“The pre-feasibility study estimated a capex of $5.3 billion over a period of three to four years. That included almost $1 billion for a hydroelectric dam,” he said.
Majority shareholder Xstrata has spent $270 million over five years on this project.
Xstrata expects to finish the feasibility study in December and building work could start by 2014, he said.
The Frieda River project, in the Sandaun province of western Papua New Guinea, is one of the world’s largest undeveloped copper and gold deposits. Xstrata owns an 81.82% stake in the project while Highlands Pacific has an 18.8% stake.
First production is expected in 2017 at a rate of 260,000 tpy of...