Name of the Project
Kipushi zinc/copper/silver/germanium mine.

Location
Democratic Republic of Congo (DRC).

Client
Kipushi Corporation (KICO), a joint venture between Ivanhoe Mines (68%) and DRC State-owned mining company Gécamines (32%).

Project Description
An independent prefeasibility study (PFS) for the planned redevelopment of the historic, high-grade, Kipushi mine has proved positive.

The PFS focuses on the initial mining of Kipushi’s Big Zinc Zone, which has an estimated 11.78-million tonnes of measured and indicated mineral resources grading 35.34% zinc, 0.8% copper, 1.05% lead, 23 g/t silver, 13 parts per million of cobalt and 64 g/t germanium (Kipushi 2019 resource update).

The study envisages production of an average of 381 000 t/y of zinc, with a concentrate grade of 59% zinc over an 11-year initial mine life, which is expected to rank Kipushi, once in production, among the world’s largest zinc mines.

The planned primary mining method envisaged for the Big Zinc deposit is sublevel long-hole, open stoping, with cemented backfill. The crown pillars are expected to be mined once adjacent stopes are backfilled using a pillar-retreat mining method. 

The Big Zinc deposit is expected to be accessed through the existing decline and without any significant new development. 

The main levels are planned to be at 60 m vertical intervals, with sublevels at 30 m intervals.

The planned process-plant design has been revised for the PFS. 

The optimised plant will employ dense-media separation, followed by milling and a flotation recovery plant. 

The addition of milling and a flotation recovery plant has resulted in an overall recovery of 89.6%, producing a consistent high-grade concentrate of 58.9% contained zinc. 

The improved concentrate grade results in lower transportation costs, compared with the Kipushi 2016 preliminary economic assessment.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has an after-tax net present value, at an 8% real discount rate, of $683-million and an after-tax real internal rate of return of 35.3%, with a payback of 2.2 years.

Value
Preproduction capital costs have been estimated at $337-million.

Duration
Not stated.

Latest Developments
KICO are preparing a feasibility study on Kipushi, with results to be published once the study work has been completed.

The Kipushi feasibility study work is currently incomplete and has not determined any results that require material changes to the Kipushi 2017 PFS. The Kipushi aforementioned 2019 resource updae should be read in this context.

Key Contracts and Suppliers
OreWin,  MSA, SRK Consulting (South Africa) and MDM (Technical) Africa, a division of Wood (technical report).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Ivanhoe Mines (North America), tel +1 604 688 6630/+27 11 088 4300 (South Africa) or email info@ivanhoemines.com.