West Perth resources hopeful Altona Mining has received amended environmental authority for its Cloncurry copper project in Queensland, incorporating a new deposit and other changes into the mine plan.
The project, which would be near Mt Isa, could be undertaken in a joint venture with Chinese company Sichuan Railway Investment Group, valued at about $US240 million, with today’s approval a precondition of that agreement proceeding.
The additional deposit, Turkey Creek, will form part of the Little Eva mining operation, with a new open pit mine, waste rock storage and a relocated tailings dam.
Inclusion of Turkey Creek will increase throughput over the length of the project and mine life, according to Altona.
The Little Eva project is now permitted for a minimum mine life of 11 years, Altona said, with 38,800 tonnes of copper and 17,200 ounces of gold annual production.
It follows a move in June to finalise the Sichuan agreement, in which the Chinese investor would contribute $US213.5 million cash to buy 66 per cent of a joint venture company.
Altona would also chip in $US25 million.
The agreement hinged on satisfaction of regulatory approvals by October.
Altona also holds a potential neighbouring project, Roseby South.
Altona was up 3 per cent to 15 cents per share at the time of writing, while copper is trading at about $US2.24 per pound, a fall of around 50 per cent in five years.
