0.60 0.60 0.68 0.70 0.59
Cu CON
Tonnes of conc 1,695,000 1,811,000 1,677,000 1,633,000 1,640,000 1,600,000 1,540,000
Cu % 35.40 29.98 29.99 30.01 30.02 29.66 29.81
Au g/t 0.40 1.33 1.13 1.09 1.19 1.19 1.19
Ag g/t 102.0 86.7 73.3 71.1 74.9 75.6 85.0
Co %
Mo %
Contained Cu tonnes 600,000 543,000 503,000 490,000 492,343 474,481 459,113
Contained Au ozs 21,798R 77,439R 60,926R 57,227 62,745 61,215 58,919
Contained Ag kgs 172,808R 157,014 122,850R 116,025R 122,850 120,900 130,900
Contained Co tonnes
Contained Mo tonnes
OTHER CON
Tonnes of conc 5,887 5,098 4,476 4,886 4,600 4,500 5,000
Cu %
Pb %
Zn %
Au g/t
Ag g/t
Mo % 51.20 51.00 51.01 50.00 50.00 49.80 40.58
Co %
Sn %
Contained Cu tonnes
Contained Pb tonnes
Contained Zn tonnes
Contained Au ozs
Contained Ag kgs
Contained Mo tonnes 3,014R 2,600R 2,283R 2,443R 2,300R 2,241R 2,029R
Contained Co tonnes
Contained Sn tonnes
Cu PROD
Cu in Ore Milled tonnes 695,016 636,302 632,874 567,252 613,001 629,119 609,840
Metal in Cons
  Cu tonnes 600,000 543,000 503,000 490,000 492,343 474,481 459,113
  Recovery % 86.30 85.30 79.50 86.40 80.30 75.40 75.30
Contained Cu Leach Ore tonnes 227,700 220,920 220,920 199,240 210,700 278,637
EW Copper
  Cu tonnes 148,000 148,000 148,000 134,220 141,220 160,220
  Recovery % 65.00 67.00 67.00 67.40 67.00 57.50
Total Copper Production tonnes 600,000R 691,000R 651,000R 638,000R 626,563R 615,701R 619,333R
Au PROD
Au in Ore Treated oz 45,603 129,661 94,639 101,320 113,081 105,530 106,946
Production as Metal
  Production by CIP/CIL oz
  Production by HL oz
  Production by Gravity oz
  Sub-total oz
  Recovery %
Au in Conc oz 21,798 77,439 60,926 57,227 62,745 61,215 58,919
Total
Production oz 21,798 77,439 60,926 57,227 62,745 61,215 58,919
Recovery % 47.80 59.70 64.40 56.50 55.50 58.00 55.10
Head Grade g/t 0.03 0.05 0.03 0.04 0.04 0.04 0.03
Yield g/t
Ag PROD
Ag in Ore Treated kg 203,304 249,052 286,440 254,547 254,418 166,320
Ag in Cons kg 172,808 157,014 122,850 116,025 122,850 120,900 130,900
Ag as Metal kg
Total Ag Production kg 172,808 157,014 122,850 116,025 122,850 120,900 130,900
Recovery % 85.00 49.30 40.50 48.30 47.50 78.70
Mo PROD
Mo in Ore Milled tonnes 14,184 13,443 14,718 13,506 15,074 16,412 16,632
Metal in Cons
  Mo tonnes 3,014 2,600 2,283 2,443 2,300 2,241 2,029
  Recovery % 21.20 19.30 15.50 18.10 15.30 13.70 12.20
1996 1997 1998 1999 2000 2001 2002
MINING
Waste
  Mill Ore
    Waste tonnes 102,182,000 109,308,000 106,134,000 116,952,000 117,000,000 118,000,000 118,000,000
    Waste Ratio 2.00 2.00 2.00 2.00 2.00 2.00 2.00
  Leach Ore
    Waste tonnes 6,400,000 6,656,000 6,720,000 2,520,000 2,520,000 2,520,000 2,520,000
    Waste Ratio 0.64 0.64 0.64 0.40 0.40 0.40 0.40
  Total Waste tonnes 108,582,000 115,964,000 112,854,000 119,472,000 119,520,000 120,520,000 120,520,000
  Total Waste / Open Cut Ore Ratio 1.78 1.78 1.78 1.84 1.84 1.85 1.85
Ore Production
  Mill Ore
    Open Cut tonnes 51,091,000 54,654,000 53,067,000 58,476,000 58,500,000 59,000,000 59,000,000
    Underground tonnes
    Total tonnes 51,091,000 54,654,000 53,067,000 58,476,000 58,500,000 59,000,000 59,000,000
  Open Cut Leach Ore tonnes 10,000,000 10,400,000 10,500,000 6,300,000 6,300,000 6,300,000 6,300,000
  Total tonnes 61,091,000 65,054,000 63,567,000 64,776,000 64,800,000 65,300,000 65,300,000
PROCESSING
Ore Treated
  Surface tonnes 51,091,000 54,654,000 53,067,000 58,476,000 58,500,000 59,000,000 59,000,000
  Underground tonnes
  Stockpile tonnes
  Total Milled tonnes 51,091,000 54,654,000 53,067,000 58,476,000 58,500,000 59,000,000 59,000,000
  Mill Capacity Mtpy
  SX-EW Leach tonnes 51,708,163 56,189,796 56,289,796 52,089,796 52,089,796 52,089,000 52,089,000
  Total tonnes 102,799,163 110,843,796 109,356,796 110,565,796 110,589,796 111,089,000 111,089,000
Head Grades of Ore Milled
  Cu % 1.14 1.13 1.16 1.17 1.10 1.10 1.10
  Pb %
  Zn %
  Mo % 0.03 0.03 0.03 0.03 0.03 0.03 0.03
  Co %
  Au g/t 0.06 0.06 0.06 0.06 0.06 0.06 0.06
  Ag g/t 3.0 3.0 3.0 3.0 3.0 3.0 3.0
  Sn %
Leach Ore Grade Cu% 0.57 0.56 0.57 0.51 0.51 0.51 0.51
Cu CON
Tonnes of conc 1,600,000 1,640,000 1,640,000 1,671,339 1,680,000 1,690,000 1,690,000
Cu % 29.91 30.11 30.11 30.09 30.00 30.00 30.00
Au g/t 1.19 1.19 1.19 1.19 1.25 1.25 1.25
Ag g/t 85.0 85.0 85.0 85.0 85.0 85.0 85.0
Co %
Mo %
Contained Cu tonnes 478,635 493,868 493,811 502,906 504,000 507,000 507,000
Contained Au ozs 61,215R 62,745R 62,745 63,944 67,517 67,918 67,918
Contained Ag kgs 136,000 139,400 139,400 142,064 142,800 143,650 143,650
Contained Co tonnes
Contained Mo tonnes
OTHER CON
Tonnes of conc 10,000 25,000 28,000 28,000 28,000 28,000 28,000
Cu %
Pb %
Zn %
Au g/t
Ag g/t
Mo % 51.00 50.26 53.08 50.69 51.62 51.62 51.62
Co %
Sn %
Contained Cu tonnes
Contained Pb tonnes
Contained Zn tonnes
Contained Au ozs
Contained Ag kgs
Contained Mo tonnes 5,100 12,564R 14,861R 14,194R 14,454 14,454 14,454
Contained Co tonnes
Contained Sn tonnes
Cu PROD
