Volcan Compañía Minera, a leading Peruvian zinc producer, plans to implement a new mine in 2019, reports MinerAndina as announced by José Montoya Stahl, the company’s Corporate Development Manager, during the VI Meeting of Miners and Providers, MINPRO, organized by DIGAMMA group.
Puagjanca project is currently in the resources estimation stage and infill drilling (10,000 m scheduled for this year), which, alongside Yuncán, are part of Romina II project. Thus, Volcan will have a total of 13 mines in its portfolio of 12 operations in the central Andes. The executive said that Puagjanca will produce an estimated 30,000-35,000 t/y of zinc; 12,000-15,000 t/y of lead and 800,000-1.2 Moz/y of silver in addition to its ongoing production across all mines, which was 273,000 t/y of zinc, 52,000 t/y of lead and 22 Moz of silver in 2016.
The mining company will inherit from historic mines in central Peru –Centromin Peru and the former Cerro de Pasco Corp – and estimates an investment of between $10 million and $15 million in the project’s construction, a moderate amount thanks to the logistical advantages in the area, which significantly reduce risks and CAPEX.
Puagjanca hosts resources of 6-7 Mt of ore @ 5% Zn, 2.1% Pb and 1.7 oz/t Ag. The plan is to processe ore at a rate of 2,500 t/d in the plant of Alpamarca mining unit.
Volcan expects to receive the approval of its EIA, next October, for the construction of a drift in the project, in order to add resources. It has also submitted an EIA for mining and expects to have the respective feasibility study ready in 2018.
The company will proceed with major exploratory activity this year in a series of brownfield and greenfield projects on the 340,000 ha of concessions it has in the central highlands. Other priority projects are Palma (polymetallic), in Lima, and Zoraida (polymetallic), in Yauli.
Volcan operates five mining units: Yauli, Chungar, Alpamarca, Cerro de Pasco and the Oxides Plant.