Overview
The Kanmantoo mine is located just out of Adelaide and operated as a series of open pits from 2010 to 2020, producing around 137kt of copper and over 55k oz of gold. Underground mining commenced in May 2023, with commercial production declared in July 2024.
The successful mining ramp up and plant commissioning at the Kanmantoo Copper Mine has established a solid platform for delivery with Group copper production increasing to 12,000 to 14,000 tonnes. Underground mining rates are targeting 1.7 – 1.8Mt per annum in 2026.
The mine is well capitalised with significant infrastructure in place including a 3.6Mtpa processing plant. It is connected to market via Port Adelaide which is only 75km away. At port we transfer ownership and receive 95% of the sales proceeds, helping to keep working capital requirements low.
A combination of increased quarterly production rates and a full 12 months of production and All-in Costs are planned to improve to 3.40 – 3.90 (US$/lb) as the year progresses as further efficiencies are realised and mining rates continue to ramp up to between 1.2 – 1.4Mt per annum.
Achievements
- Robust Operational Performance: Successfully produced 8,971 tonnes of copper and 1,813 ounces of gold in 11 months of operation
- Significant Resource Growth: A 96% increase in contained copper and a 138% increase in contained gold within the 2024 Mineral Resource estimate at Kanmantoo, alongside the release of a maiden Ore Reserve estimate
- Operational Excellence: Continued focus on operational predictability and cash flow generation, ensuring we are in a strong position to support future growth
Background
The Kanmantoo mine operated as a series of open pits from 2010 to 2020, producing around 137kt of copper and over 55k oz of gold. Underground mining commenced in May 2023, with commercial production declared in July 2024. The mine is well capitalised with significant infrastructure in place including a 3.6Mtpa processing plant.
Location
The Kanmantoo project is approximately 55km from Adelaide. It is connected to market via Port Adelaide which is only 70km away. At port we transfer ownership and receive 95% of the sales proceeds, helping to keep working capital requirements low.
In 2023 a Fraser Institute report ranked South Australia as the ninth most attractive mining investment jurisdiction in the world.
Kanmantoo’s position in the majestic Adelaide Hills also makes Hillgrove an attractive employer of choice, with 95 per cent of our workforce living locally. Our employees have access to:
- high class education;
- a thriving economy;
- entertainment, including music, arts, sports;
- the best wineries in the world; and
- cost of living comparing favourably with cities on the East Coast or Perth.
All of this has resulted in a strong interest in being part of the Kanmantoo underground mine, where we are building a great culture with a mix of experienced mining professionals and local residents entering the mining industry for the first time. If you are interested in learning more about employment opportunities, take a look at our careers page.
Mining
Underground mining has ramped up on plan since commencing in May 2023. Ground conditions are very competent which assists in achieving high rates of productivity.
The open pit, which was mined to a depth of 360m, is a key part of the mine’s infrastructure. The ramp inside the pit wall allows for quick, low-cost access to two portals to establish declines to open up multiple working areas in the underground mine.
Lodes are very close to the pit wall with high grade copper being mined a short distance from the portals in the early years of the mine plan.
In 2024, 8,971 tonnes of copper and 1,813 ounces of gold was produced. Kanmantoo Mineral Resources as at 30 September 2024 were 150,000 tonnes of copper (19,300kt grading 0.77% Cu) and 83,000 ounces of gold (19,300kt grading 0.14g/t Au).
