SAGITTARIUS Mines, Inc. will be investing about P1 billion for the extended pre-feasibility study even as the sharing schemes for copper and gold deposits among the stakeholders remain unknown, company officials said.
In a media briefing called recently by Sagittarius, officials clarified the new management of Xstrata Copper has decided to extend the pre-feasibility studies made by Australian firm Indophil Resources NL.
Xstrata Copper, the fourth largest global copper producer, has acquired 62.5 percent of Sagittarius and took management control last March. It was reported that the venture from then on would take on the feasibility study stage.
"The new management extended the pre-feasibility study that was conducted by Indophil to validate the extent of resources in the project development site. It is still conducting drillings and the pre-feasibility study is targeted for completion by the third quarter of 2008," said Bella Lechonsito, Sagittarius community relations and development affairs superintendent.
Roy Antonio, Sagittarius senior coordinator for corporate affairs, said since the company is still not finished with its technical works, "it can't be ascertained at this point" if open-pit mining would be employed.
He placed the amount of fresh funds poured into the extended pre-feasibility studies of the Tampakan project to be not less than P1 billion for this year alone, fully funded by Xstrata.
Antonio added that a separate annual budget for next year's phase of the extended pre-feasibility study is being currently prepared.
Asked about the sharing scheme for the huge resource deposits, Antonio failed to give any percentage figures that should go to the Local Government Units, the National Government and the company.
But he said " the mining law provides a basic percentage that should go to the government plus a share that would be determined by the company." (BSS)
