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Saturday, March 23 2019 @ 06:12 AM UTC

CANADIAN MINING PERSPECTIVE: Inmet raises $500 million for mine in Panama

Gold & MiningBy: Marilyn Scales (Canadian Mining Journal) Congratulations to Inmet Mining of Toronto. The company announced on March 31, 2010, that it is raising $500 million with which to proceed with the Cobre Panama (Petaquilla) development. The money will come from subscription receipts issued to Ellington Investment, a subsidiary of Temasek Holdings, a private company with offices in Singapore and other major cities. My mind boggles at the thought of raising half-a-billion dollars from a single investor. But the fact that Inmet can find that kind of funding speaks to the quality of the Cobre Panama project. Measured and indicated resources are 3.27 billion tonnes averaging 0.36% Cu, 0.007% Mo, 0.6 g/t Au and 1.30 g/t Ag, minable using open pit methods. And inferred resources almost as much at slightly lower grades. The deposit is located 120 km west of Panama City and only 20 km from tidewater. Inmet's dreams are big, too. The company is planning a 150,000 t/d operation with a pre-production capital cost of US$4.32 billion. (That amount also boggles my mind.)

Much remains to be done this year. Inmet plans to complete the front-end engineering and design (FEED) study, submit an updated 43-101 resource estimate, submit the environmental impact assessment to the Panamanian authorities, and more. The company says environmental approval and construction permitting is expected to take 12 months. Construction would take another 48 months. By my estimate, that puts initial production in 2015, unless there are unforeseen delays.

The new mine could provide the foundation for Inmet to grow for the next 30 years. The company produced approximately 125,000 tonnes of copper from five operating mines in 2009. Compare that to over 280,000 tonnes of copper in each of the first 16 years of operation, and the importance of Cobre Panama is clear. With a continued rising price of copper, Inmet looks to have a winner in the making.

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CANADIAN MINING PERSPECTIVE: Inmet raises $500 million for mine in Panama | 4 comments | Create New Account
The following comments are owned by whomever posted them. This site is not responsible for what they say.
CANADIAN MINING PERSPECTIVE: Inmet raises $500 million for mine in Panama
Authored by: Don Winner on Monday, April 05 2010 @ 05:26 PM UTC

To get straight to the point - I disagree. There are many copper mines operating in the world that are not causing the kinds of problems or environmental damage you describe. In fact, modern mines can be operated in an environmentally responsible manner, and the potential for problems or damage can be mitigated. Therefore, I simply do not share your fundamental anti-mining philosophy. I think the investment will be good for the country in the long haul. In the meantime, please feel free to continue ranting and railing against all mines. However you might want to find a way to protest - something other than your computer which probably contains about five pounds of copper. Add that to the wires in your house used to conduct the electricity to your computer, the wires for your internet connection, etc. First - use less copper. Then, complain about copper mines. Hypocrites quickly lose all credibility with me.

Don

CANADIAN MINING PERSPECTIVE: Inmet raises $500 million for mine in Panama
Authored by: Don Winner on Tuesday, April 06 2010 @ 02:27 PM UTC

Inment operates safe and responsible mines (today) in Turkey, Finland, Canada, Papua New Guinea, and Spain. They do not operate any of the unsafe or irresponsible mines you're ranting about. Therefore, before generalizing and making broad and sweeping assumptions that all mining is bad and evil, why don't you do some homework yourself, specifically about the company and people who will be developing this mine in Panama. I guess it's just easier and more expedient to paint all mines with the same broad brush, especially using information and data from the 1960's. Way to go, Mr. Credibility.

Don

CANADIAN MINING PERSPECTIVE: Inmet raises $500 million for mine in Panama
Authored by: Don Winner on Wednesday, April 07 2010 @ 11:38 AM UTC

Want to see a neat trick? Did you catch that? Comments?