Deep sea mining puts $560 billion in land extraction at risk — report
Even in optimal scenarios, the activity would generate only $6.25 million in tax revenue for countries involved, says Planet Tracker.
Copper Mountain Mining (TSX: CMMC) (ASX: C6C) sees a strong year ahead with a sizeable increase in production, having achieved plant optimization and boosted the mineral reserve base at its flagship southern British Columbia operation.
In its full-year results released on Monday, the company is forecasting copper production to reach 88 million to 99 million lb. in 2023. If achieved, this would represent a significant improvement over the 52.9 million lb. of copper produced in 2022, which did not meet expectations following its revised guidance of 55 million to 60 million lb.
Full year 2022 C1 cash cost per pound of copper produced was $3.53 per pound, while all in sustaining costs (AISC) per pound of copper was $4.20 and AISC per pound of copper was $4.78.
The lower-than-expected output coupled with high costs resulted in a net loss from continuing operations of C$58.9 million and adjusted net loss of C$48 million for 2022.
“From the start of the year, the mill was running at reduced rates from damage to the secondary crusher main shaft, then we encountered oxidized ore in the North Pit, a worn eccentric bushing in our primary crusher and general quality problems with the grinding balls from our supplier,” Copper Mountain CEO Gil Clausen said in a news release.
Clausen also noted the year also culminated with a ransomware attack in late December, which affected the internal IT systems at the Copper Mountain mine.
“Concurrently, we were completing all our plant optimization projects, so there was a large amount of committed project capital being spent at the same time we were experiencing operational challenges. We did not meet our expectations in 2022, but with these issues now behind us, we are having a solid start to 2023,” he added.
So far this year, Copper Mountain’s production is in line with budget. The company is also expecting costs to be materially lower from higher production, shorter haul distances and minimal expansionary capital expenditures.
With the completion of the plant improvement projects in 2022, mill throughput is expected to be higher this year, averaging 45,000 tonnes per day, with recoveries expected to average approximately 84%.
Production and grade are forecast to increase sequentially through the first three quarters, with the third quarter expected to be the strongest of the year. Mill feed is expected to be primarily from the higher-grade Phase 4 area and the North Pit.
In addition to copper production, the company forecasts gold production to be between 20,000 and 30,000 ounces and silver production between 350,000 and 400,000 ounces.
Shares of Copper Mountain Mining surged 7.2% by 12:15 p.m. ET following the release of its full-year results and 2023 guidance. The Vancouver-based miner has a market capitalization of C$414.8 million ($303.3m).
