Turkish copper project near feasibility stage

An expanded work program and a feasibility study are being planned by Cominco Resources International (TSE) for its recently discovered Cerattepe copper deposit in northeastern Turkey.

A drill program carried out last year by the globe-trotting company’s Turkish subsidiary identified a near-surface copper deposit which is now estimated to contain a possible resource of 6 million tonnes grading 3% copper. The fault-bounded pyritic body is up to 70 metres thick and was intersected in 12 holes along a strike length of 250 metres. Despite drill sample recovery problems encountered in the 1991 program, the company estimates that a high-grade, secondarily enriched zone within the pyrite body contains a possible resource of one million tonnes grading 9% copper. The copper mineralization in this high-grade zone consists mainly of chalcocite.

This year’s program will include a surface exploration program comprising geophysics and drilling aimed at finding any fault-displaced extension of the mineralized zones. Results from the 1991 drill program are listed below. In the meantime, studies are already in progress comparing the relative benefits of proceeding with an underground exploration program or an expanded program of detailed surface drilling. This work would test the mineralized zones for continuity, better define tonnage and grade, and provide samples and data for metallurgical testing and mine planning.

The feasibility studies, expected to start this year before completion of the expanded work program, will examine the merits of both underground and open pit mine development.

Cominco Resources International has been exploring in Turkey since changes were made to the country’s mining laws in 1986 to attract foreign investment. The Cerattepe property is held by the company’s 100% owned Turkish subsidiary, and is subject to a 2% net smelter return royalty payable to the previous owner.

Closer to home, Cominco Resources is involved in the Glenbrook Nickel joint venture in Oregon, where construction of new facilities to handle and treat imported ore has started in Coos Bay and Riddle.

Once the project is completed, nickel production capacity is expected to increase to 36 million lb. annually from the current capacity of 18 million lb. annually.

The project will involve rehabilitation of a dock and construction of an ore storage area, ore dryer, crushers and truck loading facilities in Coos Bay to handle up to one million tonnes per year of high-grade lateritic ore imported from New Caledonia. Truck unloading facilities, dry ore storage bins and a ferronickel granulation line will be added at the smelter in Riddle. The Glenbrook nickel smelter and adjacent mine are operated as a joint venture between a unit of Cominco Resources and a unit of Cominco (TSE), which also owns about 64% of Cominco Resources’ common shares. The Ore Importation Project is expected to be completed in the 1992 fourth quarter at an estimated capital cost of US$33 million. (Interim financing is being provided by Cominco.)