Rex Minerals expects AUD$900 million Hillside mine to be 'best open pit project in Australia'
Rex Minerals (ASX:RXM) has released the prefeasibility study for its proposed Hillside copper project indicating that the mine would cost AUD$900 million to construct and generate $11 billion over its current mine life.
Adelaide Now reports that the company is bullish on the mine's prospects following the release of the study, with Rex's managing director Mark Parry saying it "reaffirms the economics of a robust significant copper project" and asserting that the mine could be "possibly the best open pit project in Australia since Ernest Henry 25 years ago."
The main costs of the project would include a $680 million processing plant and surface infrastructure and $120 million on the treatment of tailings from copper and gold production to produce iron ore.
Rex expects annual production of 70,000 tonnes of copper, 50,000 ounces of gold, and 1.2 million tonnes of iron ore.
The company says it will submit approval documentation with the South Australian government in early 2013, and expects all government approvals, bankable feasibility studies and final financing to be completed by the end of next year for the start of construction in early 2014.