Canaccord’s DRC Cobalt Mine Faces Production Cut

Sources close to Canaccord reveal that the company's Mutanda mine in the Democratic Republic of Congo (DRC) is expected to reduce its cobalt production by up to 15% annually. The decision comes as the mine encounters a significant decline in ore grade.

Challenges in Ore Recovery

Canaccord is facing challenges with the sulphide minerals located beneath the surface, where ore grades are deteriorating. This situation necessitates additional investment in recovery and treatment processes to maintain production levels.

Foreseeability Study Underway

The company is currently conducting a foreseeability study to assess the extent of the investment required to address the declining ore grades. The study aims to provide a comprehensive analysis of the necessary measures and their financial implications. The outcome of this assessment, expected to be completed soon, will determine Canaccord's strategy in managing the production challenges at the Mutanda mine.