Photo by: Bloomberg
PERTH (miningweekly.com) – Metals developer Mining Group has signed a second production lease over the Paraguay copper mine, at the El Roble project, in Chile.
ASX-listed Mining Group has an existing production agreement allowing the company to extract about 5 000 t/m of copper-bearing material from the Paraguay mine from underground activities at Panga.
The miner said on Wednesday that the signing of a second production agreement was in line with Mining Group’s strategy to fund long-term growth from small-scale production at El Roble.
“The signing of this agreement over Paraguay is another step forward for the company in executing its strategy of funding long-term growth through small-scale production,” said MD Zeff Reeves.
“The agreement gives us access to a second mining area where we have already defined quite a prospective zone of high-grade mineralisation, which is open along strike and displays grades and widths within our target range for extraction.”
The second agreement gives Mining Group exclusive access to mine on the Paraguay concession, which consists of around 5 ha and covers 500 m of the strike extent on the mapped copper-bearing vein.
“The next step for Paraguay is to get our 5 000 t/m operating licence granted and start work there as quickly as possible,” said Reeves.