Ernest Henry mine extension, Australia
Photo by Evolution Mining
Name of the Project
Ernest Henry mine extension.
Location
About 38 km north-east of Cloncurry, in Queensland, Australia, on the traditional lands of the Mitakoodi people.
Project Owner/s
Evolution Mining.
Project Description
A prefeasibility study (PFS), based on the December 2022 mineral resource estimate, has shown a compelling opportunity to extend the Ernest Henry sublevel cave operation until 2040, targeting the production of 80 000 oz/y of gold and 50 000 t/y of copper.
The PFS has evaluated options for the continuation of sublevel cave mining below the 1125 mRL, comparing conventional trucking with a crushing and conveyor system, with due consideration for future geological upside.
The PFS has determined both options are value accretive, but the crushing and conveyor option provides greater economic upside and optionality than anticipated.
It provides for about 56-million additional ore tonnes milled, 609 000 oz of additional gold produced and 343 000 t of additional copper produced.
Potential Job Creation
Not stated.
Net Present Value/Internal Rate of Return
The project has a net present value of between $690-million and $1.01-billion at $2 400/oz and $2 965/oz respectively, and an internal rate of return of 28% to 38%. Payback is estimated at between 1.2 years and nine months after first ore.
Capital Expenditure
Capital expenditure is estimated at between $450-million and $500-million. Based on the timings in the PFS, the majority of this capital is not required until the 2027 and 2028 financial years.
Planned Start/End Date
Not stated.
Latest Developments
Evolution has approved the project to advance to the feasibility study, which is expected to be completed in the March quarter of 2025.
Key Contracts, Suppliers and Consultants
None stated.
Contact Details for Project Information
Evolution Mining, tel +61 2 9696 2900.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation