Construction of the US$325 million, 3.2 million tonne per annum project hasn’t missed a beat, remaining on schedule for the duration of development, despite COVID-19 and global supply chain interruptions.
There are more than 1700 workers on site.
The structural, mechanical and piping work for the plant is 95% complete, while the electrical and instrumentation work is about 85% complete.
Mechanical work for the crusher is nearing completion and the semi-autogenous grind mill is fully assembled.
Tailings storage facility lining works are more than 95% complete and installation of the tailings pipeline is underway.
Open pit mining operations are continuing on a 24-hour basis, with 10 million bank cubic metres mined up to the end of January, and initial commissioning ore stockpiled on the ROM pad.
The commissioning team has been mobilised to site with wet commissioning is expected to begin in the coming weeks.
“The recent progress made by our team in Botswana in safely and professionally executing and delivering the Motheo copper project has been nothing short of exceptional,” Sandfire acting CEO Jason Grace said.
“Despite the many challenges involved building a brand-new copper mine over the past two years – including global supply chain disruptions, skills and materials shortages, the impacts of the COVID-19 pandemic – the team has been able to advance the project to the start of commissioning ahead of schedule.”
Grace said Motheo had been built to the highest standards using state-of-the-art equipment.
“It has been built to stand the test of time as the cornerstone of our new mining hub in Botswana, and we are confident that it will be operating for many decades to come,” he said.
Construction is being funded via cash and a $140 million facility with Société Générale and Nedbank.
Sandfire has approved an expanded 5.2Mtpa operation, incorporating the development of the A4 satellite deposit 8km away.
The cost to develop the A4 satellite resource and expand the plant is $71.9 million, including $24 million of pre-approved capex.
The expanded project has a 10-year life, producing 440,000t of copper at all-in sustaining costs of $1.79 per pound, peaking at 55,000t per annum in FY28.
The environmental and social impact assessment for A4 has been submitted to the Botswana Department of Environmental Affairs and engineering design for the expansion is now 85% complete.
Grace said the ball mill had been delivered to site.
“The successful execution and delivery of the 3.2Mtpa project, followed by the expansion to 5.2Mtpa will see copper production in Botswana quickly ramp up to a peak of 55,000tpa, complementing our operation at MATSA in south-western Spain,” he said.
“Motheo is coming into production at an opportune time given the positive outlook for copper as a future-facing metal.
“New demand for copper is being driven by the strong investment being made globally in the electrification of the global economy and the growth being seen in renewable energy and the EV sector.”
