Aguas Tenidas Mine
SNAPSHOT
| OWNERSHIP |
100% |
| STATUS |
Production |
| MINE LOCATION |
Spain ( Andalucía Region, Huelva Province) |
| SIZE |
297.51 km2 total |
| GEOLOGY |
Located in northernmost limb of Iberian Pyrite Belt |
| DEPOSIT TYPE |
Volcanogenic Massive Sulphide ("VMS") |
| MINE TYPE |
Underground |
| MINE LIFE |
11 years |
| END PRODUCT |
Copper, Zinc and Lead Concentrates |
2009 Operating Results
Commercial production was declared at Aguas Tenidas during Q4 2009 with effect from October 1, 2009.
The following are the highlights for the Aguas Tenidas Mine operation for the period October 1, 2009 to December 31, 2009 (3 months):
- Revenues were approximately US$ 32.1 million.
- Production was:
|
|
Unit |
Q4 |
|
Copper Ore |
|
|
|
Ore processed |
t |
321,951 |
|
Concentrate |
DMT |
20,398 |
|
Contained copper |
t |
4,800 |
|
Fine silver |
oz |
51,536 |
|
Recovery rate |
% |
82 |
|
Copper grade |
% |
1.84 |
|
|
|
|
|
Polymetallic Ore |
|
|
|
Ore processed |
t |
38,507 |
|
Copper/lead bulk concentrate |
DMT |
2,368 |
|
Zinc concentrate |
DMT |
2,473 |
|
Contained Copper |
t |
274 |
|
Contained zinc |
t |
1,218 |
|
Fine silver |
oz |
20,605 |
|
Copper recovery rate |
% |
62 |
|
Copper grade |
% |
1.20 |
|
Zinc recovery rate |
% |
51 |
|
Zinc grade |
% |
6.57 |
- Operating costs for Q4 (C1 and C3) were US$ 2.61 and US$ 3.34 per payable pound of copper.
C1 and C3 cost figures were higher than anticipated for steady state as the production rate in Q4 was below nameplate capacity of 1.7 Mtpa at 85%. In addition, grade and recovery were below targets. The Company is expecting improved results in line with 2010 guidance below as the processing plant continues operations, and further optimization of the processing plant circuits is undertaken.
During the quarter, as reported, work continued on the modular bulk separation circuit, and subsequent to year end, reagent authorizations were received and commissioning of the circuit is underway. Plans for the proposed expansion of 30% at the processing plant continue. Mine development continued to improve during the quarter, but 2010 will focus on improved stoping and faster backfilling in order to meet planned production rates. Haulage using the Santa Barbara ramp has worked well and is meeting requirements. Underground drilling continued with one drill focused on definition and reserve replacement to the west, and one drill focused on extending the copper stockwork to the east, and at depth.
The Company will be continuing to focus on optimizing the Aguas Tenidas Mine and the planned expansion of capacity to 2.2Mtpa by the end of 2010.
For 2010 CAPEX and exploration at the Aguas Tenidas Mine, the following budgets have been approved, with exploration to consist of four surface drill holes in the Cueva de la Mora area to the northeast of the Aguas Tenidas deposit.
|
Year 2010 |
(000s USD) |
|
CAPEX |
|
|
Sustaining |
23,017 |
|
Plant Projects and equipment |
10,187 |
|
Mine Development |
6,549 |
|
Mine Equipment |
2,339 |
|
Mine projects |
480 |
|
Buildings |
399 |
|
Communications infrastructure |
336 |
|
Licenses |
2,597 |
|
Other |
131 |
|
|
|
Special - Expansion |
14,730 |
|
Mine development |
4,366 |
|
Mine equipment |
1,842 |
|
Plant projects and equipment |
8,522 |
|
|
|
Exploration |
308 |
|
Surface diamond core drilling |
308 |
|
TOTAL |
38,055 |
In addition, the Company reports that it is entering into a contract for additional underground development work totalling approximately 1600 metres of drilling, which is expected to be completed by the fall of 2010. The additional capex relating to this contract is US$ 2.2 million.
Conveyor belt and Aguas Tenidas (during construction 2008)