Caravel's copper project a pot of gold
PERTH (miningweekly.com) – A scoping study into ASX-listed Caravel Minerals’ copper project, in Western Australia, has shown that the project could generate revenues of A$10.6-billion and free cash flow of A$3.1-billion over a 23-year mine life.
The scoping study estimated that a capital investment of A$481-million would be required to develop an initial 16-million-tonne-a-year operation, which would ramp up to 30-million tonnes a year from year six.
The Caravel copper project is expected to produce around 45 000 t/y of copper in the first five years of operation, ramping up to 65 000 t/y following the expansion.
“The results of the 2019 scoping study confirm the very real potential to establish a new copper mining and processing operation to produce and export copper concentrate to global markets over 23 years and potentially longer,” said Caravel MD Steve Abbott.
“The scoping study highlights the potential for developing a robust standalone mining and processing operation capable of generating strong margins and excellent financial returns.”
The project is estimated to have a pretax net present value of A$10.5-billion and an internal rate of return of 20% post tax, with capital costs expected to be repaid within the first four years of production.
C1 cash costs have been estimated at $1.45/lb, after by-product credits, placing Caravel in the second quartile of copper producers for the first five years of the operation.
Based on the outcomes of the scoping study, Caravel will now proceed with more advanced feasibility studies.
Comments
The
content
you are trying to access is only available to subscribers.
If you are already a subscriber, you can Login Here.
If you are not a subscriber, you can subscribe now, by selecting one of the below options.
For more information or assistance, please contact us at subscriptions@creamermedia.co.za.
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