Philex Mining Corp., the country’s largest gold producer, reported an increase in mineral resources and stable proved reserves at its Padcal mine, as stronger copper and gold prices improved the project’s economic outlook.
The company said total measured and indicated mineral resources within current mining levels reached 58.6 million tonnes, with average grades of 0.20 percent copper and 0.28 grams per tonne of gold. Overall, Padcal’s total mineral resource estimate rose to 198.6 million tonnes, with grades of 0.18 percent copper and 0.29 grams per tonne of gold.
Philex noted that most of the identified resources lie below the 700-meter level, an area still undergoing technical and economic studies to determine the feasibility of extraction. This suggests potential upside, though actual recovery will depend on cost efficiency and further validation.
The company said total tonnage increased by five percent from a year earlier, largely due to a lower cut-off grade driven by higher metal prices. Elevated copper and gold prices have effectively expanded the volume of ore considered economically viable, highlighting the sensitivity of mining operations to commodity cycles.
As of end-2025, proved reserves stood at 24.5 million tonnes, with an average grade of 0.17 percent copper and 0.17 grams per tonne of gold. These reserves translate to an estimated 73 million pounds of recoverable copper and 98,000 ounces of gold.
Philex said existing tailings capacity remains sufficient to support operations until reserve depletion, following regulatory approval to expand its tailings storage facility.
The latest update underscores how favorable commodity prices are extending mine life and improving project economics. However, sustaining this momentum will depend on continued price strength and the successful development of deeper ore zones, which remain key to Philex’s long-term production outlook.
