Phelps Dodge, the world's second-largest copper producer, will spend between $350 million and $400 million to construct the two mines, Dos Pobres and San Juan, about a mile apart on a stretch of land in the Safford area, Peter Faur, with Phelps Dodge, tells GlobeSt.com. The project, which has been in the planning stages for 10 years, is expected to begin between 2005 and 2007 once the company works out details, including a land swap with the federal government.
The company estimates that the area contains 555 million tons of leach material and 330 million tons of sulfide material, making it one of the area most substantial copper deposits. The plan is to harvest the copper with a process called solution extraction/electro winning, which extracts copper from rock in an environmentally sensitive yet cost effective method.
Faur says 470 to 1,000 workers will take 16 to 18 months to complete construction of the two pits, which should produce about 125,000 tons of copper annually for about 16 years. Once operational, the mines will employ 250 full-time and an additional 100 contract workers.
In a separate mining operation, Vancouver, BC-based Patriot Gold Corp. says it plans to purchase 100% interest in a mining property located about five miles north of the historic Oatman gold mining district. Patriot Gold executives have declined to reveal terms of the transaction until it is completed.
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