Glencore still assessing Mount Isa copper

  1. 81.7k

    Mining company Glencore says it is still considering the extension of its copper smelter operations in Mount Isa, in north-west Queensland, despite the company's plummeting share price.

    The State Government this week announced the approval of Mount Isa Mines' new environmental authority, which would allow the smelter to operate beyond 2016.

    The company's Mike Westerman said it would now develop a business case to extend the mine until 2022.

    "We made a commitment, as Glencore, to improve the costs of that smelter ... so understanding what third-party production is available over the next three or four years that we can lock into our production profile to make sure that we're not just only profitable for the next one or two years but, as the minister says, we need to come up with a business case for the next five or six years," he said.

    He said it still needed to assess the economic viability of the project and conditions surrounding the use of the Mount Isa to Townsville rail line.

    "So the decision around the smelter has everything to do with us making sure that that asset is profitable in the long-term and we wouldn't be considering that unless we thought that we had the ability to do that in the long-term," he said.

    "So a couple of outstanding items and we're hoping to make a decision on that in the near future."

    Topics: copper, mining-industry, mount-isa-4825, longreach-4730

    Contact Zara Margolis

    courtesy of ABC News



Your browser is too old for TopStocks and not secure. Please update your browser