TORONTO (miningweekly.com) – Nevsun Resources has increased the mineable reserve figures for its Bisha mine in Eritrea by running the numbers using higher metals price assumptions, the company said on Monday.

The reserve estimate has been revised to 28,3-million tons, compared with the 20,1-million tons calculated for a 2006 feasibility study.

“The net impact of higher throughputs and lower cut-off grade has resulted in an extended mine life of 13 years, while increasing previously reported robust cash flow,” Nevsun said in a statement.

The company calculated the new reserve statement using $1 015/oz gold, $15,85/oz silver, $2,40/lb copper and $0,92/lb zinc.

Nevsun now plans to increase ore throughput by 20% from 2013, when copper production is scheduled to begin.

Construction of the copper phase will start later this year, and will include the planned increase.

The Bisha mine life has also been increased by 13 years, after taking into account both the increased reserves and the higher throughput.

Nevsun shares declined 5% on Monday, to C$5,46 apiece by 15:45 in Toronto.

The company poured the first gold at Bisha in December and declared commercial production last month.

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