Earth AI, Legacy Minerals make first greenfield palladium discovery using artificial intelligence
The companies announced the verified discovery of one of the largest palladium mineral systems in Australia.
Rio Tinto (NYSE:RIO) is unloading its half-completed underground nickel/copper mine in northern Michigan to Lundin Mining (TSX:LUN) for US$325 million.
The Eagle Mine was discovered by Rio Tinto in 2002. After completing a feasibility study in 2007, construction started in 2010. Production is expected to commence by Q4 of 2014.
Total project capex is estimated at $770 million of which approximately $355 million has already been spent as of the end of May 2013.
In addition to the total acquisition price of approximately $325 million, remaining investment by Lundin Mining for the balance of 2013 and 2014 to bring Eagle Mine into production is estimated at $400 million.
Average production is 23,000 tonnes of nickel and 20,000 tonnes of copper per annum, with additional by-product credits of precious metals and cobalt.
Due to the high nickel grades and strong by-product credits, C1 cash costs for the first three years are expected to average approximately $2.00/lb nickel, thereby strongly positioning the asset in the lowest quartile of the nickel producer cost curve.
