Sandfire Resources has reported the availability of 8.8mn mt of ore at 2.6pc copper for 226,000mt of contained copper at the Johnny Lee deposit in its Black Butte copper project in Montana.
The miner said in a statement on Tuesday that the Johnny Lee deposit was the largest at the Black Butte project, following a feasibility study of the area. The firm further stated that the mine has the capacity to produce 1.2mn mt of ore per year over its eight-year mine life.
Moreover, Sandfire predicted that over the life of the mine, Johnny Lee would produce around 805,000dmt of copper concentrate that would contain around 189,500mt of copper metal. The project is likely to generate around $1.3bn in sales and $518mn in net cashflow during its operations, assuming a $2.30/lb price for copper.
- The company also announced the estimated resources of its Lowry deposit that is located around 3kms from Johnny Lee. At Lowry, the inferred copper resources were reported at 8.3mn mt of ore at 2.4pc copper, containing 199,500mt of the red metal.