PERTH (miningweekly.com) – Copper and gold miner Oz Minerals is on track to reach full-year production, with its Carrapateena project scheduled for first concentrate delivery in the fourth quarter of this year.

Oz Minerals on Tuesday reported that copper production for the second quarter ended June had reached 28 525 t, up slightly from the 27 442 t delivered in the previous quarter, while gold production was down from 34 648 oz to 27 072 oz in the same period.

C1 cash costs for the second quarter were up from $60.70/lb to $78.60/lb, while all-in sustaining costs increased from $103.90/lb to $119.70/lb.

“At the midpoint of the year we can mark progress right across the portfolio on delivery of our growth strategy,” said Oz Minerals MD and CEO Andrew Cole.

“Both major assets, Prominent Hill and Carrapateena, are on plan. The strategy for realising value in the Carajas and Gurupi provinces in Brazil has been released, West Musgrave study work has advanced, and two new exploration earn-in agreements were established.”

Cole noted that production from Prominent Hill was on track to reach the guidance for the full year, with the ramp-up of the underground operation progressing.

Prominent Hill is expected to deliver between 95 000 t and 105 000 t of copper and between 115 000 oz and 125 000 oz of gold in the full year.

Carrapateena is on schedule for first concentrate in the fourth quarter, with over 46 000 t of development ore having been stockpiled. The decline development has reached over 15 000 m at a vertical depth below surface of 630 m, and the primary ventilation circuit to the first production level is now in place.

Above ground, the mineral processing plant and non-process infrastructure construction and procurement is some 80% complete, Cole said, noting that the tailings storage facility was over 90% complete and the stringing of the electricity transmission line was completed.

For the full 2019, Carrapateena is expected to deliver between 2 000 t and 4 000 t of copper, and between 3 000 oz and 6 000 oz of gold.

The Antas operation is also expected to produce between 6 000 t and 6 500 t of copper and between 4 200 oz and 4 600 oz of gold in the full 2019.

“Looking ahead, our main focus is on continuing to deliver to plan at Prominent Hill and advancing safely towards construction completion at the Carrapateena project. We expect to provide updates in the third quarter on the Prominent Hill haulage feasibility study, which is an important aspect of the Prominent Hill expansion study, and outcomes of the gold ore processing trial,” Cole said.

He added that a progress report on the West Musgrave prefeasibility study would also be forthcoming in the third quarter, along with an update on whether Oz Minerals would start construction of the Pedra Branca decline, at Antas, ahead of completion of the feasibility study.