The Baimsky mining and processing plant for a major copper-gold deposit, Peschanka, in Russia’s Chukotka, is scheduled for 2022, the region’s Head Roman Kopin told a news conference on Tuesday.
“We shall see first investments in 2018, and the project to produce metal is… due from 2022,” he said.
The project’s investor will be Kazakhstan’s Kaz Minerals. The governor called the company’s participation in the project “a good solution for the region.”
“The company is experienced, in Kazakhstan they have implemented two similar projects,” he said. “It is more complicated here with the climate, natural conditions, they will have to settle logistics jointly with the region and with the federal government.”
An electricity line Bilibino – Kekura – Baimka, which will serve the project, is ready by almost 40%.
Baimskaya’s resources are 23 million tonnes of copper and 2,000 tonnes (64.3 million ounces) of gold. The Baimskaya Mining Company owns the license on Peschanka (with reserves of 7.1 million tonnes of copper) to 2033. Peschanka holds 9.5 million tonnes of copper and 16.5 million ounces of gold (based on Australia’s JORC methodology). The mine is expected to achieve annual output of 148,000 tonnes of copper and 275,500 ounces of gold, where for the first decade the output would be 250,000 tonnes of copper and 400,000 ounces of gold a year.