Thompson Creek raises cost estimates for Endako molybdenum mine
Dec 07, 2009 | 10:43 AM
| Anne Riley
Thompson Creek Metals Co. Inc. has raised cost estimates for its Endako Mine expansion by more than $100 million, claiming that the increased expenditures are necessary if the company hopes to meet its previously announced molybdenum production targets.
The cost of expanding the Endako Mine in Fraser Lake, British Columbia, is now expected to be about Canadian $498 million ($472.9 million), with Thompson Creek's 75-percent share expected to cost about C$374 million ($355.2 million), the company said. Previous estimates had pegged the total expansion cost at C$373.6 million ($354.8 million), C$280 million ($265.9 million) of which would be footed by the Toronto-based company.
The 33-percent increase in expansion costs will fund an enhanced pebble crusher circuit and automation system, as well as a new, larger mill building. Under previous expansion plans, the company would have constructed a smaller-scale mill and connected it by piping to the old mill.
The updated expansion design allows for the complete replacement of the existing 45-year-old mill. Once the new mill is operational, the old mill will be mothballed for use in event of a future expansion, the company said. ....
To access AMM's full content, please log in below. If you do not have an AMM account, we invite you to take a free trial or subscribe below.
Already a registered amm.com user?
Access to amm.com editorial content is granted only to paid subscribers and trialists. If you do not have an active account in your own name, please either subscribe or take a trial and you will have instant access to amm.com content. Sharing your login credentials with individuals who are not subscribers represents a violation of AMM copyright.
Every morning, every minute no matter how often you follow the markets, there's an AMM subscription to fit your needs.
Not sure if you are ready to invest in a subscription right now? Take a free, no-obligation trial. Start your free trial today.