The new underground copper mine near Cloncurry, Queensland, Australia being developed by Xstrata saw work commence this week. The previous open cut mining site is being converted into an underground operation in a bid to extend the life of the mine until 2024.
The mine which is located in the Ernest Henry project about 40 km north east of Cloncurry is being extended underground at a cost of $600 million, said that general manager Myles Johnson. Mr Johnson added that when they have the shaft mine running at full capacity, it will be hoisting rock at a rate of six million tonnes a year.
As per estimates made by Xstrata, the first phase of underground operations will give about 25,000 tonnes of copper and 35,000 ounces of gold. This is just the story for 2012 as by 2013 the ramping up of the production is likely to bring in a yield of 50,000 tonnes of copper and 70,000 ounces of gold in concentrate.
Myles Johnson also said that the mine will be a big part of Queensland over the next 12 years as the mine will provide jobs for 350 people during construction, and 400 people when it's at full capacity. The Swiss mining giant hopes to have a mix of local and fly- in fly- out mine workers.