BRITISH COLUMBIA — Vancouver's Taseko Mines says its Gibraltar mine and mill set a new production record for Q4 2008. Output was 18.8 million lb of copper as a result of the completed Phase One mill expansion. Milling capacity is now over 40,000 t/d at the site near Williams Lake.
For the year ended Dec. 31, 2008, the company reported an operating profit of $56.5 million, before provisional pricing and inventory adjustments. Annual gross revenues were $258.6 million from the sale of 77.9 million lb of copper and 800,000 lb of molybdenum at an average realized price of US$2.68/lb for copper and US$28.19/lb for molybdenum. During the last quarter of 2008 and the first two months of 2009, operating costs have been reduced to US$1.13/lb of copper from more than US$2.00/lb. The same period also saw copper recovery improve to 82.2% from 73.2%.
Due to current financial realities, the Phase Two mill expansion schedule has been modified. The regrind mill and cleaner flotation circuits will be completed in the summer of 2009 as they are not cash intensive to complete and they provide quick payback by enhancing both copper and molybdenum recoveries, said Taseko. Ramping up to 50,000 t/d will occur following completion of the remainder of the Phase Two program and completion of the in-pit crusher and conveyor.
With the exception of upgrading or replacing the molybdenum circuit, the Phase Three expansion has been deferred. It is designed to increase throughput capacity to 77,000 t/d. The engineering for this phase is well advanced and the estimated capital cost had been confirmed at $300 million for mill infrastructure and $50 million for mining equipment.
Please visit www.TasekoMines.com.
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