Cu in Ore Milled tonnes 582,437 617,590 615,577 684,169 643,500 649,000 649,000
Metal in Cons
  Cu tonnes 478,635 493,868 493,811 502,906 504,000 507,000 507,000
  Recovery % 82.20 80.00 80.20 73.50 78.30 78.10 78.10
Contained Cu Leach Ore tonnes 294,737 314,663 320,852 265,658 265,658 265,654 265,654
EW Copper
  Cu tonnes 163,220 166,220 166,220 137,220 137,220 137,220 137,220
  Recovery % 55.40 52.80 51.80 51.70 51.70 51.70 51.70
Total Copper Production tonnes 641,855R 660,088R 660,031R 640,126R 641,220 644,220 644,220
Au PROD
Au in Ore Treated oz 98,557 105,430 102,369 112,803 112,849 113,814 113,814
Production as Metal
  Production by CIP/CIL oz
  Production by HL oz
  Production by Gravity oz
  Sub-total oz
  Recovery %
Au in Conc oz 61,215 62,745 62,745 63,944 67,517 67,918 67,918
Total
Production oz 61,215 62,745 62,745 63,944 67,517 67,918 67,918
Recovery % 62.10 59.50 61.30 56.70 59.80 59.70 59.70
Head Grade g/t 0.03 0.03 0.03 0.03 0.03 0.03 0.03
Yield g/t
Ag PROD
Ag in Ore Treated kg 153,273 163,962 159,201 175,428 175,500 177,000 177,000
Ag in Cons kg 136,000 139,400 139,400 142,064 142,800 143,650 143,650
Ag as Metal kg
Total Ag Production kg 136,000 139,400 139,400 142,064 142,800 143,650 143,650
Recovery % 88.70 85.00 87.60 81.00 81.40 81.20 81.20
Mo PROD
Mo in Ore Milled tonnes 15,327 16,396 15,920 17,543 17,550 17,700 17,700
Metal in Cons
  Mo tonnes 5,100 12,564 14,861 14,194 14,454 14,454 14,454
  Recovery % 33.30 76.60 93.30 80.90 82.40 81.70 81.70
2003 2004 2005
MINING
Waste
  Mill Ore
    Waste tonnes 128,000,000 130,000,000 130,000,000
    Waste Ratio 2.00 2.00 2.00
  Leach Ore
    Waste tonnes 2,520,000 2,520,000 2,520,000
    Waste Ratio 0.40 0.40 0.40
  Total Waste tonnes 130,520,000 132,520,000 132,520,000
  Total Waste / Open Cut Ore Ratio 1.86 1.86 1.86
Ore Production
  Mill Ore
    Open Cut tonnes 64,000,000 65,000,000 65,000,000
    Underground tonnes
    Total tonnes 64,000,000 65,000,000 65,000,000
  Open Cut Leach Ore tonnes 6,300,000 6,300,000 6,300,000
  Total tonnes 70,300,000 71,300,000 71,300,000
PROCESSING
Ore Treated
  Surface tonnes 64,000,000 65,000,000 65,000,000
  Underground tonnes
  Stockpile tonnes
  Total Milled tonnes 64,000,000 65,000,000 65,000,000
  Mill Capacity Mtpy
  SX-EW Leach tonnes 52,089,000 52,089,000 52,089,000
  Total tonnes 116,089,000 117,089,000 117,089,000
Head Grades of Ore Milled
  Cu % 1.08 1.08 1.08
  Pb %
  Zn %
  Mo % 0.03 0.03 0.03
  Co %
  Au g/t 0.06 0.06 0.06
  Ag g/t 3.0 3.0 3.0
  Sn %
Leach Ore Grade Cu% 0.51 0.51 0.51
Cu CON
Tonnes of conc 1,800,000 1,850,000 1,850,000
Cu % 30.00 30.00 30.00
Au g/t 1.25 1.25 1.25
Ag g/t 85.0 85.0 85.0
Co %
Mo %
Contained Cu tonnes 540,000 555,000 555,000
Contained Au ozs 72,339 74,349 74,349
Contained Ag kgs 153,000 157,250 157,250
Contained Co tonnes
Contained Mo tonnes
OTHER CON
Tonnes of conc 30,000 31,000 31,000
Cu %
Pb %
Zn %
Au g/t
Ag g/t
Mo % 51.62 51.62 51.62
Co %
Sn %
Contained Cu tonnes
Contained Pb tonnes
Contained Zn tonnes
Contained Au ozs
Contained Ag kgs
Contained Mo tonnes 15,486 16,002 16,002
Contained Co tonnes
Contained Sn tonnes
Cu PROD
Cu in Ore Milled tonnes 691,200 702,000 702,000
Metal in Cons
  Cu tonnes 540,000 555,000 555,000
  Recovery % 78.10 79.10 79.10
Contained Cu Leach Ore tonnes 265,654 265,654 265,654
EW Copper
  Cu tonnes 137,220 137,220 137,220
  Recovery % 51.70 51.70 51.70
Total Copper Production tonnes 677,220 692,220 692,220
Au PROD
Au in Ore Treated oz 123,459 125,388 125,388
Production as Metal
  Production by CIP/CIL oz
  Production by HL oz
  Production by Gravity oz
  Sub-total oz
  Recovery %
Au in Conc oz 72,339 74,349 74,349
Total
Production oz 72,339 74,349 74,349
Recovery % 58.60 59.30 59.30
Head Grade g/t 0.03 0.03 0.03
Yield g/t
Ag PROD
Ag in Ore Treated kg 192,000 195,000 195,000
Ag in Cons kg 153,000 157,250 157,250
Ag as Metal kg
Total Ag Production kg 153,000 157,250 157,250
Recovery % 79.70 80.60 80.60
Mo PROD
Mo in Ore Milled tonnes 19,200 19,500 19,500
Metal in Cons
  Mo tonnes 15,486 16,002 16,002
  Recovery % 80.70 82.10 82.10
Cost Sheet (Conc) - Cost Information from AME Copper Cost Report issued Dec 2000
Costs in 2000 terms
1998 1999 2000 2001 2002 2003 2004 2005
Mining, Reclamation & Primary Crushing
Open Pit Waste:Ore t:t 2.0:1 2.0:1 2.0:1 2.0:1 2.0:1 2.0:1 2.0:1 2.0:1
Open Pit kt ore 53,067 58,476 58,500 59,000 59,000 64,000 65,000 65,000
Underground kt ore - - - - - - - -
kt ore 53,067 58,476 58,500 59,000 59,000 64,000 65,000 65,000
Material Reclaimed kt - - - - - - - -
O/P Waste:Ore - Basis of Costing 2.0:1 2.0:1 2.0:1 2.0:1 2.0:1 2.0:1 2.0:1 2.0:1
Unit costs
Open Pit US$/t ore 2.54 2.45 2.55 2.44 2.43 2.42 2.41 2.40
Underground US$/t ore - - - - - - - -
Reclamation US$/t - - - - - - - -
Annual Cost of Mining, Reclamation & Primary Crushing (based on tonnes processed)
Labour US$M 36.12 36.30 34.27 33.63 32.72 34.52 34.11 33.21
Pet Products US$M 18.10 23.74 32.07 26.89 27.07 29.56 30.22 30.42
