Name of the Project
Copper World Complex.

Location
Arizona, in the US.

Project Owner/s
Base metals miner Hudbay Minerals.

Project Description
A preliminary economic assessment (PEA) has proposed a two-phased mine plan.

The project is planned to be a traditional openpit, truck-and-shovel operation, with a copper sulphide mineral processing plant and an oxide-leach processing facility producing copper cathode, molybdenum concentrate and silver doré.

Phase 1 proposes the production of up to 100 000 t/y of copper over a 16-year mine life, including an estimated 86 000 t of copper from mined resources.

Phase 1 includes a 60 000 t/d sulphide concentrator, a 20 000 t/d oxide heap-leach, a solvent-extraction electrowinning facility and a concentrate leach facility.

The concentrator is intended to expand to 90 000 t/d in Phase 2.

Phase 2 entails the expansion of the processing facilities, which will increase average copper production up to about 125 000 t/y over the remaining mine life, including an estimated 101 000 t of copper from mined resources. Phase 2 will increase the life-of-mine to 44 years.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
At a copper price of $3.50/lb, the after-tax net present value of Phase 1, using a 10% discount rate, is $741-million and the internal rate of return (IRR) is 17%, with a payback of 5.3 years.

Phase 2 has an after-tax net present value, at a 10% discount rate, of $555-million and an IRR of 49%, with a payback of 1.7 years.

Capital Expenditure
Phase 1 will cost about $1.92-billion. Phase 2 is estimated at $885-million.

Planned Start/End Date
Not stated.

Latest Developments
Hudbay Minerals is considering initiating a minority joint venture (JV) partner process for its Copper World project, which will enable the potential partner to participate in the design and funding of definitive feasibility studies in 2024. The JV partner process will be initiated once the final permits for the project have been received.

Hudbay expects to be awarded the final two permits – an aquifer protection permit and an air quality permit – this year.

State permitting for the project was initiated in June 2021 with the submission of Hudbay’s mined land reclamation plan, which has been approved.

In April 2022, Hudbay surrendered the 404 permit to the Army Corps of Engineers, as there is no evidence of jurisdictional waters of the US on the former Rosemont project site. A judge from the US District Court for the District of Arizona has affirmed the surrender of the 404 permit and that the new Copper World project is not connected to the previous federal permitting process.

In January this year, Hudbay received an approved right-of-way from the Arizona State Land Department that will allow for infrastructure, such as roads, pipelines and powerlines, to connect between the properties in the company’s private land package at the project.

Upon receipt of the state level permits, the company expects to conduct a bulk sampling programme to continue to derisk the project by testing grade continuity, variable cut-off effectiveness and metallurgical strategies.

Prefeasibility activities for Phase 1 are well advanced and a prefeasibility study is expected to be released in mid-2023.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Hudbay Minerals, tel +1 416 362 8181 or email info@hudbayminerals.com.