Inmet Mining Corp. Aims to Triple Gold Production, Expands Interests in Copper and Gold Projects

Strategic Insights -

Toronto-based Inmet Mining Corp., led by President Klaus Zeitler, is set to increase its gold production threefold to nearly 400,000 ounces over the next few years, as the company expands its interests in copper and gold projects worldwide. With its annual gold production currently standing at 134,000 ounces, Inmet is looking to capitalize on its "respectable beginning" in gold, while also diversifying its mining operations. The company's interest in the Petaquilla copper and gold project in Panama, in which it owns a 48% stake, is a key focus area, with Zeitler mentioning the possibility of increasing its share in the project.

Key Takeaways:

  • Inmet Mining Corp. aims to triple its gold production to nearly 400,000 ounces over the next few years.
  • The company's annual gold production is currently 134,000 ounces, with plans to expand its gold operations.
  • Inmet owns a 48% stake in the Petaquilla copper and gold project in Panama and may consider increasing its share in the project.
  • Adrian Resources Ltd. owns a 52% interest in the Petaquilla project, which could result in a 26% interest if Teck Corp. acquires its stake.
  • Teck Corp. is undertaking a study to evaluate the Petaquilla project and has agreed to finance Adrian's share to acquire half of its interest.
  • The Petaquilla project is one of the largest undeveloped copper and gold reserves in the world, with a potential capital cost ranging from $400-million to $800-million (U.S.).
  • Inmet is proceeding with construction on the $154-million (Canadian) Troilus gold project in Northern Quebec.
  • The company is also planning to develop the $40-million (U.S.) Ovacik gold and silver mine in western Turkey.

Statistics:

  • 134,000 ounces: Inmet's annual gold production.
  • 48%: Inmet's stake in the Petaquilla copper and gold project in Panama.
  • 52%: Adrian Resources Ltd.'s interest in the Petaquilla project.
  • $154-million (Canadian): Construction costs for the Troilus gold project in Northern Quebec.
  • $40-million (U.S.): Capital cost for the Ovacik gold and silver mine in western Turkey.
  • $1.9-million: Inmet's exploration expenditure in Chile.

Sources:

  • [Klaus Zeitler, President, Inmet Mining Corp.]
  • [Toronto Society of Financial Analysts]
  • [Adrian Resources Ltd.]
  • [Teck Corp.]
  • [General Minerals Corp.]
  • [TSE (Toronto Stock Exchange)]