Koryx Copper has tripled its capital expenditure estimate for the Haib Copper Project to between U$1 billion and U$1.5 billion from an earlier projection of U$300 million.
The adjustment reflects a shift from bacterial heap leaching to a conventional processing method, according to Koryx Copper President and CEO Heye Daun.
“We had initially considered bacterial heap leaching as a cost-effective method. However, upon deeper evaluation, the risks associated with microbial die-off and the unpredictability of large-scale application were too great. Moving to a conventional processing method ensures we can meet production targets while delivering a project that financiers and stakeholders can have confidence in,” he said during an interview with Cruz Copper.
Daun noted that the new approach incorporates crushing, milling, and flotation to produce copper concentrate for smelters, addressing concerns about the scalability and reliability of bacterial heap leaching.
“The bacterial heap leaching method presented too many uncertainties for a project of this magnitude, from microbial sustainability issues to environmental factors that could disrupt operations. With this shift, we are building a foundation for a project that is both economically viable and technically sound, even if it means a higher upfront investment,” he said.
Meanwhile, infrastructure costs, including energy and water supply, play a significant role in the revised capital expenditure estimate.
The project’s proximity to the Orange River offers a steady water source, and its relatively low altitude of 400 meters minimises pumping costs compared to higher-altitude operations worldwide.
“For example, having access to the Orange River not only ensures a stable water supply but also significantly reduces the pumping energy required compared to operations situated in more challenging terrains,” he said.
Transporting copper concentrate to smelters in Zambia, Namibia, or China also factors into the capital expenditure planning, ensuring efficient delivery to global markets.
Despite the increased costs, the Haib Copper Project remains a globally significant resource with an estimated billion-tonne reserve containing approximately 2.5 million tonnes of copper. Drilling initiatives aim to improve the average grade from 0.32–0.35% to 0.4–0.45%.
“This is not just about managing costs—it’s about creating a project that has a lasting impact. Our focus is on scale and longevity. With a 20- to 30-year mine life and the potential to improve copper grades, this project stands to deliver substantial returns over its lifecycle. Our ongoing drilling and engineering efforts will only strengthen its economic feasibility and attractiveness to investors.”
The updated capital expenditure figures will be further refined in the Enhanced Preliminary Economic Assessment (PEA) due by mid-2025, with a prefeasibility study set for completion by the end of the same year.
These studies will incorporate new data from resource expansion drilling and by-product evaluations, such as gold and molybdenum.
“The Enhanced PEA will focus on integrating the conventional processing plan and refining cost estimates, while additional drilling will help us expand the resource base and improve grades. By the end of 2025, we aim to have a prefeasibility study that positions the Haib Copper Project as a standout opportunity for major investors or buyers,” he said.
