Old news but still relevan. Take note that commercial production expected late 2012:
During the first six months of 2012, Copperstone mine entered into the start-up phase in preparation to achieve commercial production. During this period, Copperstone faced a number of mine development challenges, primarily related to underground mine development being behind schedule as a consequence of underperformance by the mining contractor, and time delays associated with acquiring and operating a new mining fleet. Other challenges included equipment availability, and grade and ore access which are typical in an underground operational start-up environment. Start-up was accomplished during the first quarter of 2012, and the second quarter of 2012 has seen the mine ramping up production with the goal of achieving commercial production as described in the feasibility study. As of June 30, 2012, the mine has not achieved commercial production.
Underground mine performance continues to improve. During the six months ended June 30, 2012 the mine has focused on development mining to gain access to future ore bearing stopes and mining ore from currently available stopes. Total material moved during this period was 51,690 tons including the 27,469 tons of gold bearing ore and 24,221 tons of waste. The average ore grade was 0.18 ounces of gold per ton, which is lower than the average grade of the ore body. This is due to the processing of substantial amounts of previously stockpiled material at lower or unknown grade during the start-up and ramp-up processes and the mining of lower grade ore than planned due to mine scheduling constraints resulting from the development mining being behind schedule as a result of the underperformance of the mining contractor. Plant feed for the period totaled 34,232 tons, producing 166 tons of concentrate with an estimated gold content of 17.5 ounces per ton. A total of 166 tons of concentrate were shipped during this period containing 2,908 ounces of gold. Gold recovery in the plant, during the three months ending June 30, 2012, was 85%, which is encouraging and approaches the 90% recovery estimated in the feasibility study.
The Corporation has since then developed an operation projection supported by a working mine plan that is based on actual mining experience to date and specific plans to reach commercial production by late 2012. A majority of the mine plan has a focus on increasing output from the underground mine and bringing the development mining up to design rates as the mine completes its recovery from the delays associated with the underperformance by the underground mining contractor. The areas of focus include improvements to the underground mining fleet (including the planned acquisition of continuous mining equipment), the development of a mine rescue team and associated equipment which allows for a substantial increase to the number of underground miners employed, electrical and water management system expansions, improved communications underground, and other areas.