Zijin Mining greenlights investment in $769M Congo copper smelter

The Zijin Mining Group Co. Ltd. board approved investment in a $769 million smelter for its Kamoa-Kakula copper joint venture with Ivanhoe Mines Ltd. in the Democratic Republic of Congo, Reuters reported Nov. 23, citing a Zijin filing.

The investment includes $699 million for construction, which is expected to take three years, according to the report. Funds will be sourced from the joint venture's own cash flows.

Ivanhoe Mines recently announced that China Nerin Engineering Co. Ltd. was awarded the basic engineering contract for a planned direct-to-blister flash smelter at Kamoa-Kakula with a capacity of 500,000 tonnes per year.

The company said it expects the plant will be the largest copper smelter in Africa and one of the world's largest single-line smelters.

The site's Phase 1 concentrator plant is expected to produce about 200,000 t/y of copper, and the Phase 2 expansion to 400,000 t/y is scheduled to be completed in the second quarter of 2022.

Zijin Mining and Ivanhoe Mines each own a 39.6% stake in the Kamoa-Kakula project. The Congo government holds 20%, and Crystal River Global Ltd. holds 0.8%.