Mitsui Mining & Smelting Starts Cu Concentrate Output in Peru

Mitsui Mining & Smelting started copper concentrate production at Huanzala mine, Peru. The firm introduced a copper concentrate process in addition to the existent concentrating facilities for zinc and lead. The capital expenditure is 200-300 million yen. The copper grade is currently around 20% during setting up the new facilities. The firm aims to improve the grade to 27-28% and supply 200 tonnes per month mainly to local ore traders. The firm also examines the ore sale to Pan Pacific Copper, a copper smelting joint venture with Nippon Mining & Metals.Huanzala mine is at 440 kilometers north from Lima, in which Mitsui Mining & Smelting holds a major stake. The mine has been operated by Compania Minera Santa Luisa since 1968, which is controlled by Mitsui Mining & Smelting with 70% shares. The crude ore output is 1,100 tonnes per day.Mitsui Mining & Smelting started operation of Pallca mine 2 years ago. Pallca mine is at 40 kilometers south from Huanzala mine. Zinc ore mined at Pallca is sent to Huanzala and concentrated. Pallca mine outputs crude ore at 500 tonnes per day. The both mines will operate for total 326 days in 2008.The annual output of zinc concentrate is planned at 90,000 tonnes and lead concentrate at 17,000 tonnes in 2008. All concentrates are consumed at domestic smelters of Mitsui Mining & Smelting group, including Hachinohe Smelting, Kamioka Mining & Smelting and Hikoshima Smelting.