Soaring demand for copper will help drive mergers, BHP CEO says
Demand for copper, a key element in the energy transition, is set to rise by 70% to 100% by 2050, Mike Henry said
Imperial Metals (TSX: III) reported higher second quarter copper and gold output from its two mines in British Columbia. Together they produced 11.2 million lb. copper and 14,289 oz. gold, compared to the previous quarter when 10.2 million lb. copper and 13,239 oz. gold were produced.
During the recent quarter, the 100%-owned Mount Polley mine produced 7.1 million lb. copper and 10,185 oz. gold. Imperial’s 30% share of production from the Red Chris mine was 4.1 million lb. copper and 4,104 oz. gold.
Imperial and 70% owner Newcrest Mining (TSX: MNM; ASX: NCM) are working on a block cave feasibility study to be completed by year-end for the Red Chris mine. Several optimization options are being assessed, including those to offset any inflationary cost pressures.
Underground development is advancing with the exploration decline at 3,245 metres as of July 20, 2023, and the fans have been commissioned in the first ventilation raise.
The exploration program at Red Chris is focused on the discovery of additional zones of higher-grade mineralization within the porphyry corridor. The East Ridge target, outside current resources, could contain between 400 million tonnes at 0.48% copper and 0.42 g/t gold and 500 million tonnes at 0.75% copper and 0.39 g/t gold.
Drilling east of the East Ridge target returned 274 metres grading 0.45% copper and 0.67 g/t gold, including intervals of 42 metres at 11% copper and 1.5 g/t gold; 14 metres at 0.63% copper and 1.7 g/t gold; and 26 metres at 0.5% copper and 1.1 g/t gold.
A regional exploration program has begun with a program of geological mapping and geochemical sampling. About 4,000 metres of growth-related drilling targeting higher-grade mineralization in planned for the third quarter of 2023.
Imperial Metals’ stock was up over 12% Tuesday afternoon on the TSX. The miner has a C$419.7 million ($318.6m) market capitalization.
