True North Copper (ASX:TNC) yesterday (13 August 2024) started first ore block mining from the 180 bench at the Wallace North deposit, part of its Cloncurry Copper Project in Queensland.
The $38.1 million market capitalisation company launched mining activities at Wallace North – one of four open-pit deposits making up the Cloncurry project – with the deposit hosting an ore reserve totalling 700,000 tonnes (probable) grading 1.01% copper and 0.46g/t gold for 6,800t gold and 10,000oz gold.
Ore will be transported to True North’s Cloncurry Operations Hub for crushing and stacking to existing heap leach pads. Sulphide ore will be transported to a nearby concentrator for toll treatment under the company’s toll-milling agreement with global commodity trader Glencore (LSE:GLEN) for all copper concentrate produced at the project.
The hub is 2km from the town of Cloncurry in northern Queensland and will service all four of True North’s deposits with essential infrastructure, technical systems and support. An active oxide heap leach and solvent extraction (SX) processing plant, mine buildings, site administration facilities, workshops, open pit mine facilities, onsite explosive magazines, site storage, water management systems and existing site power supply are located at the hub.
Irrigation of the ore will follow soon and contribute to improved copper production from the SX plant.
True North Copper Managing Director Bevan Jones says the company is moving closer to becoming Australia’s next copper producer with first ore mined and delivered to the run of mine (RoM) pad.
“Wallace North ore is expected to start being transported to our Cloncurry processing hub this month. This progress is a testament to the hard work and commitment of our team at CCP and provides momentum for the company as we near this major milestone,” Jones says.
“Our steady progress strengthens TNC’s position as an emerging copper and critical metals company based in North Queensland. With significant newsflow ahead on this front, we look forward to providing regular updates on mining activities at CCP.”
The mining ramp-up at Wallace North has initially focused on building ore stockpiles. Since True North announced the start of mining activities at Wallace North, the company has mined a total of 52,000 bank cubic metre (BCM) of overburden and is on schedule with the current mine plan.
True North’s personnel are operating dry hire equipment at Wallace North to undertake the mining activities.
Dewatering of the pit area has advanced in front of mining activities, with all blast hole drilling undertaken in dry holes. The company has exposed the oxide ore in the Wallace North open cut pit and is now stockpiling first ores on the Wallace North RoM in preparation for road haulage in the coming weeks.
Global copper consumption is forecast to grow by about 2.1% this year. China and the US will account for the bulk of this growth, driven by rising manufacturing activity and large investment in energy infrastructure.
Australian copper export earnings are forecast to reach around $15.8 billion in 2024-25. Higher production growth and export volumes, combined with continued strength in prices will see export earnings reach $17 billion in 2025–26.
According to the Department of Industry, Science and Resources’ (DISR) latest issue of its Resources and Energy Quarterly: June 2024, global refined copper consumption grew 5.9% year-on-year in the March quarter, sustaining a consistent recovery from 2020-pandemiic lows.
World refined copper production is forecast to grow year-on-year by 3% in 2025 and by 4% in 2026.
Write to Adam Orlando at Mining.com.au
Images: True North
