Rio2 upgrades Peruvian copper plant to turbocharge water recovery
Brought to you by BULLS AND BEARS
Doug Bright
Rio2 Limited has commissioned a new tailings filtration plant at its Condestable copper mine in Peru; This is a big step towards dry pile waste and more efficient water use.
The new facility was built in 18 months with a total capital expenditure of US$27 million (AU$38 million). Once fully operational, the facility is designed to handle 8,400 tonnes per day and will have the capacity to process 100 per cent of Condestable’s current waste stream. Rio2 says the circuit was designed with potential future production expansions in mind.
The commissioning is expected to be completed within 10 weeks, and Rio2 aims to begin commercial operations in the third quarter of 2026. Initially, filtered dry tailings will be placed in existing permitted tailings impoundments before the operation transitions to a proposed dry tailings storage facility (TSF).
Management says the permitting process for the new TSF is progressing and environmental approval is expected in the third quarter of 2026. Rio2 targets an initially permitted capacity of 43 million tonnes, with a phased design that could ultimately expand to 170 million tonnes, supporting future mine life extensions.
‘We are delighted with this important step in Condestable.’
Andrew Cox, president and chief executive officer of Rio2 Limited
Rio2 says Condestable’s switch to dry pile waste will be best-in-class for waste management, significantly improving safety and environmental performance and supporting the operation’s path to Copper Mark certification.
The Copper Mark is a leading assurance framework supporting responsible manufacturing practices in the copper, molybdenum, nickel and zinc industries. Certification ensures that a company’s mining and refining site meets environmental, social and governance (ESG) standards and aligns with the UN’s sustainable development goals.
Rio2 Limited chairman and chief executive Andrew Cox said: “The operating team’s commitment to the highest environmental and safety standards has been impressive, and the start of the commissioning phase of the filter plant is a strong testament to this effort. This is also an important step for the next phase of growth at the mine; “We at Rio2 will be excited to announce this before the end of this year.”
The company hopes that switching to waste filtration will significantly increase total water recovery from the current 60 percent to almost 90 percent. This could provide headroom for further growth of the process without pursuing additional water permits or increasing use of local water resources.
Rio2 completed its acquisition of a 99.1 percent stake in Condetable at the end of January and has since moved to rapidly reduce the holding. This included making a voluntary US$20 million ($28M) vendor debt payment in late March; this extinguished the $10M ($14M) mezzanine note and reduced the senior note to $45M ($63M).
With the filtration plant now in full commissioning mode, Rio2 has another valuable lever to leverage at Condestable: a waste platform and strategy that can grow with the mine, along with cleaner waste processing, vastly improved water efficiency and a range of environmental benefits.
The company said it plans to outline the next phase of its growth initiatives for Condetable before the end of the year.
Is your TSX-listed company doing something interesting? Contact: mattbirney@bullsnbears.com.au
