MMG has committed to extending the life of its Kinsevere copper-cobalt operation in the Democratic Republic of Congo (DRC) for at least 13 years. According to the company’s press-release, the Kinsevere Expansion Project will mine and process the copper sulphide and cobalt resource at the Kinsevere mine.
“The project adds a significant amount of cobalt production to our portfolio, at a time when demand from electric vehicles and energy storage systems will accelerate and we transition towards a low carbon future,” added CEO Liangang Li.
In addition to extending the life of the Kinsevere mine by at least 13 years from 2022, once fully ramped up, the Kinsevere Expansion Project will bring the annual production of copper cathode up to 80,000 tonnes and 4,000-6,000 tonnes of cobalt in cobalt hydroxide, the company said.
MMG also noted that construction will commence in 2022 with first cobalt production expected in 2023.
“Total capital expenditure for the project is expected to range between US$550-$600 million and will be funded through a combination of available cash reserves and debt facilities,” the company said in a statement.
Headquartered in Melbourne, Australia, MMG is a mid-tier, global producer of base metals including copper and zinc. The company is listed on the Hong Kong Stock Exchange (HKEx: 1208) and operates and develops copper, zinc and other base metals products across Australia, the Democratic Republic of the Congo and Peru. The major shareholder of the company is China Minmetals.