By: Esmarie Swanepoel
Creamer Media Senior Deputy Editor: Australasia
PERTH (miningweekly.com) – ASX-listed MOD Resources is expected to make a decision to mine its T3 copperproject, in Botswana, by the end of March next year, with first production targeted for late 2020.
MOD MD Julian Hanna told delegates at the Africa Downunder conference, in Perth, that an updated feasibility study for the project is expected early in 2019.
The updated feasibility study will be based on a plant throughput rate of 3-million tonnes a year, up from the 2.5-million tonnes a year considered in the project’s prefeasibility study (PFS), with allowance for staged future expansion.
The previously released PFS estimated a capital development cost of $154.8-million, with a life-of-mine of nearly nine years, generating average production of 23 000 t/y of copper and 690 000 oz/y of silver.
The base-case development scenario is expected to deliver revenues of $1.4-billion at C1 cash costs of $1.22/lb over the life of the project.
Once operational, the T3 project is expected to create between 500 and 700 jobs in Botswana, with Australian staff providing technical expertise at the mine.
Hanna said that the T3 project will be MOD’s first operating mine, with the company also targeting other exploration options in the region.
“The T3 Dome Complex covers approximately 700 km² and contains numerous electromagnetic (EM) targets, including at least seven large conductive domes. Those seven EM conductive ‘buried domes’ are now being targeted for testing with the drill bit.”
MOD Price at posting:
45.0¢ Sentiment: Buy Disclosure: Held
