- 29Metals (29M) withdraws its 2023 guidance for its Capricorn copper project following an extreme weather event earlier this month
- The company says 500 millimetres of rain fell at Capricorn Copper over seven days — the highest weekly total rainfall ever recorded in the region
- While site access has been restored, 29M says it expects operations in the area to be interrupted for three to four months
- Managing Director and CEO Peter Albert says the company will need to reduce water levels stores on site, identify damage in the area and complete other recovery activities before mining operations can begin again
- 29Metals shares are down 14.57 per cent and trading at 1.19 cents at 1:10 pm AEDT
29Metals (29M) has withdrawn its 2023 guidance for its Capricorn copper project following an extreme weather event earlier this month.
The company said more than 1400 millimetres of cumulative rainfall hit the Capricorn project and much of the Northwest of Queensland from November last year, with 500 millimetres falling over just seven days in early March. This marks the highest weekly total rainfall ever recorded in the region.
Mount Isa Shire, including Capricorn Copper, has been declared a natural disaster zone, though 29M said the low-pressure system associated with the extreme weather had begun to move away from the project region.
The company has declared no significant safety incidents, despite the challenging conditions, and site access has been restored for light vehicles.
Heavy vehicle access is expected to recommence today, allowing 29M to begin recovery activities on-site and inspect damages.
However, 29Metals said that while recovery plans and processes were ongoing, it expected operations in the area to be interrupted for three to four months — hence the withdrawn guidance.
“The health and safety of our team on-site and ensuring no uncontrolled release of contaminated water or waste from on-site storage to the environment are the highest priorities, and in this regard, the performance of the site team has been first-rate,” Managing Director and CEO Peter Albert said.
“With the weather conditions improving, 29Metals’ management focus has promptly moved to recovery and a return to operating safely as soon as possible.
“There is a significant task ahead of us, including reducing water levels stored on site, inspecting site facilities to identify damage, dewatering ESS and reinstating mining operations.”
The company said it remained highly engaged with stakeholders and its key contractors, including the Queensland Department of Environment and Science (DES), regarding water levels and mitigating action and keeping the local community informed.
29Metals shares were down 14.57 per cent and trading at 1.19 cents at 1:10 pm AEDT.