Newcrest Reports Positive Prefeasibility for Golpu


A prefeasibility study for Newcrest Mining’s Golpu copper-gold project proposes that the deposit be mined by
block caving, using mining methods similar to those employed at Newcrest’s Ridgeway and Cadia East mines
in New South Wales, Australia. Capital costs for the project are estimated at $4.8 billion.
Newcrest Mining reported in late August 2012 a very significant increase in the ore reserve estimate for the Golpu porphyry copper-gold deposit in Morobe province, Papua New Guinea, following completion of a technical prefeasibility study. The deposit forms part of the Wafi-Golpu pro-ject in which Newcrest and Harmony Gold each have a 50% interest.

The Golpu prefeasibility study supports an updated ore reserve estimate containing 12.4 million oz of gold and 5.4 million mt of copper, an increase of 11 million oz of gold and 4.7 million mt of copper from the previous estimate. The study also confirms an expected mine life of more than 25 years and projected unit cash costs at the bottom of the industry cost curve.

The prefeasibility study proposes that the Golpu deposit be mined by block cav-ing, using mining methods similar to those employed at Newcrest’s Ridgeway and Cadia East mines in New South Wales, Australia. Ore would treated by flotation to produce a copper-gold concentrate.

Capital cost to establish the Golpu mine and achieve first commercial production is estimated at $4.8 billion. The mine is anticipated to reach commercial produc-tion around 2019. Mine life is estimated at 26 years, with projected annual production of up to 550,000 oz of gold and 300,000 mt of copper.

Before the Golpu project proceeds to feasibility study, the joint venture partici-pants will engage with key stakeholders, including government and landowner rep-resentatives, to ensure alignment on the planned project development and key ele-ments of the next phase of work.

A concept study into the development options for the nearby, high-sulphidation epithermal Wafi gold deposit is continuing and is expected to progress to prefeasibili-ty study later in 2012.

As featured in Womp 2012 Vol 10 - www.womp-int.com