COPPER MINE ‘WORTH MILLIONS’
AMOUNTAIN in north Wales could be worth £210m. This is according to a new report into the value of mineral deposits including gold and silver - at Parys Mountain near Amlwch.
The scoping study was commissioned by its owner Anglesey Mining, which also looked at the value of deposits of copper, lead and zinc.
While there would be a significant cost to mining the deposits - which would also be subject to price fluctuations - they have been put at £210m.
And chairman of Anglesey Mining John Kearney said the factors underpinning the case for commencing mining has moved in the company’s favour.
An ambitious investment programme to start work at Parys Mountain after nearly 100 years was abandoned 2009 when the financial crisis sent metal prices tumbling.
But since then additional resources of copper, zinc and lead have been confirmed at the mountain in Anglesey, which was once home to one of the world’s biggest copper mines.
Anglesey Mining commissioned a full scoping report before deciding what to do next.
But now that report, from Micon International Limited (Micon) and Fairport Engineering Ltd (Fairport), has raised hopes that mining could return to the site.
The report envisages a mining rate of 1,000 tonnes per day over an initial mine life of eight years.
Bill Hooley, Anglesey Mining’s chief executive, said: “We are very pleased with the results of the scoping study which demonstrate a viable mine development at Parys Mountain and a healthy financial internal rate of return.
“The base case economic model at 1,000 tonnes per day indicates a robust project at consensus forecasts for the long-term prices of zinc and copper.
“This is the first detailed economic study of the Parys Mountain project for a number of years and, based on the current availability of reconditioned process plant, the estimated pre-production capital cost for the project is at a level that could be financeable.”
Mr Kearney, added: “I have been involved with this company and the Parys Mountain project for many years.
“And I am encouraged that many of the variables and moving parts, including metal prices, treatment charges and used plant availability, have now moved in our favour and present a real and realisable opportunity for Parys Mountain.”
Anglesey Mining is listed on the London Stock Exchange and also has mining interests in north America.