Lundin Mining Announces 2019 Mineral Resource and Reserve Estimates
Friday, September 6th, 2019
Lundin Mining Corporation (“Lundin Mining” or the “Company”) report its Mineral Resource and Reserve estimates as at June 30, 2019.
On a consolidated and attributable basis, estimated contained metal in the Proven and Probable Mineral Reserve categories totalled 5,507 kt of copper, 3,231 kt of zinc, 108 kt of nickel, 977 kt of lead and 6.8 Moz of gold.
Commenting on the June 2019 Mineral Resource and Reserve estimates, Marie Inkster, President and CEO said, “Our exploration teams continue to deliver considerable value as is demonstrated by meaningful increases in the Mineral Resources and Reserves with this update. The acquisition of Chapada coupled with ongoing exploration success, particularly at Candelaria, has increased our total contained copper metal in Mineral Reserves by over 1,800 kt or 50% from our June 2018 estimates.
Increases in Mineral Reserves in the Candelaria underground mines and Española open pit will underpin improvements to the copper production profile and support ongoing underground expansion studies. At Chapada, increased Mineral Reserves in the Sucupira and Baru NE deposits further our belief that the area has significant exploration potential which will support mine expansion studies.
Delineation and extension drilling have been highly successful at Eagle East. This has resulted in an additional year of mine life at Eagle. At Zinkgruvan, exploration success in Dalby has resulted in a significant increase in the Indicated and Inferred Mineral Resource estimates, supporting mining studies currently underway.”
2019 Mineral Resources and Reserves Highlights
- Total estimated Candelaria Measured and Indicated Mineral Resources have increased by approximately 5% to 998.6 Mt at 0.65% copper (from 952.5 Mt at 0.65% copper reported as of June 30, 2018). This increase reflects the continued success of the exploration campaigns in the underground mines and the delineation drilling of the Española surface deposit which now contains an estimated Measured and Indicated Mineral Resource of 73.1 Mt at 0.40% copper.
- Total estimated Candelaria Proven and Probable Mineral Reserves have also increased by approximately 5% to 663.7 Mt at 0.54% copper (from 634.0 Mt at 0.54% copper reported as of June 30, 2018).
- Total estimated Candelaria open pit Proven and Probable Mineral Reserves, excluding stockpiles, have increased modestly and are now 386.8 Mt at 0.49% copper (from 383.7 Mt at 0.49% copper reported as of June 30, 2018) reflecting additional drill information and revised pushback plans, offset by 12 months of mining depletion.
- Proven and Probable Mineral Reserves on the Española deposit have increased by 76% to 55.8 Mt at 0.41% copper (from 31.7 Mt at 0.42% copper reported as of June 30, 2018) as a result of delineation drilling. Subject to permitting, surface waste stripping on Española is targeted to commence in 2024 with ore forecast to be delivered to the plant in 2026.
- Total estimated Candelaria Underground Proven and Probable Mineral Reserves now stand at 148.2 Mt at 0.85% copper. This is an increase of approximately 11% or 14.2 Mt over last year’s estimate reflecting continued exploration success, particularly in the Candelaria North Sector. Future expansion studies for the combined Candelaria underground mine sectors are underway.
- Total Chapada copper-gold Measured and Indicated Mineral Resources, inclusive of Mineral Reserves, are estimated at 1,090.8 Mt at 0.24% copper and 0.15g/t gold. An updated Technical Report on Chapada is expected to be published in early October 2019.
- Total Chapada Proven and Probable Mineral Reserves are estimated at 738.8 Mt at 0.24% copper and 0.15g/t gold. New Mineral Reserves, derived from ongoing exploration drilling, have been added in both the Sucupira and Baru NE deposits resulting in an increase over those Mineral Reserves estimated at December 2018.
- The total combined estimated Eagle and Eagle East Proven and Probable Mineral Reserves remain virtually unchanged from last year at 4.1 Mt at 2.6% nickel and 2.2% copper with mining depletion at Eagle offset by significant discovery from infill and extension drilling at Eagle East. The Eagle East Probable Mineral Reserve estimate has increased to 2.3 Mt at 3.2% nickel and 2.6% copper. The Eagle mine life is now extended to at least 2025.
- Estimated copper and zinc Measured and Indicated Mineral Resources at Neves-Corvo are 61.7 Mt at 2.3% copper and 71.4 Mt at 6.9% zinc respectively. Copper Mineral Resources are broadly unchanged from those estimated at June 30, 2018 whereas the zinc Mineral Resources have decreased with the adoption of a higher zinc cut-off grade. Please see the “Notes on Mineral Resource and Reserve Tables” in this news release.
- Copper Proven and Probable Mineral Reserve estimates at Neves-Corvo decreased slightly to 27.9 Mt at 2.2% copper from last year’s 30.3 Mt at 2.3% copper largely as a result of mining depletion. Zinc Proven and Probable Mineral Reserve estimates have remained largely unchanged from last year at 29.7 Mt at 7.5% zinc with infill drilling offsetting mining depletion.
- At Zinkgruvan, continued drilling in the Dalby area has generated additional Indicated and Inferred Mineral Resources. Total estimated zinc Measured and Indicated Mineral Resources now stand at 20.2 Mt at 8.1% zinc and 3.3% lead and Inferred Mineral Resources at 19.8 Mt at 7.0% zinc and 3.3% lead. Exploration drilling from surface and infill from underground continues on Dalby with conceptual feasibility and mine design work ongoing.
- Zinkgruvan estimated zinc Proven and Probable Mineral Reserves have increased to 10.8 Mt at 7.4% zinc and 3.4% lead while estimated copper Proven and Probable Mineral Reserves are now 2.7 Mt at 2.0% copper.
Mineral Resource Estimates – June 30, 2019
|Mineral Resources – inclusive of Mineral Reserves||Contained Metal|
|Open Pit||Measured (Stockpile)||72,888||0.3||0.1||1||234||0.2||3||80%|
|Indicated Eagle East||1,865||3.5||0.4||13||4.3||65||–||1||81||100%|
|Inferred Eagle East||522||1.6||0.1||6||2.3||8||–||–||12||100%|
|Lundin Mining’s share||9,670||7,137||1,894||11.6||337||132|
|Note: totals may not summate correctly due to rounding||not including Inferred Resources|
Mineral Reserve Estimates – June 30, 2019
|Mineral Reserves||Contained Metal|
|Open Pit||Proven (Stockpile)||72,888||0.3||0.1||1||234||0.2||3||80%|
|Probable Eagle East||2,321||2.6||0.3||10||3.2||61||–||0.74||75||100%|
|Note: totals may not summate correctly due to rounding||Lundin Mining’s share||5,507||3,231||977||6.8||152||108|