Miner approves development of $836m Eva copper, gold project

More than $800 million of investment and hundreds of jobs are planned for a new mine near Cloncurry.

A CANADIAN miner is proceeding with plans to develop the next big copper and gold mine near Cloncurry, promising investment of more than $800 million and hundreds of jobs.

Copper Mountain says it has formally approved development of the Eva project, subject to engineering, finance and the lifting of Covid-19 restrictions.

In a statement, company CEO Gil Clausen says financing is expected to be finalised by mid next year.

“We are excited to formally advance Eva, which is expected to add over 100 million pounds (2834 tonnes) of copper production per year. We expect to fund the full development of Eva through conventional bank project debt financing and internal cashflow,” Mr Clausen said.

The company expects to commission the mine and plant, employing more than 300 people, by late 2024. Concentrate is to be processed at Glencore’s copper smelter in Mount Isa before refining and export at Townsville.

Cloncurry Mayor Greg Campbell said he had a “great feeling” about the project because of the company’s commitment to local procurement and to have staff live near its operations.

Already, the company’s exploration manager and family lived in Cloncurry and a community engagement manager would soon be moving to the town.

“We are confident this project is going to happen,” Cr Campbell said.

Federal Member for Kennedy Bob Katter said Eva would underpin the Mount Isa copper smelter and guarantee the life of the Ernest Henry copper mine, also near Cloncurry, but that development of the CopperString transmission project was critical to cut power costs.

State member for Traeger Robbie Katter pressed the state government to deliver CopperString and said if it could the Townsville to Mount Isa corridor faced an economic expansion not seen since the boom of the 1940s.

But State Resources Minister Scott Stewart, while welcoming Copper Mountain’s investment, stopped short of committing to more state funding for CopperString.

They would continue to work on options for affordable power, Mr Stewart said.

Copper Mountain, which plans to connect to the Mount Isa network at Dugald River mine, has backed CopperString to cut prices.

Cr Campbell said current energy prices were a big drawback for new and junior mines.

“CopperString is a critical piece of common user infrastructure to really super charge the North West,” Cr Campbell said.

Copper Mountain this week released updated figures showing development costs of $836 million and an impressive after-tax Internal Rate of Return of 35 per cent.

Originally published as Miner approves development of $836m Eva copper, gold project