Ero Copper Corp. announced that it has completed a Preliminary Economic Assessment for its Furnas Copper‑Gold Project in the Carajás Mineral Province of Pará State, Brazil. The assessment outlines a 24‑year mine life that would produce an average of 108,000 tonnes of copper equivalent per year during the first 15 years of operation.
The PEA projects an after‑tax net present value of $2.0 billion at an 8% discount rate and an internal rate of return of 27%. First‑tier operating costs are in the first quartile of the industry, with life‑of‑mine cash costs of roughly $0.30 per pound of copper. Initial capital expenditures are estimated at about $1.3 billion, positioning the project as a low‑capital, high‑grade development.
Ero is advancing the project in partnership with Vale Base Metals under an earn‑in agreement that will grant Ero a 60% interest once specified milestones are met. The earn‑in structure aligns the interests of both parties and provides a clear path for Ero to secure majority ownership as the project moves toward feasibility and construction.
Future drilling is planned through 2026, with 50,000 m of additional exploration aimed at upgrading resources and extending high‑grade zones. The company is also evaluating magnetite recovery and gravity pre‑concentration options to enhance value and reduce processing costs.
Makko DeFilippo, President and Chief Executive Officer, said, “The results of the PEA on Furnas, the first ever published on the Project, reinforce what an exceptional asset it is. The PEA outlines a large‑scale, long‑life copper‑gold operation with strong underlying economics, supported by low capital intensity, first quartile operating costs and an attractive internal rate of return across a wide spectrum of commodity prices.” The announcement signals a key step in Ero’s strategy to expand its asset base and generate long‑term cash flow from a low‑capital, high‑grade deposit.
The project benefits from proximity to existing regional infrastructure, including roads, a cement plant, a power substation and Vale’s railroad loadout facility, which can reduce development costs and timelines. It also comes at a time when Brazil’s copper sector is expected to attract significant investment between 2026 and 2030, positioning Furnas as a timely addition to the country’s growing copper output.
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