NYSE- and ASX-listed Metals Acquisition Limited (MAC) has announced a new resource and reserve statement for the CSA copper mine, in Australia, outlining a vision for a long-life operation.
Highlights from the resources and reserves statement include a 67% increase in mine life to 11 years, based on ore reserves only, compared with a six-year mine life in the 2022 statement.
Contained copper after replacement of depletion increased by 64% to 0.5-million tonnes in ore reserves at an average grade of 3.3% copper.
“We have always believed that the CSA copper would have a long future and this resource and reserve statement upgrade confirms this and also provides us with the underlying mineral resource base from which to put long-term plans in place that simply hasn’t been possible for the last generation when the mine has always had a five- to six-year reserve mine life ahead of it.
“There has perhaps been a view by some observers that the CSA copper mine has a relatively short mine life, with today’s resource and reserve statement announcement we can dispel that view and now focus on mining more copper faster and at lower costs. We are but ten months into our ownership of the mine and it has a lot of potential to be uncovered still,” said MAC CEO Mick McMullen.
While the resource and reserve statement is a snapshot in time based on information available back in August 2023, MAC believes it validates its belief that the CSA copper mine can be a long-life asset.
“Despite the near doubling of the ore reserves and a 67% increase in the mine life, we still have 4.7-million tonnes at 4.9% copper (230 000 t) in the measured and indicated category and 3.3-million tonnes at 5.5% copper (180 000 t) in the inferred category that are not included in the ore reserves and work is under way to convert these to our ore reserve estimates in the future,” McMullen said.
Based on the resource and reserve statement, MAC provided a three-year guidance that is based primarily on reserves, but also on measured and indicated resources. The mine is forecast to produce 38 000 t to 43 000 t in 2024, between 43 000 t and 48 000 t in 2025 and between 48 000 t and 53 000 t in 2026.
The CSA copper mine has been producing for almost 60 years with very limited exploration away from the known deposits and there is potential to further optimise this production plan, says MAC.