CHINAGOLDINTL (02099) has announced that its management has approved a proposal submitted by its wholly-owned subsidiary, Tibet Huatailong Mining Development Co., Ltd. (Huatailong), to advance the next phase of development at the Jiama Copper Polymetallic Mine (Jiama Mine) in the Tibet Autonomous Region of China.
After evaluating and comparing several alternative development options, the proposed plan aims to expand the combined ore processing capacity of the Jiama Mine from its current design capacity of 50,000 tonnes per day to approximately 160,000 tonnes per day. This initiative is contingent upon the completion of an ongoing pre-feasibility study, as well as subsequent internal approvals, necessary regulatory permits, and other legal processes.
This development plan also marks a significant shift in mining strategy—transitioning from the current combined open-pit and underground mining model to a system dominated by a "large-scale open-pit mining" approach. This change is expected to significantly enhance operational efficiency, achieve economies of scale, and provide technical support for the target daily processing capacity of approximately 160,000 tonnes.
The development plan also includes the integrated development of the existing mining rights area and adjacent exploration rights areas, though final implementation remains subject to the results of the pre-feasibility study and all statutory approvals.
Simultaneously, the company anticipates that the Yulongbu tailings pond, currently under construction, will be completed as scheduled by the fourth quarter of 2027, aligning well with the planned development timeline. Preliminary mining engineering assessments indicate that this tailings pond will not pose a bottleneck risk to the expansion project's commencement. The long-term tailings processing requirements post-expansion will be evaluated as a dedicated topic in the pre-feasibility study and subsequent engineering designs.
Mr. Hou Chenguang, Chairman and Chief Executive Officer of the company, stated: "The approval to advance the next phase development plan for the Jiama Mine represents a key milestone in the company's long-term development blueprint. Our company has consistently adhered to a clear strategic direction—continuously unlocking the value potential of our existing mine assets through disciplined organic growth, creating sustainable long-term value returns for shareholders. The Jiama Mine and the Changshanhao Gold Mine have always been the dual core asset pillars of our development strategy. This project not only demonstrates management's confidence in the long-term prospects of the Jiama Mine but also reflects our determination to fulfill the strategic commitments we have made to the capital market. Our company will follow a professional engineering governance path to advance the project and will continue to update shareholders on significant milestones of the Jiama development plan as project progress dictates."