PERTH (miningweekly.com) – The New South Wales government has given gold miner Aurelia Metals regulatory approval to extend the life of its Peak gold and base metals operations until 2035, issuing the company with development consent for the New Cobar complex.
The approval allows for the establishment of an underground mine at the Great Cobar copper/gold deposit.
A January prefeasibility study (PFS) into the Great Cobar deposit estimated that the project could produce 47 000 t of copper and 61 000 oz of gold over an initial five-year mine life. The PFS estimated a capital requirement of A$35-million million to bring the project into production, with life-of-mine capital expenditure estimated at A$50-million.
“Aurelia has reached a critical milestone in our strategy to optimise our assets through extending mine lives, as well as positioning the company as copper ready, a commodity that will be the foundation in a global shift towards a decarbonised society,” said CEO and MD Dan Clifford.
“Our team has done a great job in bringing the project online at a time when copper prices are collecting more than $9 000/t. We are also excited by the fact that Aurelia is one of the only producers in the region to bring a new copper deposit into production in just two year’s time, a catalyst that will deliver significant value for our shareholders and stakeholders, in particular the communities where we operate.”
Aurelia said that the development is expected to sustain 400 jobs at the Peak operation, and an additional 140 during the construction.
The Great Cobar project will proceed directly to implementation, with first stope production expected 18 months after access decline started. Decline works are targeted for July this year, with first ore production targeted for late 2023.