Electricity US$M 3.69 3.71 3.69 3.72 3.72 4.00 4.05 4.05
Other Consumables 76.83 79.46 79.27 79.95 79.95 86.71 88.06 88.06
Total US$M 134.74 143.20 149.31 144.19 143.46 154.78 156.45 155.74
Mining US$M 134.74 143.20 149.31 144.19 143.46 154.78 156.45 155.74
Reclamation US$M - - - - - - - -
Avg No. in Workforce 1,693 1,820 1,773 1,740 1,693 1,786 1,765 1,718
Metallurgy
Ore Treated - Total Milled kt 53,067 58,476 58,500 59,000 59,000 64,000 65,000 65,000
Ore Ground kt 53,067 58,476 58,500 59,000 59,000 64,000 65,000 65,000
Ore Concentrated kt 53,067 58,476 58,500 59,000 59,000 64,000 65,000 65,000
- - - - - - - -
Unit costs per tonne ore milled
Ore Transport US$/t ore 0.01 0.01 0.01 0.01 0.01 0.01 0.01 0.01
Milling US$/t ore 2.01 2.02 2.03 2.02 2.02 2.04 2.04 2.04
Concentrating US$/t ore 0.84 0.78 0.77 0.77 0.77 0.74 0.74 0.73
- - - - - - - -
2.87 2.82 2.81 2.80 2.80 2.79 2.79 2.78
- - - - - - - -
- - - - - - - -
Annual Cost of Metallurgy
Milling & Concentrating US$M 152.04 164.73 164.67 165.44 165.34 178.54 181.12 181.02
Gold Recovery US$M - - - - - - - -
152.04 164.73 164.67 165.44 165.34 178.54 181.12 181.02
Labour US$M 5.23 4.97 4.70 4.58 4.46 4.48 4.41 4.29
Pet Products US$M 1.35 1.88 2.54 2.12 2.14 2.31 2.36 2.37
Electricity US$M 46.52 49.46 49.26 49.75 49.75 54.63 55.61 55.61
Other Consumables US$M 98.94 108.42 108.17 108.98 108.98 117.12 118.74 118.74
Total Metallurgy US$M 152.04 164.73 164.67 165.44 165.34 178.54 181.12 181.02
Avg No. in Workforce 245 249 243 237 231 232 228 222
Unit Costs per tonne ore Treated
Mining US$/t ore 2.54 2.45 2.55 2.44 2.43 2.42 2.41 2.40
Metallurgy US$/t ore 2.87 2.82 2.81 2.80 2.80 2.79 2.79 2.78
Total US$/t ore 5.40 5.27 5.37 5.25 5.23 5.21 5.19 5.18
Exchange Rate CLP/US$ 460.3 508.8 525. 525. 525. 525. 525. 525.
Average Labour Cost US$/head $21,330 $19,940 $19,330 $19,330 $19,330 $19,330 $19,330 $19,330
Avg Total Workforce 1,938 2,069 2,016 1,977 1,924 2,018 1,993 1,940
Concentrator Feed
Ore Treated kt 53,067 58,476 58,500 59,000 59,000 64,000 65,000 65,000
Head Grade Au 0.06g/t 0.06g/t 0.06g/t 0.06g/t 0.06g/t 0.06g/t 0.06g/t 0.06g/t
Ag 3.0g/t 3.0g/t 3.0g/t 3.0g/t 3.0g/t 3.0g/t 3.0g/t 3.0g/t
Cu 1.16% 1.17% 1.1% 1.1% 1.1% 1.08% 1.08% 1.08%
Mo 0.03% 0.03% 0.03% 0.03% 0.03% 0.03% 0.03% 0.03%
Silver in Bullion kg - - - - - - - -
Gold in Bullion oz - - - - - - - -
Nickel Metal t - - - - - - - -
Cobalt Metal t - - - - - - - -
U3O8 contained t - - - - - - - -
Copper Concentrate kt 1640.0 1671.3 1680.0 1690.0 1690.0 1800.0 1850.0 1850.0
Analysis Cu 30.11% 30.09% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0%
Ag 85.0g/t 85.0g/t 85.0g/t 85.0g/t 85.0g/t 85.0g/t 85.0g/t 85.0g/t
Au 1.19g/t 1.19g/t 1.25g/t 1.25g/t 1.25g/t 1.25g/t 1.25g/t 1.25g/t
Moly Concentrate kt 28.0 28.0 28.0 28.0 28.0 30.0 31.0 31.0
Analysis Mo 53.10% 50.70% 51.60% 51.60% 51.60% 51.60% 51.60% 51.60%
(No Conc. #3) kt - - - - - - - -
(No Conc. #4) kt - - - - - - - -
Total Recovered Metal Au oz 62,745 63,944 67,517 67,918 67,918 72,339 74,349 74,349
Ag kg 139,400 142,064 142,800 143,650 143,650 153,000 157,250 157,250
Cu tonnes 493,811 502,906 504,000 507,000 507,000 540,000 555,000 555,000
Mo tonnes 14,861 14,194 14,454 14,454 14,454 15,486 16,002 16,002
Overall Recoveries Au 61.3% 56.7% 59.8% 59.7% 59.7% 58.6% 59.3% 59.3%
Ag 87.6% 81.0% 81.4% 81.2% 81.2% 79.7% 80.6% 80.6%
Cu 80.2% 73.5% 78.3% 78.1% 78.1% 78.1% 79.1% 79.1%
Mo 93.3% 80.9% 82.4% 81.7% 81.7% 80.7% 82.1% 82.1%
- - - - - - - -
- - - - - - - -
Payable Metals
Ag kg 90,200 91,924 92,400 92,950 92,950 99,000 101,750 101,750
Cu tonnes 477,411 486,193 487,200 490,100 490,100 522,000 536,500 536,500
Mo tonnes 14,861 14,194 14,454 14,454 14,454 15,486 16,002 16,002
Metal Prices (Including Mine-Specific Premiums/Discounts)
Gold US$/oz 294.1 278.6 280.0 293.0 295.0 293.0 290.0 287.0
Silver US$/oz 5.54 5.22 5.00 5.00 5.00 5.00 5.00 5.00
Copper US˘/lb 75.0 71.4 83.0 93.0 98.0 95.0 91.0 88.0
Moly disulphide Mo US$/lb 2.63 1.60 2.04 2.04 2.04 2.04 2.04 2.04
Gross value in
Metallic Products US$M - - - - - - - -
Copper Concentrate US$M 805.17 780.53 906.35 1,019.79 1,073.82 1,109.19 1,092.68 1,057.20
Other Concentrates US$M 86.19 50.07 65.04 65.04 65.04 69.69 72.01 72.01
US$M 891.36 830.59 971.39 1,084.83 1,138.86 1,178.87 1,164.69 1,129.21
Copper Concentrate kt 1640.0 1671.3 1680.0 1690.0 1690.0 1800.0 1850.0 1850.0
Gross Value US$/t 491.0 467.0 539.5 603.4 635.4 616.2 590.6 571.5
Refining Charges US$/t (57.2) (34.4) (43.6) (53.6) (57.1) (55.4) (52.5) (51.3)
Treatment Charges US$/t (92.3) (60.3) (67.1) (80.1) (81.0) (81.0) (80.1) (79.2)
Freight US$/t - - - - - - - -
Net Realisation US$/t 341.5 372.3 428.9 469.7 497.3 479.8 458.0 440.9
Moly Concentrate kt 28.0 28.0 28.0 28.0 28.0 30.0 31.0 31.0
Gross Value US$/t 3,078.4 1,788.1 2,322.9 2,322.9 2,322.9 2,322.9 2,322.9 2,322.9
Refining Charges US$/t - - - - - - - -
Treatment Charges US$/t (500.0) (500.0) (500.0) (500.0) (500.0) (500.0) (500.0) (500.0)
Freight US$/t - - - - - - - -
