Copper is a versatile metal that has a long list of commercial and industrial uses. Australia has 11 percent of world reserves of copper and the state of Queensland, particularly its northern region, produces more than 20 percent of Australia’s copper output. This high-quality copper is refined to 99.99 percent purity.
As electrification and decarbonization efforts ramp up around the world, Northern Queensland and its rich deposits and well-developed mining infrastructure will continue to be a copper hub. Government programs to bolster copper mining, smelting and refining will support the industry even further.
Copper is considered a critical mineral by many jurisdictions around the world as it’s an essential component in green energy products and infrastructure. Demand for copper is expected to double by 2050, which is triggering investments in copper at all levels of the supply chain worldwide.
Copper’s past in Queensland
In the 1860s, copper was first mined and smelted in Queensland. The northern town of Mount Isa became a mining hub after a huge copper, lead, zinc and silver deposit was found there in 1923.
In the 1970s, another deposit was discovered 32 km away. Mount Isa Mines, now owned by Glencore (LSE:GLEN,OTC Pink:GLCNF), is currently the second biggest producer of copper in the country.
Nearby Cloncurry has also been home to historical mines, with many in the area still in production.
The North West Minerals Province in Queensland is one of the world’s richest mineral-producing regions. It spans Mount Isa and Cloncurry, covering more than 375,000 sq km, with more than 60 percent of jobs in the area being related to mining.
Government support
Northern Queensland, particularly the North West Minerals Province features a unique geology featuring major deposits of copper, lead, zinc and silver, along with significant deposits of gold, uranium and cobalt. Minor finds of manganese, cadmium, bismuth, tungsten, beryl and mica also exist in the area.
Queensland has put particular attention to North West Minerals Province and invested in programs and improvements to foster improved mining in the area. It has issued a strategic blueprint that includes priorities to support resource development, diversify the local economy and work closely with companies in the region.
As well, the Queensland government distributes a number of grants and programs to support mining, including money for explorers of critical minerals and funding for battery-related technologies. It also supports better mining infrastructure via a new electricity transmission line in the region.
Copper work in the area
Today, Northern Queensland is abuzz with copper mining and exploration activities, signifying the region’s important role in providing the world with new copper supply.
Newly listed Far Northern Resources (ASX:FNR) has two exploration assets in Northern Queensland, the Empire and Rocks Reef projects. Empire is located near the historic mining town of Chillagoe and spans 252 hectares with a rich exploration history. The site has a mineral resource estimate from 2019 showing polymetallic targets. The project spans a number of targets, including a copper pit at a former, possibly hand-worked mine. Recent drilling at Empire revealed high-grade gold zones of more than 3 grams per tonne gold.
The Rocks Reef project is also located near Chillagoe and comprises an exploration permit that covers the Georgetown Tectonic Province. Rock Reefs has historical exploration data that confirms the presence of a mineralized vein system at the China Wall prospect. In addition to China Wall, FNR has also identified several other exploration targets, including: Roadside Copper, where FNR’s preliminary exploration revealed the presence of gold, copper and associated minerals; Savannah Way and Single Peak, located about 1.3 km north of China Wall; and North Drift Breccia and South Drift, where rock chip samples have also indicated mineralization potential.
Along with Mount Isa Mines, copper operations in the area include Aeris Resources’ (ASX:AIS,OTC Pink:ARSRF) North Queensland Copper Operation, a longstanding copper and gold project with multiple mining and exploration sites.
Bringing back to life old mines is becoming a trend in the region. The legacy Cloncurry Copper Project, owned by True North Copper (ASX:TNC), is set to restart mining operations. This multi-site project has a combined resource of 4.7 million tonnes, with 0.80 percent copper along with 0.13 grams per tonne gold.
Revolver Resources (ASX:RRR) has AU$1.3 million in government funding to assist in the reopening of the Dianne Copper Mine. Between 1979 and 1983, the mine produced 63,758 tonnes of high-grade copper ore with an average grade of 22.7 percent copper. The company has conducted extensive exploration work to expand the potential resource base for the operation.
Newer projects in this remote region of Australia include AIC Mines’ (ASX:A1M,OTC Pink:IAUFF) development of the Jericho deposit, which contains copper and gold. The mine has been approved for operations and will take advantage of the company’s infrastructure at the Eloise mine and processing plant, just 4 km away. It’s expected to produce 20,000 tonnes of copper and 10,000 ounces of gold a year.
Investor takeaway
Copper is in demand worldwide, with efforts in many jurisdictions to increase production. Favourable political forces in Northern Queensland are leading to increased infrastructure and funding to further develop this resource-rich area into a hub for high-quality copper mining and processing.
This INNSpired article is sponsored by Far Northern Resources (ASX:FNR). This INNSpired article provides information which was sourced by the Investing News Network (INN) and approved by Far Northern Resourcesin order to help investors learn more about the company. Far Northern Resources is a client of INN. The company’s campaign fees pay for INN to create and update this INNSpired article.
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