Excelsior kicks off operations at Gunnison, stock hits 3-month high

Gunnison mine, Arizona. Image from Excelsior.

Excelsior Mining Corp. (TSX: MIN) confirmed Thursday it has started mining operations at the Gunnison copper project in southern Arizona.

Following a commissioning program that has been ongoing for several weeks, Excelsior received regulatory approval in late December to begin mining operations at Gunnison. Delivery of mining fluids to the copper orebody has already begun.

Excelsior said the fluids will circulate through a closed-loop system until the concentration of copper held in solution meets sufficient grade to be treated through the Johnson Camp processing facilities to then extract copper and produce copper cathode sheets. First copper cathode sales are expected in the first quarter of 2020.

Excelsior plans to ramp up existing operations at Gunnison this year and lay the groundwork for future expansions. At full capacity, the mine's production could reach 125 million pounds of copper cathode per year.

Excelsior's share price was up 4% at midday Thursday, hitting a three-month high of C$1.05 per share. The company has a market capitalization of C$245.8 million.