Underground mining operations remain suspended at Ivanhoe Mines (TSX: IVN) Kamoa-Kakula Copper Complex joint venture with Zijin Mining. The suspension follows seismic activity in the area over a week ago that caused damage to portions of the underground mine.
Seismic activity is said to have continued to occur intermittently in recent days, with underground operations at Kakula again suspended on Saturday after they have resumed earlier in the week. Mobile equipment has been removed from mine workings while employees were brought above ground.
Senior management is now working with geotechnical experts to conduct a thorough investigation on the mine to determine the cause of the seismic activity.
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Preliminary results so far have suggested that the seismic activity could continue for weeks, which in turn would block access to the mine and prolong the suspension of operations at Kakula.
The activity so far is said to have resulted in increased water inflow levels to the mine, with dewatering plans now being prepared. The effort is said to require the purchase of more pumping equipment to expand capacity, and allow for dewatering from surface.
“We maintain significant optionality to maintain Kakula’s concentrator operations from surface stockpiles, or potentially temporarily re-deploy Kakula employees and equipment to Kamoa Mine, which continues uninterrupted,” commented Marna Cloete, CEO of Ivanhoe Mines.
Once operations restart – a timeline for which was not provided – the initial focus is said to be the inspection, repair, and restarting of pump stations and related piping, alongside electrical substations and cabling. Remediation is continuing on the shallower western portion of the mines, with dewatering currently occurring at a rate of 1,000 litres a second, with underground pumping capacity planned to be expanded to 3,000 litres a second. Permanent dewatering infrastructure that can be operated from surface meanwhile is planned to be installed across all of Ivanhoe’s mine sites.
Underground operations at the Kamoa mine meanwhile remain in operation, with processing occurring at the Phase 3 concentrator. Surface infrastructure at Kukula is said to remain unaffected as well, with the Phase 1 and 2 concentrators currently processing ore from surface stockpiles.
Guidance has now officially been withdrawn from Kamoa-Kakula for 2025 as well.
Ivanhoe Mines last traded at $12.85 on the TSX.
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