Name of the Project
West Musgrave base metals project.

Location
West Musgrave Ranges of Western Australia.

Project Owner/s
Copper/gold miner OZ Minerals.

Project Description
The West Musgrave includes the Nebo-Babel nickel/copper and Succoth copper deposits.

OZ Minerals is hoping to establish the West Musgrave project as a scaleable, low-cost, long-life, openpit mining operation.

An updated prefeasibility study (PFS) on the project has increased the project’s mineral ore reserves from 220-million tonnes, grading
0.36% copper and 0.33% nickel, to 253-million tonnes, grading 0.35% copper and 0.32% nickel.

Mineral resources have increased from 340-million tonnes grading 0.36% copper and 0.33% nickel in the February 2020 PFS to 390-million tonnes grading 0.34% copper and 0.31% nickel in the updated PFS.

The updated PFS envisages a 12-million-tonne-a-year crushing, vertical roller mill, flotation operation, producing separate copper and nickel concentrates. The average nickel production from the project has increased from 22 000 t/y in the February 2020 PFS to 26 000 t/y in the updated PFS. Average copper production has increased from 28 000 t/y to 32 000 t/y.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The updated PFS has increased the project’s an after-tax net present value from A$800-million to A$1-billion and the internal rate of return from 20% to 25%, with a payback of about six years from the decision to mine.

Capital Expenditure
Preproduction capital has increased from A$995-million in the February 2020 PFS to about A$1.1-billion in the February 2021 updated PFS.

Planned Start/End Date
Not stated.

Latest Developments
OZ Minerals will progress its study of the West Musgrave project following the release of the updated PFS for the Nebo and Babel deposits.

About $67-million has been committed to progress the study ahead of a final investment decision expected in 2022, subject to regulatory and other approvals.

Key Contracts and Suppliers
Not stated.

Contact Details for Project Information
OZ Minerals, tel +61 8 8229 6600 or email info@ozminerals.com.