CuDECO Ltd is an ASX listed mining company that specialises in mineral exploration and is currently transitioning to a major producer of mineral concentrates. The Company was incorporated and registered in New South Wales on 31 May 1960, and after various transitions was named Australian Mining Investments Limited and its securities were officially quoted on the ASX on 2 August 1971.
In the year ended 30 June 2005, CuDeco commenced production of high-grade copper sulphate pentahydrate at its Mt Norma operations, and on 13 July 2006, the Company changed its name to CuDeco Limited.
In late 2005 the Company purchased a mining tenement known as EPM 13049 which covers an area of some 2000 hectares. The EPM encompasses numerous old historical copper mines which have over the past 100 years produced exceptionally high grade copper ore and the Company has been focusing initially on proving up this world class copper / cobalt / gold resource which is now widely known around the globe as Rocklands (or more formally, The Rocklands Group Copper Project). The Company is now focussed intensively on bringing Rocklands into production.
History of the Rocklands Group Copper Project
Immediately upon purchase of EPM 13049 CuDeco commenced a shallow drilling programme in November 2005 to explore for copper oxide ore to supplement CuDeco’s existing operations at Mt Norma. This drilling programme was over areas referred to as the ‘Double Oxide’ and ‘Rocklands’ located in the southern region of the EPM. Results identified numerous drill targets for deeper drilling. In 2006, CuDeco discovered a previously undiscovered zone of copper, cobalt and gold mineralisation which has a strike length of over 1,250m. This mineralised zone was named ‘Las Minerale’.
Drilling continued and in June 2006, CuDeco announced an inferred resource of 59m tonnes @ 2% Cu equivalent within the 600 metres drilled ‘Las Minerale’ zone of mineral extrapolation to 900 metres. A total of 106 holes had been drilled at the time of the announcement. An application for a mining lease over this area was subsequently lodged in August 2006.
There are five subordinate shears that run sub-parallel to ‘Las Minerale’ with a width of over 1km. This zone is comprised of principally, ‘Le Meridian’, ‘Central Rocklands’ and ‘Southern Rocklands’.
Grant of Mining Leases
On 24 November 2011, following the issuing of the inaugural Environmental Authority, the Queensland Government approved the grant of the mining leases over EPM 13049, with a 30 year term (ML90177 and ML90188). Subsequently, in May 2012 the Queensland Government granted a mining lease (ML90219) for the corridor between these two mining leases. The corridor mining lease provides critical access for power supply to the tailings dewatering and return water pumps, for maintenance of the tailings dam infrastructure and for the pipelines which run between the Process Plant and the tailing dams.
The Company holds the following tenements in Queensland as at the date of this Prospectus:
|Project||Tenement||Interest held by CuDeco Limited|
|Morris Creek||EPM 18054||100%|
|Rocklands Group Copper Project||ML 90177, ML 90188
and ML 90219
Ore Resource and Reserve
An updated Resource Estimate reported according to the Joint Ore Reserves Committee (JORC) Code 2012 and Guidelines was completed in November 2013.
The Company released its maiden Ore Reserve Estimate on 11 December 2015, reported according to the Joint Ore Reserves Committee (JORC) Code 2012 and Guidelines. The Maiden Ore Reserve Estimate, based on the Stage-1, 10-year mine plan was prepared by Australian Mine Design and Development (AMDAD), and is based on the November 2013 Mineral Resource Estimate for the Rocklands Group Copper Project prepared by Mining Associates Pty Ltd.
The Rocklands Resource is characterised by a style of copper mineralisation common only in a handful of mineral deposits in the world. including spectacular grades of native copper metal nuggets in sizes ranging from a few millimetres to metres.
Current mining activities are based on a phase-1 10-year mine plan, but longer term plans include expansion to a phase-2, 30 year+ mine life. Initial production will be dominated by high-grade supergene ore containing chalcocite and coarse native copper that will be extracted by a specially designed gravity circuit, and will shift focus to treating traditional primary copper ore as the native copper is deplete over several years.