South32's Hermosa Project Advances in US Federal Permitting, Taylor Deposit Nears Production

[South32's Hermosa Zinc-Manganese Project Advances U.S. Federal Permitting Process]

On May 9, Australian mining company South32 announced a key milestone for its Hermosa project in Arizona, as the U.S. Forest Service (USFS) released the draft Environmental Impact Statement (EIS). The Hermosa project includes the Taylor sulphide deposit (zinc-lead-silver) and the Clark oxide deposit (zinc-manganese-silver). The Taylor deposit has already secured a US$2.16 billion investment, marking the largest single mining investment in Arizona’s history. Hermosa is currently the only advanced U.S. mining project capable of producing two federally designated critical minerals: zinc and manganese.

South32 confirmed that construction is 40% complete, with all necessary state-level environmental permits issued by the Arizona Department of Environmental Quality (ADEQ). The Taylor deposit is expected to enter production in fiscal 2027, with projected annual zinc concentrate output of approximately 114,000 tonnes of zinc in concentrate and an estimated mine life of 28 years. The company says Hermosa will become a globally competitive, low-cost, and low-carbon zinc supply base once fully permitted and operational.