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Amerigo Resources Ltd T.ARG

Alternate Symbol(s):  ARREF

Amerigo Resources Ltd. is a Canada-based copper producer. The Company owns a 100% interest in Minera Valle Central S.A. (MVC), a producer of copper concentrates. MVC, located in Chile, has a long-term contract with the El Teniente Division (DET) of Corporacion Nacional del Cobre de Chile (Codelco) to process fresh and historic tailings from El Teniente. The Company operates in one segment, the production of copper concentrates under a tolling agreement with DET.


TSX:ARG - Post by User

Bullboard Posts
Comment by Tokatoon Sep 14, 2007 10:54pm
360 Views
Post# 13402930

RE: Chile''''s Codelco plans JV to recover copper

RE: Chile''''s Codelco plans JV to recover copperARG currently recovers copper and molybdenum from tailings from mills that produce concentrate. This process is very site specific with limited technical parameters. The article talks about recovery of copper and molybdenum from slag. Slag is produced from smelters and refineries, not mines. So the idea is certainly similar and I would also assume that some of the technologies, equipment and techniques used by ARG's operations would be applied to recovery of metals from slag. ARG alluded in last conference call that it is talking to Codelco on "expanding business". clearly, this is one of ARG's opportunities - and likely the front runner. Given the capital required for this venture I now understand why ARG isn't buying back stock. I absolutely would want ARG to invest its cash and cash flow into expansion of this sort (though I still think there should be rooom for a little buy-back) for long-term EPS potential. Other potential projects include another tailings project for Chiquicamata. Start with ore Ore processed in mill to produce concentrate Concentrate goes through smelter to produce a copper matte Then the matte goes through electrolysis (refining) to produce 99.9% pure copper. The concentrate produced from the mill is copper iron sulphide (CuFeS2). In the smelting process limetone and sand is added to attract the iron from the copper, which collective forms a "slag". The process is never perfect and some copper also gets collected in the slag.
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