Net Realisation US$/t 2,578.3 1,288.1 1,822.9 1,822.9 1,822.9 1,822.9 1,822.9 1,822.9
(No Conc. #3) kt - - - - - - - -
Gross Value US$/t - - - - - - - -
Refining Charges US$/t - - - - - - - -
Treatment Charges US$/t - - - - - - - -
Freight US$/t - - - - - - - -
Net Realisation US$/t - - - - - - - -
(No Conc. #4) kt - - - - - - - -
Gross Value US$/t - - - - - - - -
Refining Charges US$/t - - - - - - - -
Treatment Charges US$/t - - - - - - - -
Freight US$/t - - - - - - - -
Net Realisation US$/t - - - - - - - -
Mine Gate Revenue
Silver in Bullion US$M - - - - - - - -
Gold in Bullion US$M - - - - - - - -
Other US$M - - - - - - - -
Cobalt Metal US$M - - - - - - - -
U3O8 US$M - - - - - - - -
Concentrates US$M 632.27 658.29 771.52 844.78 891.45 918.38 903.87 872.18
US$M 632.27 658.29 771.52 844.78 891.45 918.38 903.87 872.18
Less Site Cash Costs US$M (286.78) (307.93) (313.97) (309.62) (308.79) (333.32) (337.56) (336.76)
Net Cash Flow US$M 345.49 350.35 457.54 535.16 582.66 585.05 566.31 535.43
Mine Gate Revenue by Metal
Silver US$M 14.62 14.24 13.67 13.75 13.75 14.64 15.05 15.05
Copper US$M 545.46 607.98 706.81 779.99 826.66 849.05 832.31 800.62
Moly disulphide US$M 72.19 36.07 51.04 51.04 51.04 54.69 56.51 56.51
0 - - - - - - - -
0 - - - - - - - -
0 - - - - - - - -
CASH COSTS
Site Costs US$M 286.78 307.93 313.97 309.62 308.79 333.32 337.56 336.76
Treatment Charges US$M 165.29 114.78 126.64 149.37 150.89 160.80 163.69 162.02
Refining Charges US$M 93.78 57.50 73.21 90.66 96.49 99.67 97.11 94.98
Freight US$M 0.02 0.02 0.02 0.02 0.02 0.03 0.03 0.03
US$M 545.88 480.24 513.85 549.68 556.20 593.82 598.39 593.79
COST ALLOCATION by PURE CO-PRODUCT METHOD
Shared Costs Allocated by Value (TCs & Freight according to particular concentrates, RCs directly to metal)
Ag US$M 8.08 7.84 6.75 6.23 5.96 6.59 6.93 7.12
Cu US$M 491.05 441.52 472.33 510.74 518.56 552.38 554.85 549.35
Mo US$M 46.75 30.87 34.77 32.71 31.68 34.85 36.60 37.32
0 - - - - - - - -
- - - - - - - -
Total US$M 545.88 480.24 513.85 549.68 556.20 593.82 598.39 593.79
Costs per Unit Payable Metal - Co-Product Method
Ag US$/oz 2.79 2.65 2.27 2.09 1.99 2.07 2.12 2.18
Cu US˘/lb 46.7 41.2 44.0 47.3 48.0 48.0 46.9 46.4
Mo US$/lb 1.43 0.99 1.09 1.03 0.99 1.02 1.04 1.06
COST ALLOCATION
Copper: moly disulphide & silver treated as by-products
Mining US$M 134.74 143.20 149.31 144.19 143.46 154.78 156.45 155.74
Metallurgy US$M 152.04 164.73 164.67 165.44 165.34 178.54 181.12 181.02
Offsite US$M 243.65 157.12 184.69 224.86 232.21 244.22 244.02 240.22
Byproduct Credits US$M (86.81) (50.31) (64.71) (64.79) (64.79) (69.33) (71.56) (71.56)
Total Cash Cost US$M 443.62 414.75 433.95 469.69 476.22 508.22 510.02 505.42
Cu payable tonnes 477,411 486,193 487,200 490,100 490,100 522,000 536,500 536,500
Unit Costs
Mining US˘/lb Cu 12.8 13.4 13.9 13.3 13.3 13.4 13.2 13.2
Metallurgy US˘/lb Cu 14.4 15.4 15.3 15.3 15.3 15.5 15.3 15.3
Offsite US˘/lb Cu 23.1 14.7 17.2 20.8 21.5 21.2 20.6 20.3
Byproduct Credits US˘/lb Cu (8.2) (4.7) (6.0) (6.0) (6.0) (6.0) (6.0) (6.0)
Copper Cash Cost US˘/lb Cu 42.1 38.7 40.4 43.5 44.1 44.2 43.1 42.7
Royalties US˘/lb Cu - - - - - - - -
Depreciation US˘/lb Cu 8.6 8.5 8.3 8.0 8.0 7.5 7.3 7.3
Copper Production Cost US˘/lb Cu 50.7 47.2 48.7 51.4 52.0 51.6 50.4 50.0
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Cost Sheet (SX-EW) - Cost Information from AME Cost Report issued Dec 2000
Costs in 2000 terms
1998 1999 2000 2001 2002 2003 2004 2006
THROUGHPUTS & OPERATING COSTS
Open Pit Waste:Ore t:t 0.64:1 0.4:1 0.4:1 0.4:1 0.4:1 0.4:1 0.4:1 0.4:1
Open Pit Ore kt ore 10,500 6,300 6,300 6,300 6,300 6,300 6,300 6,300
Underground Ore kt ore - - - - - - - -
Ore Mined kt ore 10,500 6,300 6,300 6,300 6,300 6,300 6,300 6,300
Mining & Crushing
Annual Mining Costs
Labour US$M 5.53 3.61 3.42 3.32 3.23 3.15 3.05 2.98
Pet Products US$M 1.60 1.00 1.35 1.12 1.13 1.14 1.14 1.15
Electricity US$M 0.25 0.11 0.11 0.11 0.11 0.11 0.11 0.11
Other Consumables US$M 9.26 5.81 5.80 5.80 5.80 5.80 5.80 5.80
US$M 16.63 10.53 10.67 10.35 10.26 10.19 10.10 10.03
Mine Employees 259 181 177 172 167 163 158 154
Leaching & Processing US$/t Cu 920 943 1,018 971 971 972 973 973
Annual Leaching & Processing Costs
Labour US$M 7.74 5.78 5.49 5.33 5.20 5.06 4.93 4.79
Pet Products US$M 20.75 19.37 26.16 21.74 21.89 22.03 22.18 22.33
Electricity US$M 38.15 30.24 30.72 30.72 30.72 30.72 30.72 30.72
Other Consumables US$M 49.95 36.88 37.07 37.07 37.07 37.07 37.07 37.07
US$M 116.59 92.27 99.44 94.86 94.87 94.88 94.90 94.91
Process Employees 363 290 284 276 269 262 255 248
Avg Total Workforce 622 471 461 448 436 425 413 402
Exchange Rate CLP/US$ 460.3 508.8 525. 525. 525. 525. 525. 525.
Average Labour Cost US$/head _-$21,330_- _-$19,940_- _-$19,330_- _-$19,330_- _-$19,330_- _-$19,330_- _-$19,330_- _-$19,330_-
ORE TREATED kt ore 56,290 52,090 52,090 52,089 52,089 52,089 52,089 52,089
Avg Grade % Cu 0.57% 0.51% 0.51% 0.51% 0.51% 0.51% 0.51% 0.51%
 
