Power Metal recently announced a strategic investment of US$1 million for 2.6% in Next Minerals S.A. ("Next Minerals"), a Chile-based mining company focused on the development of medium scale copper operations.
Next Minerals controls over 14,000 hectares, including the Comahue copper mine, in the tier-one copper district of the coastal copper belt of Antofagasta in Chile. Located in a world class mining district, the region offers access to pre-existing and key infrastructure, reducing CapEx requirements. It is situated close to a number ofmajor projects, such as the Mantos Blancos mine and Marimaca copper project.
Comahue is a mine-ready underground copper project with a phase 1 mineral resource estimate of 9.91 Mt at 0.81% copper, with 70% of the total resources recorded within the Measured and Indicated category in accordance with Canadian National Instrument 43-101.
Detailed engineering has been completed and all necessary permits, including environmental approvals granted. Based on current reserves plus expected additions from its other mining properties, Next Minerals could extend project life beyond 15 years and recover approximately 100,000 tonnes of fine copper cathode, with a metallurgical recovery of ~87-90%. The Company will employ a sub-level stopingmining method and process via conventional crushing, heap leaching and SX-EW, targeting an initial Phase 1 production capacity of 6,000 tpa of copper cathode, with potential to increase to about 12,000 tpa as additional resources are brought online.
