Construction of Serrote copper-gold mine in Brazil completed ahead of schedule
(Kitco News) - Mineração Vale Verde ("MVV") and Appian Capital Advisory today announced the finalization of construction of the Serrote copper-gold mine and processing plant located in Alagoas, Brazil, ahead of schedule and under budget.
MVV said that Serrote will produce an average of approximately 22 ktpa of copper equivalent over an initial 14-year mine life from a low-strip, open pit mine supplying a 4.1 Mtpa processing plant. This initial life of mine will exploit a mineral reserve of 52.7 Mt grading 0.6% Cu.
High-grade concentrate will yield a market premium, with lower downstream transport costs and carbon footprint, the company added.
The focus is now on the transition to steady state operations and the ramp-up over the second half of 2021, with operational readiness workstreams, employee training programs and risk management workshops well advanced. First shipment of high-grade copper-gold-silver concentrate is targeted for November 2021.
MVV said it is now working towards unlocking substantial value upside through definition of an expansion plan into the larger 108.9 Mt Measured and Indicated Resource at Serrote, as well as developing plans to generate value through the known oxide resource and nearby satellite deposits which are currently being drilled and expanded.
MVV is the owner and operator of Serrote, an advanced stage, de-risked greenfield open-pit copper-gold asset, located in Alagoas, Brazil. The company is headquartered in Belo Horizonte.
Appian Capital Advisory is the investment advisor to long-term value focused private equity funds that invest solely in mining and mining related companies. Appian has a successful track record of supporting companies to achieve their development targets, with a global operating portfolio overseeing nearly 5,000 employees. Appian acquired Serrote project from Aura Minerals in mid-2018.