KGHM may extract 1.2MT

Reuters

London

Poland's KGHM Polska Miedz says its Canadian unit Ajax's reserves are estimated to have 1.2 million tonnes of copper.

Mine life is calculated at 18 years. The construction of the mine will last for two and half years. Company added that Ajax's reserves amount to 2.6 million ounces of gold and 5.3 million ounces of silver.

Average annual production of copper and gold in concentrate is expected to amount to 58,000 tonnes of copper and 125,000 ounces of gold respectively.  Silver production will be variable, KGHM said.

KGHM said its investments in the project are estimated at $307 million and they will pay back in six-and-a-half years

The Ajax project is a joint venture of KGHM and Abacus Mining & Exploration.

Average annual production of copper and gold in concentrate is expected to amount to 58,000 tonnes of copper and 125,000 ounces of gold respectively.