Xstrata Copper acquired the Antapaccay copper-gold prospect through its acquisition of the Tintaya copper mine from BHP Billiton in June 2006. Historically, more than 90,000 m have been drilled at Antapaccay, which consists of two adjacent mineral structures: Antapaccay North and Antapaccay South. Following detailed evaluation of work undertaken to date, Xstrata Copper has been able to establish a total Mineral Resource of 472 million mt at a grade of 0.74% copper.

“The Antapaccay deposit holds the potential to increase production and extend the life of our Tintaya assets, which are located only 9 km away,” said Charlie Sartain, CEO of Xstrata Copper. The Tintaya operations comprise an open pit, a processing plant producing copper concentrate, a heap leaching operation and solvent extraction/electrowinning (SXEW) plant producing copper cathodes and substantial transport and administrative infrastructure. The operation achieved record mining and mill processing rates during the second half of 2006.

Xstrata Copper is conducting 40,000 m of drilling in 2007 to confirm and upgrade the Antapaccay resource as part of a pre-feasibility study for development of the project. Tintaya expects to start copper production in Antapaccay at about 40,000 mt/d, with a second phase raising production to nearly 80,000 mt/d.