Xstrata increases estimates of minerals at its Tampakan copper and gold mine
XSTRATA, the mining group, has boosted an estimate of mineral resources at its $5.2bn (£2.8bn) Tampakan copper-gold project in the southern Philippines to 2.4bn tonnes from 2.2bn, it said yesterday.
The mine, considered Southeast Asia’s largest undeveloped copper-gold prospect, is now estimated to contain 13.5m tonnes of copper and 15.8m ounces of gold, at a grade of 0.6 per cent copper and 0.2 grams per tonne of gold.
Manila is counting on the Tampakan project to help meet its ambitious goal of attracting up to $14.5bn (£8.1bn) in investments into its mining sector by 2013.
But just $2.4bn has come in since 2004, with a recent global downturn making it even more difficult for miners to fund exploration projects.
Xstrata’s new figure compares to a 2007 assessment of 12.8m tonnes of copper and 15.2m ounces of gold at the same grades.
The firm aims to start production in 2016, more than two decades after the discovery of the Philippine mine.