Mines in Canada will cost KGHM over $1 bln

KGHM estimated that the expenditure related to the construction of copper, silver and gold mines near Kamloops city in Canada will stand at some $1.3 billion.

The project involves constructing an open-pit mine located on the historic Ajax-Afton mine site, southwest of Kamloops. In mid-September 2015 KGHM Ajax Mining, part of the KGHM group submitted its Application/Environmental Impact Statement to the B.C. Environmental Assessment Office and the Canadian Environmental Assessment Agency seeking environmental approvals for the project. The project is to achieve average annual production of copper and gold in concentrate at 58 000 tons of copper and 125 000 ounces of gold. The mine's lifespan period was calculated at 18 years . At this time, the level of silver production will be variable and only a portion of the resulting metal in concentrate will meet commercial criteria . In the baseline scenario return on the investment is expected in about six and a half years.