Haib copper project, Namibia – updated

1st September 2023 By: Sheila Barradas - Creamer Media Research Coordinator & Senior Deputy Editor

Haib copper project, Namibia – updated

Photo by: Deep-South Resources

Name of the Project
Haib copper project.

Partially in the Namaqua-Natal province, in Namibia, called the Richtersveld geological subprovince.

Project Owner/s
Mineral explorer and developer Deep-South Resources, through its subsidiary Haib Minerals.

Project Description
An updated preliminary economic assessment (PEA) has shown the Haib project to be amenable to bioheap-leaching.

The PEA envisages a life-of-mine of 24 years and a throughput of 20-million tonnes a year, with copper recovery estimated at 80%, and production estimated at 35 332 t/y of copper cathode and 51 081 t/y of copper sulphate.

The mine design is based on openpit methods. As the deposit comprises hard-rock material, the mining operations will involve the drill and blast of all excavated material, which will be segregated by cutoff grade.

The mining fleet will consist of appropriately sized hydraulic excavators and off-highway dump trucks, supported by standard opencut drilling and auxiliary equipment.

There will not be any tailings. The spent heaps will be rehabilitated and left in place. Owing to environmental reasons and water resources, the tailings from the pH adjustment process and the iron removal process will be disposed onto the spent heaps using filtered dry-stacked tailings.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at a discount 7.5% rate, of $977-million, and an internal rate of return 30.1%, with a payback of 4.22 years.

Capital Expenditure
Capital expenditure is estimated at $341-million.

Planned Start/End Date
Not stated.

Latest Developments
Deep-South Resources has announced a private placement of 30-million units at C$0.065 apiece for gross proceeds of up to C$2-million.

Every unit will comprise one common Deep-South share and one-half of one common share purchase warrant. In turn, every warrant entitles the holder thereof to acquire one common share at C$0.10 apiece for 24 months from the date of issue.

Deep-South will use the proceeds to advance the Haib copper project, and exploration on its three exploration licences in Zambia.

The offering will close in two tranches, the closing of the initial tranche occurred at the end of August and the final tranche in mid-September.

Key Contracts, Suppliers and Consultants
METS Engineering Group (updated PEA); Knight Piésold Consulting (scoping studies and assessments); Csiro (conduct bio-assisted heap-leaching column testwork); METS Engineering Group of Australia (testwork supervision); and MSA Group (NI 43-101-compliant mineral resource estimate).

Contact Details for Project Information
Deep-South Resources (Namibia), tel +264 61 435 8267 or email info@deepsouthresources.com.