Botswana

Motheo A4 Expansion Project

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Categories

Overview

Mine TypeOpen Pit
StageConstruction
Commodities
  • Copper
  • Silver
Mining Method
  • Truck & Shovel / Loader
Production Start... Lock
Mine Life... Lock
ShapshotThe Motheo Expansion Project is centered on the development of the A4 Deposit as part of an expanded 5.2Mtpa Motheo Production Hub strategy.

The Botswana Department of Mines approved the Company’s submission for an extension to the Motheo Mining Licence during the quarter, as announced to the Australian Securities Exchange (ASX) on 22 August 2023. This approval was the final major permitting milestone for the 5.2Mtpa Expansion Project and follows the Botswana Government’s approval of the Environmental and Social Impact Assessment (ESIA) in May 2023. The $235M A4 Mining Contract was awarded to AMS on 7 September, and early earthworks and other preparatory work commenced during the September 2023 Quarter in advance of mining activity that is scheduled to commence during the December 2023 Quarter. The A4 mine, which is located ~8km from crushing, milling and concentration circuit, expands Motheo’s mining footprint that currently encompasses the T3 Open Pit.
Related AssetMotheo T3

Owners

SourceSource
CompanyInterestOwnership
Sandfire Resources Ltd. 100 % Indirect
The Project is held through in-country subsidiary Tshukudu Metals Botswana (Pty) Ltd. Tshukudu Metals Botswana (Pty) Limited (Tshukudu Metals), a wholly owned subsidiary of Sandfire.

Contractors

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Deposit type

  • Sediment-hosted
  • Breccia pipe / Stockwork
  • Vein / narrow vein

Summary:

The A4 deposit is located within the Ghanzi-Chobe belt in western Botswana. The stratigraphy in this belt comprises the basal Kgwebe volcanics which are unconformably overlain by Ghanzi Group sediments. The Ghanzi Group is a meta-sedimentary group comprising (in successively higher stratigraphic order) the Kuke, Ngwako Pan, D’Kar and Mamuno Formations.

A4 occupies a similar structural and stratigraphic position to that of the T3 deposit in that it occurs within a NE-SW trending periclinal anticline (“Dome”) with a core of Ngwako Pan Formation sandstone, overlain by a succession of D’Kar Formation shale, sandstone, siltstone and carbonates. All mineralisation modelled and incorporated in the Mineral Resource estimate occurs within the D’Kar Formation.

Second order (parasitic) upright to overturned folds are developed within the axial region of the periclinal anticline. The second order folds are cross-cut and displaced by moderately north-west dipping brittle-ductile, thrust-sense shear zones. These shear zones are characterised by zones of heterogeneous foliation of variable width and intensity. High strain zones have been recognised along which different sedimentary units have been juxtaposed by brittle displacement.

Flat lying to shallow dipping zones of extensional fracture and veining are developed in the footwall of the main shear zone. These extensional zones are interpreted to have formed as shear related extensional structures during thrust movement. The extensional structures are preferentially developed within a sandstone dominated package but also penetrate the overlying carbonate and siltstone dominated units.

Cu-Ag mineralisation that forms the focus of A4 is developed along both the shear zones and the extensional zones. Within the shear zones copper sulphides (bornite, chalcocite, chalcopyrite) are associated with quartz-carbonate veins developed sub-parallel to the shear foliation. Within the extensional zones copper sulphides are associated with either quartz-carbonate veins or as sulphide fill to in-situ fragmentation zones (breccias) within the host sediments.

Cu-Ag mineralisation that forms the focus of the A4 study extends from approximately 5m – 220m below surface. Mineralisation extends for 1,200m along strike and the cumulative total true width of mineralisation ranges from 10m – 80m.

Mineralisation extends over a strike length of approximately 900m and 270m down-dip and remains open at depth and along strike. Wireframes were developed using the high strain zones and extensional structures to guide interpretation of hosted mineralisation. A nominal 0.3% Cu cut-off grade was used to determine the external boundary of the mineralised zones. Immediately above the mineralised zone, soil/sand and calcrete extends to a depth ranging from 3 – 8m below surface. Saprolite (>25% oxidation) extends from 25 – 60m below surface and saprock (1 – 25% oxidation) from 55 – 85m below surface. Where oxidised, primary copper sulphides are altered to malachite, chrysocolla or covellite.

Reserves

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Mining Methods

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Comminution

Crushers and Mills

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Processing

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Production

CommodityUnitsLOM
Copper kt 440
Silver M oz 18
All production numbers are expressed as metal in concentrate.

Operational metrics

Metrics
Plant annual capacity  ....  Subscribe
Stripping / waste ratio  ....  Subscribe
* According to 2022 study.

Production Costs

CommodityUnitsAverage
Credits (by-product) Copper USD  ....  Subscribe
All-in sustaining costs (sold) Copper USD  ....  Subscribe
C1 cash costs Copper USD  ....  Subscribe
Assumed price Copper USD  ....  Subscribe
Assumed price Silver USD  ....  Subscribe
* According to 2022 study / presentation.
** Net of By-Product.

Project Costs

MetricsUnitsLOM Total
Initial CapEx $M USD  ......  Subscribe
Total CapEx $M USD  ......  Subscribe
Gross revenue (LOM) $M USD  ......  Subscribe
Pre-tax Cash Flow (LOM) $M USD  ......  Subscribe
Pre-tax NPV @ 7% $M USD  ......  Subscribe
After-tax NPV @ 7% $M USD  ......  Subscribe
Pre-tax IRR, %  ......  Subscribe
After-tax payback period, years  ......  Subscribe

Heavy Mobile Equipment

Fleet data has not been reported.

Personnel

Mine Management

Job TitleNameProfileRef. Date
....................... Subscription required ....................... Subscription required Subscription required Nov 22, 2023
....................... Subscription required ....................... Subscription required Subscription required Nov 22, 2023
....................... Subscription required ....................... Subscription required Subscription required Nov 22, 2023
....................... Subscription required ....................... Subscription required Subscription required Nov 22, 2023
....................... Subscription required ....................... Subscription required Subscription required Nov 22, 2023
....................... Subscription required ....................... Subscription required Subscription required Nov 22, 2023
....................... Subscription required ....................... Subscription required Subscription required Nov 22, 2023
....................... Subscription required ....................... Subscription required Subscription required Nov 22, 2023

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