Wedoany.com Report-Aug. 9, Capstone Copper has approved an expansion of the sulphide concentrator at its Mantoverde mine in Chile’s Atacama region, extending the mine’s operational life by six years. The project, named Mantoverde Optimized, will increase the concentrator’s daily processing capacity from 32,000 to 45,000 tonnes of ore, enabling an additional 20,000 tonnes of copper and 6,000 ounces of gold annually. The mine’s life will extend from 19 to 25 years.

The expansion is now estimated to cost $176 million, a 20% increase from earlier projections due to scope adjustments and inflation. The budget allocates $43 million for mining operations, $107 million for the concentrator plant, $19 million for oxide leach optimization, and $7 million for desalination plant upgrades. Capstone anticipates global capital expenditures of $375 million in 2025, up from a prior estimate of $315 million.

Orest Wowkodaw, a mining analyst at Scotia Capital in Toronto, stated: “The updated figure is below our current estimate of $200 million. Mantoverde Optimized is a ‘no-brainer’ expansion given the very low capital intensity, short development timeline, low technical risk, and attractive returns.” Following the announcement, Capstone’s shares rose 4.4% to C$9.12 in Toronto, reflecting a market capitalization of nearly C$7 billion

Located in the Atacama region, Mantoverde is an open-pit copper-gold mine producing copper cathodes since the 1990s. A $870 million development project completed in 2023 enabled the processing of copper sulphide reserves alongside oxide reserves, incorporating a sulphide concentrator, tailings storage, and an expanded desalination plant. Capstone holds a 70% stake in Mantoverde, with Mitsubishi Materials owning the remaining 30%

Construction for the expansion is expected to take approximately one year, with a ramp-up phase planned for the fourth quarter of 2026. The facility is projected to reach the 45,000-tonne-per-day capacity in early 2027, with increased cathode production starting in the second quarter of that year. The project supports Capstone’s goal to more than double its annual copper output to approximately 400,000 tonnes in the coming years, from 180,000 tonnes in 2024. This year, Mantoverde is on track to produce between 97,000 and 112,000 tonnes of copper.

The Mantoverde Optimized project aligns with Capstone’s strategy to enhance production efficiency and extend mine life, contributing to sustainable growth in the copper and gold sectors while maintaining high operational and environmental standards.