BHP Group has unearthed a major new copper find in South Australia and that could put the state on a path to a “copper renaissance”.
BHP has revealed a large iron oxide copper gold (IOCG) deposit on the Stuart Shelf, 65 kilometres southeast of Olympic Dam-already the world’s third largest copper equivalent deposit.
In an early move the big miner shared the find with the market. Four drill holes had identified a potential new copper system with the same style of mineralisation found at Olympic Dam-aiming to produce 215,000 tonnes of copper for FY19.
As the company said, it’s still early days. “This exploration project is at an early stage and there is currently insufficient geological information to assess the size, quality and continuity of the mineralised intersections.”
If it goes ahead it will cap an amazing run for South Australia, now the country’s biggest copper producer & exporter. In the space of 3 decades the State’s gone from one major copper mine to three-and Adelaide’s OZ Minerals owns the other 2.
The Prominent Hill deposit-a mine which produces more than 100,000 tonnes of copper per year-and the Carrapateena deposit which is currently being developed into a $916 million mine for start next year.
The BHP discovery-which is a kilometre underground and could be developed using block caving technology-is encouraging news for a bunch of miners and explorers searching for IOCG type deposits right next door.
It’s also a great outcome for South Australia which has been pursuing a policy to triple copper production to one million tonnes per year within the next two decades.
This new discovery suggests we not only have a new copper region emerging, but a new era of prosperity for the State.
BHP statement: https://www.bhp.com/media-and-insights/news-releases/2018/11/bhp-copper-exploration-program-update