Precious MetalsPrice (US$/oz.)Change
Gold | $385.00 | +15.15 |
Silver | $4.93 | +0.08 |
Platinum | $689.00 | +40.00 |
Palladium | $264.00 | +1.00 |
Base MetalsPrice (US$/lb)Change
Nickel | $3.81 | +0.14 |
Lead | $0.21 | +0.01 |
Copper | $0.77 | +0.02 |
Zinc | $0.36 | +0.01 |
ighted with the momentum, direction and timing of this project,” says Canico President Michael Kenyon. “Puma has big tonnage, at a high nickel grade, in a rising nickel market.”
The junior is now drilling some 10 km southwest of the Ona nickel laterite deposit, which has an inferred resource of 22.6 million tonnes grading 2.1% nickel, based on a cutoff grade of 1.5% nickel. The nickel laterite at Ona extends over 18 by 1 km and occurs in the same geologic and topographical setting as Puma.
“We’re working to uncover the true potential at Ona, complete a feasibility study and build Canico into a significant nickel producer,” adds Kenyon.
Canico acquired the Ona-Puma property from
The two have agreed to an offtake deal that allows Inco to buy all nickel matte produced on the property, and a technical service agreement allows Canico to use the major’s reduction smelting process.
A 1997 scoping study by Watts Griffis & McOuat indicates the deposit could be exploited using conventional smelting. A single-line pyrometallurgical process, similar to that used by Inco in Indonesia, would generate annual throughput of 1.1 million tonnes of laterite, yielding 50 million lbs. nickel matte per year over a mine life of 20 years.
The stripping ratio is 0.4-to-1, and the recovery rate is set at 91.6%. The estimated capital cost is US$450 million, while the operating cost is pegged at US$49 per tonne.
The 11,000-metre drill program is part of feasibility study, which should be completed in 2004.
Be the first to comment on "Spot Prices Wednesday February 5, 2003 Courtesy of Scotiabank"