Copper 360 Reignites O’Kiep Copper District Amid Global Supply Crisis

Copper 360 has taken a significant step in reviving South Africa’s historic O’Kiep Copper District by initiating underground mining operations at the Rietberg mine in the Northern Cape. This marks the first time in over forty years that copper extraction has resumed in the region, and the timing couldn’t be more critical. With global electrification on the rise, McKinsey predicts that annual copper demand will soar to 36.6 million tonnes by 2031, while supply is expected to fall short by 6.5 million tonnes, creating a substantial gap.

The reopening of the Rietberg mine is not only a monumental achievement for Copper 360 but also a historic event for the South African mining industry. The O’Kiep Copper District, where South Africa’s first mineral discovery was made by Simon van der Stel in 1685, is once again a hub of activity. “The commencement of mining at Rietberg is the culmination of years of planning and marks the beginning of a new era for both Copper 360 and the Northern Cape,” said Jan Nelson, CEO of Copper 360.

Nelson attributed this success to the dedication of the company’s executive team, management, and the resilient people of Namakwaland, who are integral to Copper 360’s operations.

Cluster Mining Model and Future Plans

Rietberg is the first of several dormant mines that Copper 360 plans to bring back to life as part of its cluster mining strategy. The company holds a mining right over 19,000 hectares in the Northern Cape, where it has identified 12 mines and 60 historical prospects. The measured and indicated resource estimate for the area stands at 4.8 million tonnes with a copper grade of 1.27%, representing 60,800 tonnes of copper metal. Notably, high-grade samples from the underground draw points have yielded copper values as high as 6.08%.

The ore extracted from Rietberg is being processed at the Nama Copper Modular Flotation Plant, with an initial production target of 12,000 tonnes per month at copper grades of 1.6% in situ. Production is set to ramp up to 45,000 tonnes per month within the next four months, following the commissioning of a second Modular Flotation Plant. During start-up, the plant aims for a recovery rate of 75-85%, with potential recoveries of up to 92% based on previous test work.

Economic and Social Impact for the Northern Cape

This development is expected to significantly boost the local economy by providing employment opportunities and supporting community initiatives in the Northern Cape region. Additionally, it marks a strategic shift for Copper 360, as the company transitions from primarily producing copper plates to copper concentrate. This shift is crucial, with 80% of the company’s revenue projected to come from copper concentrate, substantially enhancing its cash margins.

Jan Nelson emphasized the foresight of Copper 360’s Chairman, Shirley Hayes, in recognizing the future importance of copper and securing the mineral area over the past 16 years. This venture not only promises economic gains but also brings positive social outcomes for the local communities and the historic O’Kiep region.