Data source: S&P Global Market Intelligence
2nd April 2018
Hudbay Minerals Inc. said April 2 that it updated the National Instrument 43-101-compliant technical report for the Constancia mine in Peru, estimating average copper in concentrate production of 84,000 tonnes per annum for the remaining life of the mine from 2018 to 2036.
The Toronto-listed company’s shares were up 6% in early morning trades.
The new report envisions mining the Pampacancha satellite deposit starting in 2019, one year later than estimated in the previous report, which pegged average production of 81,000 tonnes per year of copper in concentrate over the mine’s remaining life.
Molybdenum output from the project is estimated at 1,100 tonnes. Gold and silver production is expected at 34,000 ounces per year and 2.1 million ounces per year, respectively.
Cash cost is estimated at US$1.44 per pound of copper, while the average sustaining capital is expected at US$57 million per year.
Total on-site costs, including the impact of capitalized stripping, are estimated at US$7.96 per tonne milled.
The estimate is based on a proven and probable reserve of 568.6 million tonnes at an average 0.32% copper, 99 g/t of molybdenum, 0.058 g/t of gold and 3.07 g/t of silver.
The measured and indicated resource stands at 373.3 million tonnes at 0.21% copper, 56 g/t of molybdenum, 0.041 g/t of gold and 2.28 g/t of silver.
Inferred resources total 64.1 million tonnes at 0.22% copper, 59 g/t of molybdenum, 0.052 g/t of gold and 2.05 g/t of silver.