TOKYO Japans Mitsubishi Materials Corp (MMC) has acquired a 20-percent stake in AQM Copper Inc.s Zafranal project in southern Peru and an additional 20-percent stake in AQMs wholly owned Peruvian subsidiary, Minera AQM Copper Peru S.A.C. (MAQM).
Under the terms of the agreement, MMC has agreed to subscribe for shares in MAQM for $22.6 million, resulting in MMC holding a 40-percent shareholding interest in MAQM and AQM holding the remaining 60 percent.
MMC has committed nearly $15.1 million for the Zafranal project in Peru, currently owned in a 50-50 joint venture with Teck Resources Ltd.
As MAQM holds a 50-percent interest in Compañia Minera Zafranal (CMZ), the Zafranal Project joint-venture company, this provides MMC with a 20 percent indirect interest in CMZ and the Zafranal project as well as a 20-percent direct stake, allowing it to have a casting vote on all major decisions.
We are committed to investing at an early stage in good copper mining interests to secure a stable supply of copper concentrate, MMC said.
Leaching at the open-pit mine is slated to begin this year with production over the 15-year lifespan of the project expected to total 1.41 million tonnes of copper concentrate, equivalent to 120,000 tonnes of copper ingots and 15 tonnes of gold.