Ormonde holds a 30% interest in Saloro SLU, the Spanish operating company which owns and operates the Barruecopardo Tungsten Project in western Spain. Ormonde’s joint venture partner is Oaktree Capital Management, who provided a US$100 million equity and debt financing package to fund the Project’s development.
The construction and commissioning of a new tungsten mine at Barruecopardo were completed in 2019 and the Project is in the early ramp-up phase of production. Once steady-state production is attained, Barruecopardo is expected to account for around 11% of non-Chinese global supply of tungsten concentrates, making it an important global producer.
The new mine is based on an initial open pit mining operation with a 9-year mine life, designed to process 1.1 million tonnes of ore per year to produce 260,000 metric tonne units (“mtu”) of tungsten trioxide (WO3) per year, or 2,060 tonnes of tungsten metal, contained in a high-quality concentrate, following the one year ramp-up period.
Spare capacity in the processing operation potentially allows for steady-state production to be increased to around 360,000 mtu by moving from a 5 day to 7 day per week operation. Additionally, the open pit design captures only 40% of the tungsten deposit’s Mineral Resource, which remains open at depth and along strike, and detailed evaluation of a “Stage 2” underground mine is planned during the open pit production phase.
Location: Spain – Castilla y Leon
Production Rate: 260,000 mtus WO3 (steady state)
Status: In production