 
SX/EW Copper Produced tonnes 166,220 137,220 137,220 137,220 137,220 137,220 137,220 137,220
Cu Recovery % Cu 51.8% 51.7% 51.7% 51.7% 51.7% 51.7% 51.7% 51.7%
 
REVENUES AND CASH FLOWS
Copper Price US$/t 1,653 1,574 1,830 2,050 2,161 2,094 2,006 1,940
 
 
Product Net Revenue US$M 274.74 215.94 251.09 281.34 296.47 287.39 275.29 266.22
By-product Net Revenue US$M - - - - - - - -
Less Site Cash Costs US$M (133.22) (102.80) (110.11) (105.21) (105.13) (105.07) (105.00) (104.94)
Net Cash Flow US$M 141.52 113.14 140.98 176.13 191.33 182.32 170.29 161.27
UNIT COSTS
Copper Cost Components
Mining US˘/lb 4.5 3.5 3.5 3.4 3.4 3.4 3.3 3.3
Leach/SX-EW US˘/lb 31.8 30.5 32.9 31.4 31.4 31.4 31.4 31.4
Offsite US˘/lb - - - - - - - -
Copper Cash Cost US˘/lb 36.4 34.0 36.4 34.8 34.8 34.7 34.7 34.7
Royalties US˘/lb - - - - - - - -
Depreciation US˘/lb 5.8 7.1 6.9 6.7 6.7 6.7 6.7 6.7
Total Production Cost US˘/lb 42.2 41.1 43.3 41.5 41.4 41.4 41.4 41.4
Reserves
Deposit Ore Type As At Mt Category Grade Metal
31 Dec 1989 4800 Total Reserves Molybdenum
31 Dec 1989 4800 Total Reserves Gold
31 Dec 1989 4800 Total Reserves 5.3 g/t Silver
SULP 31 Dec 1995 6000 Total Reserves 0.7 % Copper in concs.

