Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Mining News of Note -- Ignore unavailable to you. Want to Upgrade?

To: LoneClone who wrote (66624)	8/31/2010 9:12:47 AM
From: LoneClone	Read Replies (1) \| Respond to of 194619

TCC to invest $3.3bn in gold and copper mining By Mohammad Zafar dailytimes.com.pk\08\31\story_31-8-2010_pg5_8 QUETTA: Tethyan Copper Company Pakistan (Pvt) Limited (TCC) has submitted its feasibility study report to the Provincial Government with a view of getting a mining license to exploit copper and gold resources. The project cost is estimated at $3.3 billion. It will be the biggest foreign financed project in the history of Pakistan. Such a huge foreign investment is unparallel in the economic history. Estimated payable metal production over about 56 years of mine life is 22 billion pounds of copper (10.000.000 tones) and 13 million ounces of gold. The Feasibility study report had been submitted to the Department of Mines and Mineral Development, which is representing the interests of the Government of Balochistan. Earlier, it was with the Balochistan Development Authority and later on Department of Mines and Mineral Development was given the assignment and Dr Saeed Baloch had been appointed as the focal person. “We are very happy that the Project has reached this important milestone. Based on extensive world class engineering, technical and financial studies by TCC, the viability of Reko Diq project has been established and we are looking forward to work with our partner, the Government of Balochistan on taking this project towards the construction stage,” said TCC CEO, Gerhard Von Borries. “A feasibility study of a mining project determines whether the proven mineral resource is technically and financially viable and is considered an important landmark in mining project development phase,” he said According to the feasibility report, the initial mine development investment for Reko Diq project is estimated at $3.3 billion (approximately PKR 272 billion) which includes development of basic infrastructure like power, water and concentrate pipelines, roads, and port development. The project will create 10,000 construction jobs and 2500 permanent jobs when the commercial operations start. Significant opportunities will also be created for local suppliers and contractors for providing services and goods to support mine operations. The project offers state of the art transfer of mining and beneficiation technology to Balochistan in addition to generating significant revenues in form of taxes, royalties and profit sharing. Gerhard Von Borries also confirmed that the Environment and Social Impact Assessment (ESIA) of the Reko Diq project is being finalised and will be soon presented to the competent authority. “We are committed to this project and the way it has been designed, it will be a catalyst of social and economic development for Balochistan,” he added. TCC’s vision is to operate a world-class copper-gold mine at Reko Diq, Balochistan in a safe and socially responsible way. TCC reports its resources and reserves on two international Minerals Reporting Standards, JORC (Australia) and CIM (Canada). Total mineral resource at Reko Dik is 5.9 billion tones. Mineral reserve i.e. economically mineable ore at Reko Diq is 2.22 billion tones at an average grade of 0.5 percent copper and 0.3 grams gold per tones. Estimated payable metal production over about 56 years of mine life is 22 billion pounds of copper (10.000.000 tones) and 13 million ounces of gold. It may be recalled that the Government of Balochistan intended to operate the Reko Dik in the public sector denying mining rights to the TCC. The Chief Minister, more than once, had stated his stand. The Government plans to merge with the Siandak Project and Reko Dik into a single metal mining company and operating it under the Government control. However, the TCC claimed that it had conducted the exploration and it is the right of the company to exploit the mineral wealth. The Government job is only to collect taxes and royalties, implement the laws protecting environment and enforce law and order. Since the Government had not undertaken the exploration for years, it had no right to mine the wealth under the international law, it is opined.