trending Market Intelligence /marketintelligence/en/news-insights/trending/oqsrbcnpczincch1ck5ena2 content esgSubNav
In This List

PEA values Cardero Resource's Zonia copper project at US$192M

Blog

Insight Weekly: US stock performance; banks' M&A risk; COVID-19 vaccine makers' earnings

Blog

Insight Weekly: LNG exports surge; investors unfazed by inflation; neobanks drive VC funding

Blog

Essential Metals Mining Insights November 2021

Blog

[Infographic]: 2021 World Exploration Trends


PEA values Cardero Resource's Zonia copper project at US$192M

A preliminary economic assessment on Cardero Resource Corp.'s Zonia copper oxide deposit in Arizona defined a posttax net present value, discounted at 8%, of US$192 million, with a 29% internal rate of return and a 2.89-year payback period.

The proposed open pit mine is expected to produce an average 49.1 million pounds of copper per year for 8.6 years for a total of 421.5 million pounds during the life of the mine, according to a March 6 news release.

Initial CapEx is estimated at US$198 million, and sustaining CapEx is pegged at US$40.8 million.

The mine is expected to use a conventional copper acid heap leach system, and mill throughput is anticipated at 30,000 short tons per day.

The study incorporates measured and indicated resources totaling 76.8 million tons grading 0.33% copper for 510 million pounds of copper and inferred resources of 27.2 million tons grading 0.28% copper for 154.6 million pounds. The estimate was completed in 2017 and uses a 0.2% copper cutoff.

Cardero Resource recently defined a new porphyry copper target 3 kilometers northeast of the Zonia deposit using geochemical sampling, and results from a geophysical survey are pending.

The company holds an option to acquire a 100% interest in the Zonia property from Redstone Resources Corp. under a 2015 agreement.