By James A. Loyola
Philex Mining Corporation is planning to launch operations in its Silangan, Surigao del Norte mine in four phases with Boyongan set to commence maiden operations by 2022.
In a disclosure to the Philippine Stock Exchange, the firms aid Silangan’s tenements consists of three deposit areas – Boyongan, Bayugo and Kalayaan, with the latter representing a joint venture with Manila Mining Corporation.
Based on the initial development timeline, definitive feasibility studies are currently underway and are expected to be completed in May 2019.
“For now, mineral resource estimates are indicative of large high-grade gold and copper deposits within tenement scopes. In terms of methodology, PX is planning an infrastructure design to employ underground sub-level cave mining for ore extraction,” the firm said.
Philex President and Chief Executive Officer Eulalio B. Austin Jr. said “we are currently working on securing all requisite permits and approvals to operate Silangan. We look forward to realizing the massive potential of a project of this magnitude.”
Meanwhile, Philex announced that its core net income amounted to P600 million last year as the Company faced various headwinds particularly rising inflation, regulatory hurdles and depleting ore grades.
As it moves closer towards the end of mine life, Philex Mining will be focused on maximizing the remaining cash generation capabilities of Padcal.
Total tons milled was at 8.52 million from 8.67 million in 2017. Marginal ore grades, which are inherent within the fringes of the mineral body, contributed to weaker metal output.
Less valuable mineral concentrations are a natural occurrence when extracting ore away from the core of the deposit.