Major blow for rain-battered copper operation

29Metals expects its Capricorn Copper operation to be down for three to four months after being hit by an extreme weather event described as staggering in scale. The company has issued force majeure notices to major contractors as a result of the impact on the North-West Queensland copper mine. 29Metals said there was evidence of significant water volumes entering the Esperanza South (ESS) sub-level cave mining area and, while flooding had not damaged the processing plant, preliminary inspections indicate some damage to supporting infrastructure. With access restored and water levels stabilising, the site team is now inspecting the area and preparing recovery plans. It comes after about 500mm of rain fell at Capricorn Copper last week, the highest weekly total rainfall ever recorded for the region. The 1400mm-plus rainfall total since November 1 is also a record. 29Metals said the interruption to operations at Capricorn Copper was now expected to be more significant than the preliminary assessment of three to four weeks reported on March 9, with a renewed estimate of three to four months (subject to change). “The extreme weather event that has impacted Capricorn Copper, and much of North-West Queensland, is of a staggering scale – with Capricorn Copper recording its highest-ever rainfall for a seven-day period, and highest annual rainfall (in less than five months since 1 November) since records began 130 years ago," managing director and chief executive officer Peter Albert said. "In the context of an event of this scale, the site team’s response has been been exemplary. The health and safety of our team on site and ensuring no uncontrolled release of contaminated water or waste from on-site storage to the environment, are the highest priorities, and in this regard the performance of the site team has been first rate. "With the weather conditions improving, 29Metals’ management focus has promptly moved to recovery and a return to operating safely as soon as possible. "There is a significant task ahead of us, including reducing water levels stored on site, inspecting site facilities to identify damage, dewatering ESS and reinstating mining operations. "29Metals has moved quickly to provide support to the site team with functional expertise from across the business." In an update to the market this morning, the company reported that light vehicle access to the site had re-commenced and heavy vehicle access was expected to re-commence today. This is a critical milestone, enabling the site team to be relieved and allowing the supply of equipment and consumables to support recovery activities. The key drivers for recovery will be reducing the increased water levels stored on site and dewatering ESS. The heavy rainfall has seen the water level rise by about 7m in the Esperanza Pit, an historic mining void that is used to capture run-off water at the Capricorn Copper site. 29Metals stressed there had been no uncontrolled releases of water from on-site water storage facilities to the environment. It said the company was working closely with the Department of Environment and Science regarding water levels and mitigating action, keeping the local community informed, and engaging with key contractors. In the circumstances, and pending the ongoing recovery planning, 29Metals’ 2023 guidance for Capricorn Copper is withdrawn.

Major blow for rain-battered copper operation

Industry Queensland

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