Austral Resources has released a positive scoping study that indicates a significant copper production pipeline in Queensland.
The study, conducted by ERM Australia Consultants, was undertaken to examine how an updated and optimised mine plan could enhance production from existing deposits.
The study examined the Lady Annie, Lady Brenda, Mount Clarke, and Flying Horse copper deposits and indicated that approximately 128,000 tonnes (t) of contained copper is potentially available for mining from Austral’s existing mineral resource inventory.
A total of 15,600t of contained copper oxide and transitional ore could be processed at Austral’s existing Mt Kelly SX/EW (solvent extraction-electrowinning) processing facility, while 112,400t of additional contained copper ore can be processed using the flotation method.
Austral anticipates that the large tonnage of fresh and transitional sulphide ore suitable for flotation processing will be toll treated by Glencore at its Mt Isa facility.
Discussions for a toll treatment agreement between Austral and Glencore are ongoing and will be finalised in the fourth quarter of 2024 (Q4 2024).
Additionally, about 90 per cent of the mineral resources included in the scoping study fall under the measured or indicated category, supporting the project’s economic viability, a swift pathway to production and attractive exploration opportunities.
“We are extremely excited with the outcomes of the scoping study which demonstrate the strength of Austral Resources’ extension project and its long-term copper production growth story,” Austral Resources chair David Newling said.
“The scoping study supports a strongly viable go-forward case, and is a very exciting development for Austral, our partners and shareholders. Additionally, the optimisation work confirms we have a business that can continue to be significant and has the scale to reposition Austral as a leading Australian mid-tier copper producer with economic relevance, especially as we continue to move into a greener world.”
Austral is now fast-tracking the pre-feasibility study for the Lady Annie, Lady Brenda, Mount Clarke, and Flying Horse copper deposits, which is expected to be completed in Q4 2024.
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