Sinomine Resource Group buys Tsumeb smelter in Namibia
Chinese-owned Sinomine Resource Group Corporation Limited has bought Tsumeb specialty smelter in Namibia. Dundee Precious Metals, the sellers said the sale aligns with Dundee’s strategic objective of focusing on its gold mining assets and simplifying its portfolio.
Dundee initially acquired the smelter in 2010 to secure a processing plant for complex concentrate from its Chelopech mine in Bulgaria. The firm has sold the smelter for a sum of US $49M in cash for the issued and outstanding shares it holds. They plan to work closely with Sinomine to ensure a smooth transition for the operation and all stakeholders involved.
Tsumeb smelter
The Tsumeb smelter produces 95% blister copper, which is refined in Europe and Asia. It also produces sulphuric acid sold to third-party clients for use in uranium and copper mining. Dundee’s Chelopech underground copper-gold mine in Bulgaria is 100%-owned by the company. It has proven and probable reserves of 305 million lb. of copper and 1.6 million oz. of gold. Production guidance for 2024 includes 29 million to 34 million lb. of copper and 155,000 to 175,000 oz. of gold, with an all-in sustaining cost between $650 and $790 per oz. of gold sold.
“We are extremely proud of the investments we have made to transform Tsumeb’s operational and environmental performance into a specialised custom smelter with a highly skilled workforce. We would like to thank the government of Namibia, the community of Tsumeb and our employees for their support over the past 13 years,” said David Rae, the President and Chief Executive.
