Boseto Mine records all time high output
Staff Writer | Friday July 25, 2014 14:32
In a statement released last week, the Botswana Stock Exchange (BSE) listed company said that the mine delivered 5,367 tonnes of copper in concentrate during the quarter ended June, which included record monthly production of 2,011 tonnes achieved in April. The quarterly production was a 25 percent increase on the previous comparable period.
“The fourth-quarter results reflected the continued focus on initiatives to increase mined volumes at Boseto, as well as to improve recoveries and reduce production costs.
“These initiatives would remain a priority for the full 2015 year,” DML said.
DML was also continuing with work on its Zeta underground mine, at the Boseto project, and the construction designs for the initial two years of development for the mine were on track for completion by the second quarter of 2015.
At steady levels, the Zeta underground mine would produce about 1.5-million tonnes a year, at 1.3 percent copper.
DML’s ultimate objective was to be able to supply sufficient ore from three planned underground mines to keep the 3.2-million-tonne-a-year Boseto concentrator at maximum throughput and efficiency.
Discovery Metals has prospecting licences covering approximately 26,919 km2 in Botswana.
Discovery Metals reported a loss of US$18.9 million for the December 2013 half year up from the US$14.6 million for the corresponding period in 2012 as the company struggled to find fresh capital injections to counter mounting debts. The company’s financial strain largely stemmed from last year’s collapse of the $100 million recapitalisation deal from a Singaporean firm, Blumont.
Early this year, Discovery Metals announced a restructuring of operations at the Boseto copper project, which resulted in the lay-off of 15 percent of the workforce.
Low international copper prices coupled with low ore grades recovered at Boseto has also exacerbated the company’s difficulties.
Copper prices have slumped to about $3.20 per pound from about $4.30 at the time the Bankable Feasibility Study (BFS) was compiled. Since commissioning in June 2012, the project has faced numerous challenges including inability to produce the quantities initially planned. DML is hoping to establish three underground mines to increase the mine life at Boseto as part of its strategic direction to unlock underground potential.