Modern Mining August 2016

MINING News

Realising possibilities...

Record quarterly copper production by FQM First Quantum Minerals, listed on the TSX, has announced com- parative earnings of US$38 million and cash flows from continuing operating activities of US$304 million for the three months ended June 30, 2016. During the quarter, FQM – whose assets include the Kansanshi and Sentinel copper mines in Zambia – set a new record for copper pro- duction and sales of 131 349 tonnes and 132 030 tonnes, respectively, surpassing previous records set in the first quarter of the year: Sentinel recorded a 53 % increase in copper production over Q1 2016, reflecting steady operational and power supply improvements. For its part, Kansanshi achieved its highest quarterly production since Q3 2014 due to the increased smelter availability and sulphuric acid supply from the operation of the Kansanshi smelter. Commenting on the results, Philip Pascall, Chairman and Chief Executive Officer, said that all the company’s operations had shown improvements in costs and efficiency.“The greatest impact was attrib- utable to Kansanshi, and the operation of its smelter. This provides the mine with more acid than previously available, and at virtually no cost. The extra acid helps recovery of mixed and high acid consuming oxide ores. The combination of higher recoveries, negligible acid cost, and the lower smelting treatment costs, make a significant difference. Other aspects of Kansanshi, particularly mining, have also improved markedly, as they have across the company.”  Grade reconciliation from underground sampling to the deposit block model has been good. Commissioning feed to the plant in February andMarch was primar- ily sourced from the low grade development stockpiles. During April and May a small volume of tonnes from underground mining were introduced along with the low grade development feed. To May 31 this year, 320 297 tonnes were milled at an average grade of 0,74 g/t. Approximately 5 326 ounces (4E) in concentrate were produced. Looking forward, tonnes mined are scheduled to increase as key mining blocks are accessed, developed and stoped. Stoping in bord- and-pillar mining and long-hole mining has started. The grade of material feed to the mill is increasing as the proportion of the stoped tonnes increases relative to development tonnes. First concentrate was produced in February 2016 with commercial production expected late in calendar 2016. Initial monthly revenue from concentrate sales before commercial production will be treated as a reduction in project capital cost. Cost recoveries to May 31, 2016 from concentrate sales totalled approximately US$4,6 million. “The construction of the Maseve mine has been completed with a good safety record and in accordance with designs,” comments R. Michael Jones, CEO of Platinum Group Metals. “The deposit blocks that have been accessed for current mining show good grade thick- ness correlation to the block model. The concentrator plant performs at or in excess of design capacity and produced concentrate has been sold. Feed grades to the plant are increasing. Our challenge ahead is to open stopes and mine an increased volume of stoped material. Our most important and best grade thickness block in the mine plan is 90 m ahead of our declines and access and mining is expected in August 2016.” 

...frommine to market.

Environment & Approvals

Resource Evaluation

Mine Planning

Mining&Mine Development

Materials Handling

Non-Process Infrastructure

Mineral Processing

Tailings &Waste Management

Smelting & Refining

Transport to Market

WorleyParsons adds value through our full scope of services from pit to port including studies, mine planning, impact assessments, permitting and approvals, project management, construction management and global procurement.

42 124 countries

26,100

cities with offices

people

www.worleyparsons.com

August 2016  MODERN MINING  17

WP ad 90x260.indd 1

2016/07/20 1:5