Name and Location
Kitumba copper project, Zambia.

Client
Blackthorn Resources.

Project Description
A prefeasibility study (PFS) completed on the Kitumba copper project has demonstrated positive potential for an economically and technically viable project.

The project has mineral resources estimated at 108.9-million tonnes at a 0.5% copper cutoff, comprising indicated resources of 87.6-million tonnes at 1.17% copper and inferred resources of 21.3-million tonnes at 0.77% copper.

Envisaged is an underground mine with an 11-year mine life, 33-million tonnes of mineable ore and 572 000 t of contained copper.

Ore production of about three-million tonnes of run-of-mine a year will be conveyed to a combination flotation and solvent extraction and electrowinning plant to produce an average of about 39 000 t/y of copper.

Copper metal production will range from 36 000 t in the early years, ramping up to 40 000 t in the latter years.

Value
The PFS estimates project development costs at $358-million, including $34.2-million contingency.

Duration
Not stated.

Latest Developments
Work will start immediately on project optimisation, focusing primarily on metallurgical recovery and mining sequence, which has the potential for enhanced economics.

This optimisation work will also be based on an updated mineral resource, which incorporates recent high-grade drilling results, and is expected to lead to a PFS update in early 2014.

Following completion of the optimisation studies, submission of the mining licence application and strategic planning for the path to production, the next phase of the project will be to implement an investment-grade feasibility study, expected to start early in 2014.

A process to select key consultants for the next phase of the feasibility study will start in the near future.

Key Contracts and Suppliers
Lycopodium Minerals (PFS).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Blackthorn Resources, tel +61 2 9357 9000, fax +61 2 9332 1336 or
email info@blackthornresources.com.au.
Lycopodium Minerals, tel +61 8 6210 5222 or fax +61 8 6210 5201.