SYDNEY, Nov 6: Plans to list Pakistan’s only copper mine project on the Alternative Investment Market (AIM) this year are on hold until fighting ends in neighbouring Afghanistan, Mincor Resources NL said on Tuesday.
But Tethyan Copper Co, 75 per cent-owned by Mincor, expects Pakistan’s international status to rise once the hostilities subside, giving the project a leg up among investors seeking new mine developments, Mincor managing director David Moore told Reuters.
Mincor, which mines nickel in Western Australia and is listed on the Australian bourse, is 49 per cent-owned by South Africa’s Iscor Ltd.
“Realistically, we will need things in Afghanistan to stabilize before seeking funds,” Moore said.
Pakistan has little history of copper mining and no mines are currently in operation in the country, Moore said.
“Although there will be considerable uncertainty and unrest in the short-term, Pakistan’s greatly enhanced international status is likely to have a positive impact on the economic and political future of the country,” Moore said.
The company hoped to raise $8 million after listing on the London Stock Exchange’s AIM, Moore said.
The funds would be used to pay for a feasibility study for a $132 million “starter project,” yielding around 40,000 tons of copper a year, Moore said.
Eventually the project could be expanded to full scale development of the Reko Diq deposit, located in sparsely-populated north west Pakistan near the border with Iran. The deposit is inside the rich veins known as the Western Porphyries, Moore said.—Reuters
