Board approves US$142 million Mbengwe underground materials handling project

The board of Quintel Corporation Limited has approved a US$142 million investment in the second phase of the underground materials handling system at the Mbengwe Copper Complex in Zambia. The project comprises an underground crushing station, a 2.1 kilometre conveyor decline and associated ore handling infrastructure.

The system replaces truck haulage on the main decline with continuous conveying. Forty-one haul trucks will be removed from the ramp, underground diesel consumption is expected to fall by 62%, and underground hoisting capacity will increase from 3.1 Mtpa to 4.5 Mtpa.

Project parameters

• Capital cost of US$142 million, funded from operating cash flow with no additional debt drawdown.
• Commissioning targeted for the fourth quarter of 2027.
• Underground capacity increases from 3.1 Mtpa to 4.5 Mtpa, supporting the transition to a 61% underground feed share by 2031.
• Estimated reduction of 18 kt CO₂e a year in Scope 1 emissions, equal to approximately 11% of the complex’s direct emissions.
• Ventilation demand falls with the truck fleet, reducing electrical load on the primary fans by an estimated 4.2 MW.
• Peak construction workforce of 620, with a commitment that at least 70% is recruited within Copperbelt Province.

The decision follows an eighteen-month study and a trade-off assessment against three alternatives, including a shaft option that was rejected on schedule and capital intensity grounds despite a marginally lower long-run operating cost.

“This is the least exciting kind of capital project and one of the most valuable,” said Emeka Nwosu, Chief Operating Officer. “It takes diesel out of a confined space, it takes trucks off a ramp where our people walk, and it makes the second half of the mine plan cheaper than the first. There is nothing novel in it, which is exactly why we are confident in the estimate.”