History

Project X is located at an elevation of 2,360 metres (9,300') above sea level. The climate is extremely dry, resulting in a dusty working environment.

Operations include the main and Mina Sur open pits, three mills and concentrators, a smelter, three refineries and two SX/EW plants. 

The operation is linked to the coast by the Y railway and by two good roads, one to the port of Y (240km) and one to the smaller port of Z (150km).

As early as 1536 there were reports of Inca mining and smelting of copper in the region. Country X gained control of the region during the mid 19th century War of the Pacific. Country X prospectors first mined high grade ores at the site in the 1880's. Around 1900 the property was briefly controlled by a British enterprise, Company B, and by a Country X company, Company C. 

In 1912 the Guggenheim brothers formed the Country X Exploration Company to explore and develop the property. This company began leaching 10,000 tonnes per day of oxide ores in 1915. The Company D acquired control of its parent, the Country X Copper Company, in 1923. From 1913 to 1952 production was solely derived from oxide ores. Construction of a 25,000 tpd concentrator to treat sulphide ores began in 1949 and was completed in July, 1952. In mid-1958 a moly recovery section was added.

The Exotica oxide deposit, now renamed Mina Sur, was discovered in 1957, and was initially developed by a 75/25 joint venture between Country X Copper Company and Company A. Production was achieved in 1970.

During the process of nationalisation, in January 1970, all of the assets and liabilities of the Country X Exploration Company were transferred to Company E, which was owned by Company B (49%) and Company A (51%). Company A acquired Company B's interest in 1971.

A go-slow by truck drivers, in protest at new drivers at an adjacent mine receiving as much pay as veteran Project X drivers, began on May 29, 1998 and severely disrupted production. Output of copper and molybdenum was decreased by 50 to 60%.

In March 1999 five of the six workers unions accepted management plans to freeze wages in order to contain costs during a period of low copper prices.

The Mina Sur oxide wastes operation was closed indefinitely in early 1999. This followed problems of excess water and clay in the wastes which made them clump up on the transportation lines and hindered the leaching process.

