The new owners of Eloise Copper Mine say 2021 was a transformational year.
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On November 1 AIC Mines completed the $27 million purchase of the mine near Cloncurry, from FMR Investments.
In its annual report released this week AIC said the purchase elevating them to copper producer and provided a source of strong cashflow.
The report said Eloise Copper Mine was a low cost, cash generative asset with significant growth potential and In the first two months of ownership the mine generated $11.7 million in operating cashflow and A$4.7 million in net mine cashflow at a low sustaining cost of $3.05/lb of copper sold.
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"We believe that there is an outstanding opportunity at Eloise to add value through exploration success, resource growth, operational reliability, and regional consolidation," AIC said.
"Our exploration strategy at Eloise is focused on extending the known resource use areas and discovery of new satellite lodes within the Eloise tenements, with a view to extend the mine life well beyond five years".
The new owners of Eloise Copper say 2021 was a transformational year.
Eloise is a high-grade operating underground mine 60km southeast of Cloncurry.
Production commenced in 1996 and the mine has produced over 339,000t of copper and 167,000oz of gold.
AIC paid $5m in cash to FMR and $20m in shares plus a $2m cash payment payable six months after completion if production milestones are achieved.
The mine is currently producing 11,500t copper and 7,000oz gold annually.
In 2019 Eloise was forced to temporarily close underground operations after safety concerns.
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