First production from Dugald River, mine officially opened

In Exploration, Infrastructure & Operations, Latest News

First production of finished zinc concentrate left MMG Limited’s (MMG) Dugald River mine near Cloncurry in Queensland’s North West yesterday.

The milestone was celebrated during the official site opening attended by MMG Chairman, Mr Guo Wenqing and Chief Executive Officer, Jerry Jiao.

MMG Chief Executive Officer Jerry Jiao said that the opening and first concentrate from Dugald River was an important milestone for the Project.

“I’d like to take this opportunity to recognise and thank all those who have played their part in the successful commissioning of the Dugald River Project,” Mr Jiao said. “I congratulate MMG staff and contractors for their hard work in delivering the US$550 million project – under budget and ahead of schedule.”

In his speech delivered at the event, Mr Jiao made special mention of the support MMG has received from the Queensland State Government, the communities of Cloncurry and the North West and major shareholder, China Minmetals Corporation and China Development Bank who helped financed the project.

MMG Chairman Mr Guo Wenqing said, “The collaboration between China Minmetals Corporation and MMG laid a solid foundation for the success of the Dugald River project. It also showcases the formidable capabilities and confidence of China Minmetals and MMG in running world-class resource assets.”

In attendance at the opening were senior representatives from MMG’s major shareholder China Minmetals Corporation (CMC) and China Development Bank (CDB), as well as the State Member for Mount Isa The Hon. Robbie Katter MP, Cloncurry Mayor Greg Campbell, representatives from Native Title Holders, the Kalkadoon, and other key business partners and community members.

“The Dugald River deposit was originally discovered in 1870s,” said Mr Jiao. “I’m very proud that MMG has finally brought this challenging project to production,” Mr Jiao said.

“By taking the time to understand the characteristics of this complex deposit, we have delivered the right plan and invested at the right time. We remain positive about the long-term fundamentals for zinc and Dugald River has come into production at a time of tightening global supply and rising prices.”

Located approximately 65km north-west of Cloncurry in Queensland, Australia, Dugald River will process an average 1.7 million tonnes per annum of ore to initially produce 170,000 tonnes of zinc in concentrate, plus by-products. When fully operational, the Dugald River mine will be a top 10 global zinc mine.

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