Philex Mining Corporation is one of the oldest and largest gold and copper producers in the Southeast Asia. Padcal Mine has been in operation for more than six decades and still has a remaining ore resource that can be mined depending on global metal price forecasts. Based on a completed study after recalibrating the mining plan, the life of the Padcal Mine is extended for another year from December 2027 to December 2028. Additional tonnage will be coming from the mining of pillars at 760-ML Production Level as it will contribute good grades. There are tonnages also from previously developed draw points beyond one hundred percent extraction that provided good grades that we continue to mine. These are on top of the mineable reserves that we declared in the 2027 projected end of mine life. Price sensitivity analyses were applied on the remaining reserves which further confirmed the economic viability of extending the mine life.
The operating data and parameters used in determining the updated remaining mineable reserves were as of October 31, 2024 resulting to a remaining mineable reserves estimate of 30.25 Million tonnes with an average gold and copper grades of 0.20 grams per tonne (g/t) and 0.18%, respectively. The total recoverable Gold is estimated to be 137,600 ounces while the total recoverable Copper is estimated to be 93.20 million pounds. The new estimate includes remaining reserves from the previously declared mineable reserves as of December 31, 2023 aggregating to 33.90 Million tonnes with an average gold and copper grades of 0.21 g/t and 0.17%, respectively.
The latest mineable reserves estimate was prepared by Engr. Julius A. Bayogan and Engr. Ricardo S. Dolipas II, both Competent Persons under the definition of the Philippine Mineral Reporting Code (PMRC). Engr. Bayogan’s accreditation number is EM-ACP-152-0002566 while Engr. Dolipas’ accreditation number is EMACP-021-0002513.
The newly declared remaining mineable reserves estimate was based on the previously disclosed mineral resource estimate as of December 31, 2023 that remained the same at 190.8 Million tonnes with an average grade of 0.3 g/t and 0.18% for Gold and Copper, respectively. The mineral resource estimate was prepared by Mr. Noel C. Oliveros, an accredited Competent Person for Exploration and Mineral Resource Estimation under the definition of the PMRC. He is a Professional Geologist with PRC License No. 1285 and accreditation number Geology ACP-07-08-07.
The new extension of the life of Padcal Mine from December 31, 2027 to December 31, 2028 will provide the continuous employment of 1,879 Padcal employees as well as sustain the necessary assistance given to the social development of the host and neighboring communities. The extension of the Padcal Mine life to December 31, 2028 will also allow a smooth transition to the start of the commercial operation of the Silangan project estimated to commence in early 2026 in response to the global demand for green metals and the government’s call for mineral resources development to be a driver for national growth and economic recovery.
