Monterrico sketches out Rio Blanco plan

Early progress on a final feasibility study for the Rio Blanco copper-molybdenum project in northern Peru proposes mining the deposit at 25 million tonnes annually.

The feasibility study, being done by consulting firm Hatch for Monterrico Metals (MNA-L, MMTLF-O), envisions that production rate in the first three to five years of mining, which would turn out 210,000 tonnes copper and 2,450 tonnes molybdenum in two concentrates. The study is also investigating the economics of an expansion to 50 million tonnes annually.

The mine would exploit a measured and indicated resource of 269 million tonnes in a supergene zone, with average grades of 0.73% copper and 0.014% molybdenum, and 548 million tonnes in a primary sulphide zone averaging 0.53% copper and 0.011% molybdenum. There is an inferred resource of 441 million tonnes grading 0.52% copper and 0.024% molybdenum, mainly in sulphide material.

Head grades would average 0.87% copper and 0.02% molybdenum over the first five years of mining, in a pit with a stripping ratio down to 0.73.

The ongoing studies have identified a site for the mill and a route for a slurry pipeline to transport a bulk concentrate to a port, where it would feed a separation plant that would produce copper and molybdenum concentrates. Hatch is also down to a short list of locations for a tailings facility.