Meridian Mining has completed a Definitive Feasibility Study (DFS) for its Cabaçal gold-copper-silver project in Mato Grosso, Brazil, outlining total life-of-mine copper production of approximately 180,634 mt as the company advances the project toward a final investment decision.
The September 22 DFS outlines a 13.9-year mine life based on a conventional open-pit operation. Processing throughput is planned to initially reach 2.5 million mt/year before expanding to 4.5 million mt/year from Year 4. Average copper recovery over the life of the mine is estimated at 92.8%.
Initial capital expenditure is estimated at US$322 million, including a 10% contingency, tax credits and pre-investment associated with the planned processing expansion. A further US$56 million of expansion capital is included in the project economics. The DFS estimates an after-tax NPV5 of US$2.09 billion and an IRR of approximately 108% under its base-case assumptions.
The study supersedes Cabaçal's March 2025 Preliminary Feasibility Study and incorporates an updated and larger Mineral Reserve estimate, an optimized mine plan and improved metallurgical performance.
Meridian said it has already started pre-construction investment on multiple fronts, with US$15.9 million in capital contracts committed. Documentation for the project's Installation Licence was submitted to Mato Grosso's environmental regulator in May 2026 and remains under review. The company is also progressing project financing as it works toward a final investment decision.
Completion of the DFS advances Cabaçal toward the development stage and provides a clearer outlook for potential future copper supply from the project. The planned expansion of processing capacity to 4.5 million mt/year from Year 4, combined with estimated life-of-mine copper production of approximately 181,000 mt, establishes Cabaçal as a prospective new source of copper concentrate in Brazil. However, construction remains dependent on project financing, the required Installation Licence and a final investment decision.
