15M Project - Riotinto
Modernization and Expansion of Capacity at Riotinto Copper Project
The 15 Mtpa expansion of Proyecto Riotinto, which was first announced in December 2017, reached full mechanical completion on schedule and on budget in August 2019. Following completion, the processing plant was fully commissioned and began successfully operating at an increased annualised rate of 15Mtpa in January 2020. The project was designed to upgrade processing facilities with the ultimate goal of increasing copper production to approximately 50,000 – 55,000 tonnes per year. The 15 Mtpa expansion comprised modernisation of the process plant with the installation of a new primary crushing system, a new SAG mill, additional flotation cells and concentrate handling installations as well as other site infrastructure.The purpose of the 15 Mtpa expansion plan is to increase copper production, improve operational efficiencies, reduce maintenance requirements and lower operating cash costs.
> The expansion plan is designed to deliver processing capacity of up to 15 Mtpa (2020 copper production estimated in the range of 55,000 to 58,000 tonnes)
> Expansion project represents capital intensity of approximately US$6,100 per tonne for the expected incremental 15,000 tonnes of Cu production
> Estimated reduction in cash costs and all-in sustaining costs by approximately 7% compared to the existing 9.5 Mtpa operation
> Management expects tan incremental NPV of approximately US$113 million (assuming an 8% discount rate) and IRR of approximately 43%, assuming a US$3.00/lb copper price, US$18.00/oz silver price, and USD:EUR of 1.15.