PERTH (miningweekly.com) – Metals miner First Quantum Minerals has withdrawn from the Kaoko joint venture (JV), in Namibia, project owner Kunene Resources has reported.
Under the terms of the JV, First Quantum had to spend at least $2-million on the project by July this year, and could earn a 51% interest by spending an additional $5-million by 2017.
Although First Quantum had exceeded its minimum obligations under the first phase of the JV agreement, the Kaoko JV had failed to deliver on the company’s minimum size threshold of two-million tonnes of contained copper, resulting in the company electing not to proceed with the JV.
Kunene said on Wednesday that the minimum expenditure by First Quantum did not entitle the company to any interest in the Kaoko project.