Heron Resources’ Woodlawn zinc-copper project, which is 250km southwest of Sydney, remains on track for the delivery of its first concentrate in early 2019.
With final operating contracts now in place, the company reported that it was on course to participate in a favourable zinc and copper pricing environment.
Heron managing director Wayne Taylor said, “Our timing looks excellent, with ongoing support in all three of our major metals to be produced and is forecast to continue into 2019 when we expect to be making our first product deliveries into the market.”
The zinc price continues to trade above $US1.30/lb, which signals tight market demand for zinc concentrates in the future.
The annual copper benchmark treatment costs have also shown a 10 per cent reduction from the 2017 levels, indicating ongoing scarcity in the copper market.
During the past few months, Heron has announced the award of a number of critical contracts, including port services, underground mining services, tailings mining equipment supply and services and logistics services, aimed to support operations.
Twenty operational staff are also on site laying the groundwork for underground mining, plant commissioning and operations, site services and logistics, and health, safety and environment, among others.
The $240 million project has an annual production target of approximately 88 million pounds (Mlb) zinc concentrate, 20Mlb copper concentrate and 25Mlb lead concentrate, along with associated gold and silver.