production returns to normal at panaust’s laos

Production returns to normal at PanAust’s Laos mine

By: Esmarie Swanepoel
7th December 2011

PERTH (miningweekly.com) - Brisbane-headquartered PanAust has returned its Phu Kham copper/gold project, in Laos to budgeted production levels, after the gaining access to higher-grade ore.

Extreme rainfall impacted on production in the previous quarter, hampering access to the operation, and slowing efforts to dewater the lower benches of the openpit from where the higher-grade ore had to be mined.

Last month, Phu Kham produced 25 600 t of concentrate, containing some 5 936 t of copper and 5 281 oz of gold, as well as 54 582 oz of silver.

PanAust said on Wednesday that year-to-date production had reached 205 000 t of concentrate, containing some 53 257 t of copper, 47 964 oz of gold and 568 225 oz of silver.

The operation also remained on track to achieve its full year production guidance of 60 000 t of copper in concentrate.

Meanwhile, foundation work for the Phu Kham upgrade project was also well advanced, and the off-site fabrication of long-lead items was nearing completion. Commissioning and ramp-up was scheduled for the June quarter next year.

The implementation of the upgrade would allow processing rates to increase from 12-million tons a year to 16-million tons a year, and would lead to improved metal recovery rates through an increased grinding and flotation capacity.

The upgrade was timed to coincide with the scheduled decline in ore head grade during 2012.

Following the upgrade, PanAust was aiming to maintain its copper in concentrate production of at least 65 000 t/y.

The ASX-listed metals miner on Wednesday also reported that the Ban Houayxai gold/silver project was nearing completion, with commissioning work scheduled to start this month, and first production earmarked for the March quarter of next year.

At full production, gold and silver production would average 100 000 oz/y and 700 000 oz/y respectively. Gold production in the first 12 months of commercial operation was expected to exceed 100 000 oz on relatively soft oxide mill feed.

http://www.miningweekly.com/article/production-returns-to-normal-at-panausts-laos-mine-2011-12-07