Jubilee Metals Revitalizes Copper Production at Roan Operations in Zambia
In a significant development for the mining industry, Jubilee Metals, with operations listed in both London and Johannesburg, has officially restarted its Roan operations in Zambia after successfully restoring stable power supply. This comeback is not just about resuming production; it marks a strategic shift toward maximizing copper output by focusing on processing high-grade copper feed—exciting news for both the company and stakeholders in the region.
The past few months have not been without challenges. Power outages in December and January disrupted operations; however, Jubilee proactively responded by securing a new power agreement on January 20. With stable power now in place, the company is poised to ramp up production while enhancing operational efficiency.
One of Jubilee’s strategic moves involves prioritizing high-grade copper feed, specifically a new stockpile of copper material that promises greater yields. By addressing lower-grade surplus stock that doesn’t align with their immediate production goals, they are effectively narrowing their focus and optimizing their processes. The Roan facility’s ability to handle both high-grade mined material and tailings concurrently allows for enhanced copper yields and maximized operating margins—a true boon for the company’s profitability.
Recently, Jubilee secured rights to an impressive initial 200,000 tonnes of copper feed with a remarkable expected grade of 1.6% copper. This grade is significantly higher than the ongoing waste material, which bodes well for their production goals. If successful, this could pave the way for a long-term supply of high-grade feedstock, ensuring a consistent production line for years to come.
The Roan facility has a robust capacity to process up to 45,000 tonnes each month, and Jubilee plans to kick off operations focusing primarily on high-grade material, aiming to reach full capacity for over three years. Financially, the company will secure the copper material acquisition through a .7 million payment along with the issuance of 51.77 million new ordinary shares at a price of 4.20p each—an investment that speaks volumes about their confidence in this venture.
Jubilee CEO Leon Coetzer has articulated the importance of these developments, highlighting how the firm’s investment in the Roan facility’s processing capabilities has proven valuable. “Our ability to process both run-of-mine and waste copper material simultaneously is validated as we capitalize on this high-grade opportunity,” he remarked. Strong metallurgical performance from new material tested at Jubilee facilities reaffirms their position in the copper market.
Looking ahead, Jubilee remains steadfast in its commitment to its Zambian copper strategy, leveraging existing resources, and is actively exploring avenues to optimize lower-grade assets. A reassessment of copper production guidance will take place following a thorough operational run on the new high-grade material, with results expected in the coming weeks.
With its strategic enhancements and renewed focus, Jubilee Metals is setting the stage for not just recovery but potential growth in Zambia’s copper sector—a testament to the resilience and innovation within Africa’s mining industry.
Tags: #Zambia #BusinessNews #Mining #CopperProduction
