Copper miner Sandfire Resources says it is on track to commence exports from its DeGrussa project in Western Australia next quarter.
The company last month began mining its open pit for direct shipping ore (DSO), which is expected to be shipped to Switzerland-based MRI Trading AG and China’s Yunnan Copper Corporation in the three months to June 30.
Sandfire is at the same time developing a longer-life underground mine at DeGrussa where massive sulphide ores – a rich variety of ore, usually containing more than 60 per cent sulphide minerals – were first extracted last week.
Sandfire on Thursday said the underground development was now progressing beyond 1.5 kilometres in depth.
The company said it was on track to start processing the sulphide ores in the September quarter.
While sales contracts cover all of the DSO to be produced in 2012 and 2013, talks continue with several parties regarding the sale of concentrate from the underground operations.
It expects these discussions will conclude in offtake deals this year.
Sandfire booked a $19.5 million net loss for the six months to December 31, compared to a $35.2 million net loss for the previous corresponding period.
Shares in Sandfire were up 19 cents, or 2.49 per cent, at $7.82 at 1348 AEDT.
