WMC studies Olympic Dam

Aussie nickel major WMC Resources (WMC-N) has earmarked A$50 million over two years to study whether there should be an expansion of the Olympic Dam copper-uranium mine in South Australia.

Olympic Dam is the world’s eighth-largest copper deposit and its largest known uranium deposit. It is also Australia’s largest underground mine and mineral processing operation, with an annual production capacity of 235,000 tonnes copper, 4,500 tonnes uranium, and 100,000 oz. gold.

WMC is pondering spending A$2-4 billion to double the capacity of the mine by the end of the decade. WMC has already invested $4 billion in developing Olympic Dam, including A$600 million in the past three years and another A$80 million this year in mine development.