Overview

Sandfire Resources is an Australian mining company that owns and operates the Motheo Copper Mine in western Botswana through its subsidiary, Tshukudu Metals (Botswana). The mine lies within the Kalahari Copper Belt, around 70–80 km northeast of Ghanzi. It is an open-pit operation that produces copper concentrate with silver as a by-product.

Project Development Timeline
Year Milestone Description
2020 Final Investment Decision Approval of the Definitive Feasibility Study (DFS) for the initial 3.2 Mtpa operation.
2021 Construction Begins Start of mine and processing plant development.
2021 Mining Licence Granted Government approval allowing full-scale operations.
2023 First Copper Produced The mine delivered its first copper concentrate in May.
2023 Official Opening Formal inauguration held later in the year.
2025 Expansion & Ramp-Up Production increased to about 5.6 Mtpa, exceeding initial targets.
Geology and Operations

The Motheo Project consists mainly of the T3 and A4 deposits, with potential for additional satellite deposits nearby. The ore is extracted using conventional truck-and-shovel methods and processed through a concentrator plant.

Ore Reserves: Around 49.6 million tonnes at 0.96% copper and 13.6 g/t silver.

Processing Capacity: Initially 3.2 Mtpa, expanded to over 5 Mtpa.

Processing Steps: Crushing, grinding, flotation, thickening, and filtration to produce high-grade copper concentrate.

Export Route: Concentrate is transported by road to Walvis Bay, Namibia, for export to international smelters.

Economic and Social Impact

Employment: Over 2,000 people are employed, with more than 90% being Batswana nationals.

Economic Contribution: The project is expected to generate several billion US dollars in value over its lifetime and make a substantial contribution to Botswana’s GDP and tax revenues.

Local Development: Sandfire prioritizes local hiring, training, and community investment. Initiatives include infrastructure development, education support, and renewable energy partnerships in the Ghanzi region.

Sustainability: The company integrates environmental management and social responsibility into its operations, aligning with Botswana’s mining and development goals.

Future Outlook

Sandfire plans to extend the life of the Motheo operation by developing nearby deposits such as A1 and expanding exploration across the Kalahari Copper Belt. The company’s long-term strategy focuses on:

Increasing copper output and efficiency.

Enhancing renewable power use to reduce emissions.

Deepening its partnership with Botswana’s government and communities.

Key Challenges

Commodity Price Volatility: Fluctuations in copper and silver prices can affect profitability.

Infrastructure Dependence: Remote location increases logistics costs and reliance on road transport.

Environmental Permitting: Expansion projects must pass strict environmental and social assessments.

Operational Scale-Up: Maintaining performance during expansion requires ongoing investment and technical reliability.