Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

Nevada Copper has suspended mining operations at its Pumpkin Hollow project because of operational delays resulting from the state government’s travel and workplace restrictions.


In a press release, the company said the state government’s COVID-19 containment measures made ramping up its underground mining operations, as per the guidance it issued earlier this year, difficult.


The suspension is expected to last for at least six weeks, but the company will keep some essential mining services functional so that it can ramp up operations faster when the suspension concludes. Additionally, it is also looking at cost cutting measures to safeguard its balance sheet from deteriorating finances induced by the shutdown.


Nevada Copper indicated it is keeping a close watch on the evolving COVID-19 situation and might extend or shorten the shutdown period, depending on how soon the virus is contained in the state.


In March, the company said it was ramping up production at Pumpkin Hollow “despite macro headwinds,” by increasing its copper concentrate output. It had also indicated that concentrate production would further increase through H1 2020 because of progress made accessing high-grade copper stopes with ore grades of over 2.5pc copper at the mine.

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