A key step in the construction process has been taken by the Diamante and Andesita projects of the El Teniente Division, after the Codelco Board of Directors approved resources of $1.243 billion for the investment phase of both initiatives. Together with the Andes Norte project, Diamante and Andesita make up the new project portfolio at El Teniente (formerly referred to as the New Level Mine), an initiative that will allow Codelco to replace sectors of the deposit that are in the process of depletion and extend their productive life by 50 years, maintaining production levels at around 460,000 t of fine copper per year.
The El Teniente development project portfolio has now reached 64% completion progress and began in 2015. The Diamante, Andesita and Andes Norte projects have the broad strategy of the gradual deepening of the operation to 300 m below current levels with a total investment of $3.2 billion. The new projects have reserves of approximately 2 billion tons of ore, with an average copper grade of 0.86% and 220 parts per million of molybdenum.
It is estimated that, in total, the three projects will generate approximately 10,000 jobs in the stage of greatest construction activity, scheduled for 2021 and 2022. Meanwhile, their operation will be carried out with the workforce that El Teniente already has, who currently work in sectors of the deposit that will gradually deplete. At the local level, the portfolio will allow mining to maintain a contribution to regional GDP close to 20%.
The projects present a high degree of geotechnical complexity, which has made it necessary to use cutting-edge technology and adapt constructive solutions to the reality of the deposit: hydrofracturing, 100% mechanised rock reinforcement of the main tunnels and mechanised shielding of vertical shafts.
Diamante involves $730 million of total investment with estimated entry into production in October 2022. It will involve 700 jobs during construction and consist of 40 km of tunnels, with 102 extraction points. A new bidirectional access tunnel to El Teniente (similar to the El Melón tunnel) will be 2.5 km long.
Andesita involves $513 million of total investment with production operations from October 2023. It will see 1,300 jobs during construction and consists of 25 km of tunnels, with 85 extraction points. It will use autonomous LHD equipment operated from the Rancagua Integrated Operations Centre.
Finally the Andes Norte project involves a massive $1.931 billion investment with estimated start of production in December 2023. It is the project located in the deepest level of the deposit. It will produce 140,000 t/d of ore using a new Minerals Management System for bulk ore handling that will replace the current Teniente 8 Railroad.
