Pangilinan-led Philex Mining Corporation, one of the oldest and largest gold and copper producers in Southeast Asia, reported that it will extend the life of its Padcal Mine by one year.
"Padcal Mine has been in operation for more than six decades and still has remaining ore resources that can be mined depending on global metal price forecasts," the firm said in a disclosure to the Philippine Stock Exchange (PSE).
Based on a completed study after recalibrating the mining plan, Philex said the life of the Padcal Mine is extended for another year, from December 2027 to December 2028. Additional tonnage will come from mining pillars at the 760-ML production level, as this will contribute good grades.
"There are also tonnages from previously developed draw points beyond 100 percent extraction that provided good grades that we continue to mine. These are in addition to the mineable reserves that we declared in the 2027 projected end of mine life," it added.
The firm explained that price sensitivity analyses were applied to the remaining reserves, which further confirmed the economic viability of extending the mine life.
The operating data and parameters used in determining the updated remaining mineable reserves were as of Oct. 31, 2024, resulting in a remaining mineable reserves estimate of 30.25 million tons with average gold and copper grades of 0.20 grams per ton (g/t) and 0.18 percent, respectively.
The total recoverable gold is estimated to be 137,600 ounces, while the total recoverable copper is estimated to be 93.20 million pounds. The new estimate includes remaining reserves from the previously declared mineable reserves as of Dec. 31, 2023, aggregating to 33.90 million tons with average gold and copper grades of 0.21 g/t and 0.17 percent, respectively.
The newly declared remaining mineable reserves estimate was based on the previously disclosed mineral resource estimate as of Dec. 31, 2023, which remained the same at 190.8 million tonnes with an average grade of 0.3 g/t and 0.18 percent for gold and copper, respectively.
"The extension of the Padcal Mine life from Dec. 31, 2027, to Dec. 31, 2028, will provide continued employment for 1,879 Padcal employees as well as sustain the necessary assistance given to the social development of the host and neighboring communities," Philex said.
The company added that the extension of the Padcal Mine life to Dec. 31, 2028 "will also allow a smooth transition to the start of commercial operation of the Silangan project, estimated to commence in early 2026, in response to the global demand for green metals and the government's call for mineral resources development to be a driver for national growth and economic recovery."