Phoenix Copper Ltd (AIM:PXC, OTCQX:PXCLF) told investors it is now in the final stages of completing the pre-feasibility study (PFS) for its proposed Empire open-pit mine, in Idaho, which will target copper, gold, and silver deposits.
The important study is anticipated to be complete early in the second quarter, “barring any unforeseen delays”, the company noted.
Chief executive Ryan McDermott meanwhile highlighted that it will be a significant milestone for the company.
“The final PFS report will include a comprehensive mine plan, mineral processing design, compliant mineral reserves calculated as deliverable metal for smelting or refining, net of mining dilution, detailed operating and capital cost estimates, and final economic analysis and cashflow," McDermott said in a statement.
“The completion of this report will represent a significant milestone for the company and will enable us to make final amendments to the Plan of Operations for permitting purposes, and to commence procurement of certain relevant capital equipment items.
McDermott added: "The critical part of the Empire open-pit PFS process has been to test the viability of a variety of mining and processing options, optimize multiple options, and conduct numerous checks on laboratory and engineering findings to help ensure that we have maximum flexibility prior to moving forward with the final stages of development engineering.
“This PFS process has been result oriented,” he added. “In these types of studies, the initial results and findings can often lead to further studies, all helping to ensure that the final plans are as robust as possible.”
McDermott further noted that the company endeavors to meet its timelines, and that such reports can be time consuming, but “mining is a long-term, capital-intensive business, and we believe the time spent on optimizing the mine plan and processing design at this stage can bring significant financial benefits to the project over the life of the mine.”
Elsewhere, the company also provided an update on the Navarre Creek gold exploration programme.
At Navarre Creek the company in October expanded its footprint, staking an additional 400 acres of unpatented mining claims and was encouraged by drill results. This year it plans to undertake more drilling.
With its expanded land position, the company said it has time to further assess exploration data and develop its strategy for the programme.