In June 1999 the company set a budget of 627,500t of contained copper. This represents a fall from 1998 due to closure of Mina Sur and lower grades. However, it is 6,500t higher than the original 1999 budget in response to weak copper prices.

In mid 2000 the company indicated that it was considering a 10% expansion of treatment capacity in order to offset the impact of declining ore grades. The expansion would provide a boost in production of around 50,000tpy of copper in concentrates from 2003. A feasibility study is also continuing into the possible development of an SX/EW operation at the Gaby Sur deposit producing 115,000tpy of copper cathodes at a capital cost of US$400-450 million. Gaby Sur has reserves of 400Mt at 0.54% copper and could be in production by 2004.

[The company simply reports the Division's copper production in the various forms in which it is sold, after most of the concentrates are smelted and refined. Equivalent copper-in-concentrates production for this database is calculated at 2% above reported refined output, after deducting estimated SX-EW production based on capacity.]

Geology

The Project X orebody lies on the eastern side of the Fisher fault, which begins here and extends at least 160km to the north. It is comprised of three important rock units: the Fortuna (38my) and Elena (122my) granodiorites and the Project X porphyry (24my), which are all part of a partially exposed Andean batholitic complex. In the region of the Fisher fault, otherwise known here as the West fissure, the porphyry is heavily silicified, being mainly quartz and sericite. The barren Fortuna granodiorite lies to the west of the fissure, and the rich porphyry to its east. The porphyry is bounded to its east by shearing and by the Elena granodiorite.

Ore deposition appears to have proceeded eastward from the fault, copper minerals being introduced after the host rock was prepared by fracturing, alteration, and further fracturing. Uplift in the late Tertiary and a dramatic change from a humid to an arid climate appear to have caused complex oxidation, leaching and supergene enrichment.

The Project X porphyry is a strongly altered quartz latite porphyry. Oxide ores in its upper portion have largely been extracted, although they continue to the north. The oxides include cuprite, tenorite, melaconite, native copper, brochantite, antlerite, chalcanthite and atacamite. The supergene enriched zone includes chalcocite and covellite. In addition, ascending fluids have created a hypogene zone (~1.6% Cu) close to the fissure which is characterised by chalcopyrite, bornite, pyrite, enargite (Cu3AsS4) and molybdenite.

At Mina Sur, the Exotica orebody is hosted by stream gravels and underlying bedrock. It was formed by leaching of the original Project X porphyry and redeposition some 6km to the south. It includes the oxide minerals atacamite, chrysocolla, melaconite, libethenite and copper wad.

Mining

The Project X main pit has reached its maximum depth of 750m, and is approximately 6km long and 2km wide. The long axis is almost parallel with a major fault which runs through the entire district. To the west of the fault lies only waste. The orebody itself is complex, comprising porphyry copper intersected by veins and minor faults. The highest grade of ore (~1.6% Cu, 70ppm Mo), which is also high in arsenic (~140ppm As) lies immediately to the east of the fault line. Further east is a region of medium grade (0.5-1.0% Cu, 5-15ppm Mo, 40ppm Zn) with no arsenic. These two types of material are blended in-pit to provide the feed to the concentrators. Yet further east, (and therefore higher up the pit side) follows the low grade (SBL or sulfido de baja ley) copper zone, grading about 0.3% Cu, which is now mined for dump leaching, but was for many years simply set aside.

Until 1970 ore haulage was by train using a bench height of 13m. Truck haulage was then introduced, and at the same time double height (ie 26m) benches were introduced. Each bench being 24m wide, this effectively increased the pit working angle from 28° to about 47°. The mine is now reverting to single height benches, but most are only 14m wide, with a berm to arrest spills every fifth bench. This is further increasing the pit angle to above 60°, and thus the ore to waste ratio is reduced.

In 1995 the mine moved daily 160kt of ore to the concentrators, 120kt of SBL to the leach dumps and 340kt of waste to dumps, (a waste:ore ratio of 2.9:1, counting the SBL as waste). With the new configuration, the same movements of ore and SBL will require the movement of 190ktpd of waste (waste:ore 1.94:1). Waste:ore ratio was 2.6:1 in 1990 and 2.9:1 in 1991.

Major mining equipment comprises 13 drills (9x Ingersoll-Rand DMH-100, 2x B-E 60R series and 2x Dieltrich 60), 17 shovels (6x P&H2800-XPA 34 cu.yd rated at 42ktpd, 5x P&H2800 28 cu.yd rated at 35ktpd, plus 6x P&H2800-BLE 17 cu.yd rated at 21ktpd) and 93 trucks (3x various of 240 short tons, 56x Cat 789 & 789B's of 15st, 27x Dresser 685E Haulpaks of 205st and 7x Euclid R-170's of 170st, used for watering). Of the shovels, 2 are retired, 10 are in waste and 5 in ore. The reduction in haulage duty from 620 to 470ktpd allowed a number of the trucks to be mothballed.

Ore is hauled to an in-pit crushing station at where two 1.5m x 2.7m (60x109") cone crushers with a combined capacity of 240ktpd feed two 1.8m wide belts which connect the mine, via the old 2.1km rail tunnel, to the concentrator.

The SBL waste has also been crushed in-pit and hauled to the lip via an in-pit conveyor. In early 1997 the semi mobile 1.5 x 2.7m crusher (capacity 120ktpd) was relocated to a new permanent station at the pit top and the conveyor decommissioned, in order not to impede mine development. The extra haulage duty was accommodated by recommissioning many of the mothballed trucks. SBL material is transported from the pit top via a 7km belt to leaching dumps.

The Mina Sur pit has a strip ratio of 3.5:1, and employs 2 shovels and about 20 smaller, older trucks to mine 10Mtpy of oxide ore, grading 1.3% copper. The operation starts to reduce in 2002, and the pit is expected to be exhausted by 2004.

