Name and Location
Kitumba copper project, Zambia.

Client
Blackthorn Resources.

Project Description
An optimised prefeasibility study (OPFS) has significantly optimised the Kitumba project’s economics and development potential. The OPFS is based on a total measured and indicated mineral resource of 34.7-million tonnes at 29% copper for a total of 795 000 t of copper.

The OPFS has opted for a three-million-tonne-a-year production rate at a stope design cutoff of 1% as the preferred mining production rate. This results in a production mine life of 11 years, producing an average of 58 000 t/y of contained copper in ore.

The mined ore will be processed through a concentrator that includes conventional comminution and flotation to produce a sulphide rougher concentrate and a rougher tail containing the nonflotable copper. The sulphide concentrate will be treated through a pressure oxidation (POX) leach. The POX produces acid and ferric iron as part of the process. This will be used to leach the copper in flotation tails in an atmospheric leach circuit. The resulting copper-rich solution will be fed into a conventional solvent extraction and electrowinning plant.

The combined plant will produce up to 70 000 t/y of copper cathode at full capacity.

The OPFS assumes that the copper cathode is exported directly to customers through the Port of Dar es Salaam, in Tanzania.

Net Present Value/Internal Rate of Return
Not stated.

Value
Initial capital expenditure is estimated at $680-million, including $185-million for the engineering, procurement and construction management contractor, owner’s costs and contingency.

Duration
Not stated.

Latest Developments
Blackthorn has been granted a mining lease for its Kitumba copper project, satisfying a key condition of a takeover by fellow-listed Intrepid Mines.

The mining licence will have an initial 25-year term.

“We now look forward to advancing the project through the definitive feasibility study (DFS) and working with all stakeholder groups to develop a socially and environmentally responsible, as well as profitable, asset in Zambia,” says said Blackthorn MD Mark Mitchell.

In August this year, Blackthorn became the takeover target of Intrepid Mines, which was offering Blackthorn shareholders 1.078 Intrepid shares for every Blackthorn share held.

The merged entity is expected to have a cash balance of about A$80-million, which will be sufficient to complete the DFS on the Kitumba project and to explore near-mine targets and the wider Mumbwa project licence area.

Key Contracts and Suppliers
The MSA Group (turnkey geological and mineral resource solution, including management of the exploration drilling and metallurgical drilling programmes).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Blackthorn Resources, tel + 61 2 9357 9000, fax +61 2 9332 1336 or email info@blackthornresources.com.au.
The MSA Group, tel +27 11 880 4209, fax +27 11 880 2184 or email info@msagroupservices.com.