Taseko Mines Limited‘s (TSX: TKO) (NYSE: TGB) (LSE: TKO) reported an increase of 25 per cent quarter over quarter copper production thanks to higher grades, improved recoveries and increased output from the mill.
The company reported on Wednesday that it produced 35 million pounds of copper and 369,000 pounds of molybdenum in Q3, 2023 at its Gibraltar mine in central BC. This represents an increase of seven million pounds of copper and 139,000 pounds of molybenum over the previous quarter.
“Molybdenum grades have also increased as mining has progressed deeper into the Gibraltar pit, resulting in a 60% increase in quarterly molybdenum production,” said Stuart McDonald, president and CEO of Taseko.
A strike by port workers in early July led to shipping disruptions and the accumulation of excess copper concentrate inventory in Gibraltar. Consequently, sales volumes in the third quarter fell behind production by three million pounds, and it is anticipated that the surplus inventory will be shipped and sold during the fourth quarter.
Taseko purchased another 12.5 percent stake in the Gibraltar mine from Japanese multinational, Sojitz Corp (TSE: 2768) in March, bringing its part of the joint venture to 87.5 per cent with the remainder being held by Cariboo Copper Corp.
The acquisition price consisted of a minimum payment of $60 million over five years, and contingent payments hinging on copper revenues and prices at the Gibraltar mine. The company paid $10 million to Sojitz after closing, and the remaining amount will be in equal instalments of $10 million over the next five years.
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Copper mining in BC provides jobs and wealth to the region
Copper mining in British Columbia, Canada, is a key part of the province’s economy. Major mines like Highland Valley Copper, Red Chris and Gibraltar contribute to jobs and wealth in the region. These mines are mainly in the central and northern parts of BC, extracting copper, molybdenum and other valuable minerals. BC emphasizes eco-friendly mining practices and strict rules to protect the environment. This industry is vital to local communities and global copper supply.
Teck Resources Limited (TSX: TECK.B) (NYSE: TECK) operates the Highland Valley Copper Mine, one of the largest open-pit copper mining operations in North America. Imperial Metals Corporation (TSX: III) focuses on copper and gold exploration and production through the Red Chris Copper-Gold Mine, which it owns and operates. Centerra Gold Inc. (TSX: CG) (NYSE: CGAU) operates the Mount Milligan Mine in central British Columbia, with a primary focus on copper and gold concentrate production.
joseph@mugglehead.com
