General manager of MMG’s Dugald River project Pierre Malan has used a Townsville mining conference to give an upbeat assessment of their operation, due to become one of the world’s biggest zinc mines when it opens in 2018.
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Speaking at a North Queensland Mining and Resource Industry Forum on June 7 Mr Malan said the the mine was progressing towards commissioning later this year in preparation for first concentrate shipping in early 2018.
Mr Malan said an $800 million Chinese investment from major shareholder China Minmetals got the project to where it is today and it was a leap of faith at a time when zinc prices were half what they were today with no western banks prepared to stump up the money.
Mr Malan said that at peak annual production would be around 170,000 tonnes of concentrates and the mine would employ up to 400 people, primarily from Cloncurry and Mount Isa backed up by a fly in fly out hub at Townsville.
Mr Malan said they received 900 applications for the first 40 positions with assessment under way.
(We have) received 900 applications for the first 40 positions with assessment under way.
- Pierre Malan
Dugald River is positioned to be within the world’s top ten zinc mines when operational and the will operate over an estimated 25 years while the ore body remains open at depth.
Development of the mine was halted in 2013 after encountering challenging geotechnical conditions relating to the ore body.
Mr Malan told the conference said the decision turned out to be a blessing in disguise as it enabled them to better identify the resource and refine processing.
Works on the mine continue with almost 150km of underground diamond drilling conducted and and around 30km of underground development.
Work has been completed on a 65km high voltage transmission line from Cloncurry and a mine village which can accommodate over 500 people.
The structural steelworks is now in place for the concentrator.
Derek Barry
Editor of the North West Star Mount Isa since January 2016. Prior to that, an editor at several regional southern Queensland newspapers. Passionate about telling local stories. Comes with a strange accent to due an Irish accident of birth.
Editor of the North West Star Mount Isa since January 2016. Prior to that, an editor at several regional southern Queensland newspapers. Passionate about telling local stories. Comes with a strange accent to due an Irish accident of birth.
