THE MINING EXECUTIVE MAGAZINE JANUARY/FEBRUARY 2020 EDITION
The Mining Executive Magazine is a premium, daily dose of executive centred news and discussion platform spanning across major resources industry sectors. The Magazine monitors and distil executives’ pulse in order to create a 21st-century Industry 4.0 adaptive knowledge ecosystem for the sustainability of future generations within mining, oil and gas fields. With thousands of executives on our radar, we are truly a global executive leader hence are viewed as the authoritative voice of reason. We dig deep into what happens behind closed boardroom doors and unearth critical signals and directions affecting the sustainability of our beloved industry. Our content comes from Technical journalists, Mining Executives, Subject Matter Experts, Academics, Analysts and seasoned professionals and, is regulated by a dedicated team of Editors and Journalist having deep technical and practical field experience to ensure accuracy and factual reporting across Australia, Asia/Pacific/ Europe/ Africa/Middle East, North America and South America. Website: www.theminingexecutive.com Email: info@theminingexecutive.com
The Mining Executive Magazine is a premium, daily dose of executive centred news and discussion platform spanning across major resources industry sectors. The Magazine monitors and distil executives’ pulse in order to create a 21st-century Industry 4.0 adaptive knowledge ecosystem for the sustainability of future generations within mining, oil and gas fields. With thousands of executives on our radar, we are truly a global executive leader hence are viewed as the authoritative voice of reason. We dig deep into what happens behind closed boardroom doors and unearth critical signals and directions affecting the sustainability of our beloved industry. Our content comes from Technical journalists, Mining Executives, Subject Matter Experts, Academics, Analysts and seasoned professionals and, is regulated by a dedicated team of Editors and Journalist having deep technical and practical field experience to ensure accuracy and factual reporting across Australia, Asia/Pacific/ Europe/ Africa/Middle East, North America and South America.
Website: www.theminingexecutive.com
Email: info@theminingexecutive.com
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The
MINING EXECUTIVE
Magazine FEBRUARY 2020
The Kamoa-Kakula Project
The Kamoa-Kakula Project is approximately 25 kilometres west of the mining centre of Kolwezi in the DRC. Everything about this project is
going to be so big so much that stage one of the operations is being pegged at 6Mta with an estimated capital development cost of US$ 1.1
Billion. The project is projected to have an after-tax yield NPV (8%) of US$5.4 Billion and an Internal Rate of Return of 47% over the entire
25 Life of Mine (LOM). The Kakula project is expected to produce very high-grade copper concentrate in excess of 57% Copper with very low
arsenic levels. Mining will be undertaken in 6m high panels utilizing 60 tonne trucks and conveyed to the surface for stockpiling and processing.
55% of the tailings will be pumped back into the mine for backfilling.
Kukula Deposit in comparison to Manhattan (picture: Ivanhoe Mines)
On March 22, 2019, Ivanhoe filed an updated
NI 43-101 technical report for the Project
covering the independent pre-feasibility
studies (PFS) for the development of the
Kakula and Kansoko copper mines, and an
updated, expanded preliminary economic
assessment for the overall integrated
development plan for the project. Highlights
of the PFS, based on a consensus, long-term
copper price of $3.10/lb included some very
high-grade, stage-one production which is
projected to have a grade of 7.1% copper in
the second year of production and an average
grade of 6.4% copper over the initial 10 years
of operations, resulting in estimated average
annualized copper production of
291,000 tonnes. Initial capital cost, including
contingency, estimated at $1.3 billion with an
average total cash cost of $1.11/lb of copper
during the first 10 years, inclusive of royalties.
The after-tax NPV was pegged at an 8%
discount rate, of $5.4 billion and an after-tax
internal rate of return (IRR) of 46.9% and a
payback period of 2.6 years. Kakula is
expected to produce a very high-grade copper
concentrate in excess of 55% copper, with
extremely low arsenic levels.
On July 29, 2019, Ivanhoe announced assays
from 19 new drill holes at the latest highgrade
discovery at the project
─ the Kamoa North Bonanza Zone. Multiple,
thick drill intercepts of more than 10% copper
were recorded at the new discovery, including
13.80% over 15.50 metres in the central
discovery area. Work immediately got
underway to prepare an initial mineral
resource estimate for the Bonanza Zone, as
well as geotechnical, hydrogeological and
metallurgical test work needed for mine
planning.
MINING GLOBAL DECISIONS IN YOUR PALMS
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