Nevada Copper in its most recent update says it has now entered into a long-term mining contract with Redpath USA Corporation for its Pumpkin Hollow underground copper operation. Redpath has been working at Pumpkin Hollow since January 2020 under a previously announced interim services agreement and has said that the transition from the previous contractor provided improvements in achieving development and mining rates.
The signing of the long-term mining contract between Nevada Copper and Redpath further cements their long-term operating relationship. The statement said: “Redpath is a highly accomplished mining contractor with experience of successfully delivering complex international and domestic projects.”
Pumpkin Hollow’s underground mine began production in December 2019 and is a 5,000 short tons per day operation. The Eastern Area is being mined by underground methods, specifically longhole stoping, with predominantly cemented paste fill (CPF) methods. The open pit project is in feasibility stage and is currently designed as a 37,000 short tons per day operation, expanding in Phase II to 70,000 with two mining areas, the North Pit and the South Pit.
The company continues preparations for the recommencement of processing operations and recommencement of concentrate production in Q3 2020, suspended due to the impact of COVID-19. Considerable progress has been made with its previously reported accelerated mine plan, including in vertical development, where with the completion of Main Shaft deepening to the final depth of 2,131 ft, the shaft changeover to production configuration has commenced and is tracking on schedule. Installation of the permanent ore handling system at the Main Shaft headframe is also progressing on schedule.
Further increases in rates of lateral development and expedited excavation of key underground infrastructure are in preparation to shift focus to development of stope inventory. There has been a further increase of the ore stockpile ahead of the process plant restart, sitting at over 114,000 short tons as of May 31. For years 1 to 5, the mine will have an annual average production of of 60 Mlb Cu, 9,000 oz Au and 173,000 oz Ag with a LOM annual average of 50 Mlb Cu, 8,000 oz Au and 150,000 oz Ag.
At the process plant, phased remobilisation of plant personnel has commenced with preparations ongoing for the recommencement of processing operations targeted in August this year. The company’s accelerated development plan is progressing well towards the restart of concentrate production in Q3 2020, subject to revision based on impacts of the COVID-19 pandemic and other factors.