Several options are under examination to provide copper values to the main SX/EW plant to replace Mina Sur's contribution, which is already supplemented by the dump leaching of oxide tailings, both from old dumps and from the leaching vats. The major potential projects are an extension into oxides to the north of the main pit, oxide ores located in sections of some old main pit waste dumps, the MM deposit to the south, and areas of the tailings dam. Probably several of these will be developed in parallel to provide a blended pregnant leach solution meeting necessary criteria in terms of copper tenor, chloride content, etc.

In March 1999 Company A announced the closure of the Mina Sur oxide wastes operation, reducing production by up to 40,000 tpy. Problems began in 1998 because the wastes contained too much water and clay, which made them clump up on the transportation lines and hinder the leaching process. A landslide in a pile of oxide wastes exacerbated this situation.

Milling

The original milling section (A0) went into service in 1952 with a capacity of 22.7ktpd. By 1977, successive modifications had expanded it to 70ktpd. It now made up of 12 grinding lines each based on a 10' x 14' Marcy rod mill and two secondary 10' x 12' Marcy ball mills. The latter operate in closed circuit with two clusters of four Krebs D-20 cyclones.

In 1982 a second concentrator (A1) was added, a 32ktpd plant with three grinding lines, each based on a 13.5' x 18' rod mill feeding a secondary 16.5' x 21' ball mill, which is in turn operates in closed circuit with a cluster of 26" cyclones.

The third concentrator expansion (A2) was made in 1990. This comprised a milling section with a capacity of 51ktpd, and the modernisation of the old concentrator to bring its capacity up to 12ktpd. Milling is based on two parallel grinding lines, each beginning with a Dominion 34' dia x 17' primary SAG mill (powered by a 11,000hp or 8,206kW Siemens annular electric motor) fed by a wet pulp containing 68% solids. SAG mill discharge is delivered to a double-deck horizontal screen with 25mm apertures on the top deck, and 100m on the bottom. Oversize from both decks is returned to the SAG mill feed conveyor, and undersize passes to two parallel secondary grinding circuits (4 in all). In each secondary circuit, pulp is pumped to a battery of 8 x 36" hydrocyclones whose underflow discharge feeds an 18' by 26' Marcy ball mill driven by a 5,000hp (3,750kW) motor. Ball mill discharge is recycled to the hydrocyclones. Cyclone overflow passes to the flotation section via four Tyler vibrating screens with 3.2mm apertures which act as safety screens to trap any tramp material and return it to the ball mills.

Thus total mill capacity is now 153ktpd or about 56Mtpy.

Treatment

For the A2 expansion in 1990, the opportunity was taken to replace the small Agitair cells of the old 70ktpd concentrator and carry out other modernisations, lifting its capacity to match the 121ktpd of the combined A0 and A2 milling sections. The flotation section is equipped mainly with Wemco 190 cells of 42 cu m. These are arranged in five groups, each of four lines of cells. Three groups are for primary flotation, one for cleaning and one for recleaning. In primary flotation, pulp from the 24 ball mills of the A0 grinding plant passes via two distributors to six banks each of eight Wemco cells. Pulp from the four A2 ball mills goes via a motorised distributor to six banks each of seven Wemco cells. Primary concentrate from four of the banks treating A0 material passes to eight old regrind mills (6' x 12' Marcy ball mills), while concentrate from all other banks goes to a new regrind section which has two Marcy 13'6"x 18' ball mills (driven by 1,492kW motors) operating in closed circuit with batteries of six Vulco 12B hydrocyclones.

All reground pulp is sent to four banks of nine cells. The first four cells of each bank act as cleaners, whose tailings go to the five remaining cells, acting as scavengers. Concentrate from the cleaners goes to the recleaner section, which is comprised of four banks of nine smaller Wemco cells (28 cu.m). The first four cells in each bank produce the final concentrate, containing 30% Cu and 0.8-1.0% Mo, which is thickened and then goes to the moly plant. Tailings from these cells combine with concentrates from the cleaner scavengers to feed the remaining cells, the recleaner scavengers. Pulp from the recleaner scavengers is reground in four of the old 6' x 12' regrind mills and returned to the recleaners.

In the second, 35ktpd concentrator (A1), cyclone overflow from the milling section reports to three rows of fifteen 500 cu.ft roughers whose concentrate is pumped to a battery of six 15" regrind cyclones in closed circuit with two 10' by 12' ball mills. Regrind cyclone overflow is directed to the cleaner/cleaner scavenger circuit. This consists of two rows of thirteen 300 cu.ft cells in each of which the first five to eight cells can be assigned to act as cleaners, directing their concentrates to the recleaner section, while the remaining cells act as scavengers. Cleaner-scavenger concentrates are reground and directed to the recleaner-scavenger circuit. Cleaner-scavenger overflow goes to tailings disposal. The recleaner circuit has two banks of thirteen cells, six treating concentrate from the cleaners and seven acting as scavengers on the recleaner overflow and reground cleaner-scavenger concentrate. Once again, the recleaner concentrate is thickened before feeding the moly plant.

The original leach plant, based on 14 vats, was converted to SX/EW technology in 1986. This plant treats oxide ores from the Mina Sur pit and oxide tailings to produce around 148ktpy of cathode copper, although its capacity is rated at 170ktpy. In 1995 a second SX/EW plant, with a capacity of 14.5ktpy, was commissioned to treat solutions from the dump leaching (with bacterial assistance) of low grade sulphide material extracted from portions of the main pit. The capacity of this plant was augmented by 50% in late 1996.

Created on ... décembre 13, 2003