Bezant Resources reveals development scenarios for Philippines copper play

Bezant Resources provided details of several mine development plans for its Mankayan copper-gold project in the Philippines with construction costs ranging from $529m to $896m.

The study was undertaken by consultancy Mining Plus and produced 11 different mining scenarios.

Three main representative options included two block caving and one sub-level caving development.

The first block caving option envisaged capital expenditure of $896m to produce a project with a $1.81bn net present value, total revenue of $11.6bn and a 27% internal rate of return.

The cheapest of the three was the sub-level caving options, which cost $529m but had higher ongoing production costs.

The other block caving option cost $633m, with a $797m net present value, $11.4bn of total revenue and a 21% internal rate of return.

The cheaper sub-level caving option could provide an intermediary step towards full block caving.

'Our work with Mining Plus affords us great confidence that the project lends itself to potential future development by medium size mining companies, as well as the majors, seeking to secure a long-term source of physical copper and gold,' chief executive Laurence Read said.

'The board remains positive regarding the fundamentals for copper over the next three years and believes that signs of a supply shortfall are already becoming evident.'

At 2:48pm: (LON:BZT) Bezant Resources PLC share price was -0.02p at 0.11p