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Market Survey on Copper - Indian Bureau of Mines

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The Future<br />

With the open pit heading to be exhausted in 2015, arrangements are well<br />

underway for the planned transiti<strong>on</strong> to fully underground producti<strong>on</strong>. The geology<br />

includes nine ore bodies – the Deep Ore Z<strong>on</strong>e, which is located immediately below<br />

the now depleted Intermediate Ore Z<strong>on</strong>e, the underground Grasberg, Kucing Liar,<br />

Mill Level Z<strong>on</strong>e, Deep Mill Level Z<strong>on</strong>e, Ertsberg Stockwork Z<strong>on</strong>e and Big Gossan.<br />

"The Deep Ore Z<strong>on</strong>e block cave mine is <strong>on</strong>e <strong>of</strong> the largest underground<br />

operati<strong>on</strong>s in the world."<br />

Since 2004, a Comm<strong>on</strong> Infrastructure project has been in progress to create<br />

access to these large and undeveloped underground ore bodies through tunnels some<br />

400m deeper than the currently existing system. This will both enable the known ore<br />

to be exploited and allow the potential <strong>of</strong> associated prospective areas to be explored<br />

in the future.<br />

Open stoping at Big Gossan was scheduled to begin producti<strong>on</strong> in 2008,<br />

followed by the Ertsberg Stockwork Z<strong>on</strong>e block cave mining in 2009.Grasberg and<br />

Mill Level Z<strong>on</strong>e block caving is expected to start in 2016, with exploitati<strong>on</strong> <strong>of</strong> Kucing<br />

Liar and the Deep Mill Level Z<strong>on</strong>e commencing in 2024 and 2027 respectively.<br />

4. Collahuasi <strong>Copper</strong> Mine, Chile<br />

Collahuasi copper mine is situated in northern Chile, about 180km southeast <strong>of</strong><br />

the port <strong>of</strong> Iquique, at an altitude <strong>of</strong> 4,000m. The mine is 44%-owned by Xstrata plc<br />

(following its acquisiti<strong>on</strong> <strong>of</strong> Falc<strong>on</strong>bridge Ltd in 2006) in joint venture with Anglo<br />

American (44%) and a Japanese c<strong>on</strong>sortium (12%) comprising Japan Collahuasi<br />

Resources BV, Mitsui & Co. Ltd., Nipp<strong>on</strong> Mining & Metals Co. Ltd. and Mitsui<br />

Mining & Smelting Co. Ltd. The operating company is Cia. Minera Doña Ines de<br />

Collahuasi.<br />

Lying in an area <strong>of</strong> historical copper mining, the deposit was outlined in 1991<br />

after explorati<strong>on</strong> by Shell, Chevr<strong>on</strong> and Falc<strong>on</strong>bridge in the late 1980s. The mine was<br />

commissi<strong>on</strong>ed in April 1999 at a cost <strong>of</strong> US$1.76bn. During 2004, the project partners<br />

completed a $584m expansi<strong>on</strong> programme at the mine, giving it a l<strong>on</strong>g-term capacity<br />

<strong>of</strong> 500,000t/yr <strong>of</strong> copper.<br />

Geology and reserves<br />

Collahuasi is based <strong>on</strong> a typical low-grade copper porphyry, comprising three<br />

ore z<strong>on</strong>es: the major Ujina and Rosario deposits c<strong>on</strong>sisting <strong>of</strong> sec<strong>on</strong>dary, enriched<br />

sulphides and oxides and the Huinquintipa oxide deposit.<br />

The major ore minerals are chalcocite, chalcopyrite and bornite. Oxide<br />

mineralisati<strong>on</strong> occurs mainly as chrysocolla with minor brochantite, native copper,<br />

and copper-ir<strong>on</strong>-manganese oxides and hydroxides.<br />

177<br />

C<strong>on</strong>td…..

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