Cradle Arc PLC said May 31 that a maiden ore reserve for its 60%-owned open pit Mowana copper project in Botswana supported extending the mine's life by three years to 14.
The company outlined an ore reserve of 370,800 tonnes of copper contained in 31.8 million tonnes grading 1.17% copper in the proved and probable categories.
In addition, the company updated the measured and indicated resource estimate for the project to 54.7 million tonnes grading 1.17% copper containing 640,000 tonnes, representing an increase of 37%. Inferred resource stood at 20.3 million tonnes grading 1.08% copper containing 220,000 tonnes.
The ore reserve gave the Mowana mine a posttax net present value, discounted at 8%, of US$272.8 million, based on a copper price of US$3/lb.
Average life-of-mine production at the project is pegged at 21,000 tonnes per annum, with production in the third year peaking at 27,000 tpa, at an all-in sustaining cost of US$5,038/tonne of copper. Average C1 cash cost is projected at US$4,099/tonne.
