(Yicai Global) July 19 -- Chinese mining contractor JCHX Mining Management is to invest USD390 million to get an abandoned copper mine in the Democratic Republic of Congo back in production.

JCHK bought the Lonshi copper mine in the southeast DRC adjacent to Zambia in April this year. Closed since 2008, it is estimated to have 870,000 tons of copper metal reserves at an average grade of 2.82 percent.

Once up and running, the mine should have an annual output of 37,150 tons of refined copper a year, which will bring in annual net profit of USD77.5 million at current copper prices, Beijing-based JCHK said yesterday. It will take between two and two and a half years to get the mine fully operational again, it added.

JCHX has also bought prospecting rights to seven locations in the surrounding area. Normally engaged in mining engineering services, the company has started to purchase mines in recent years to move more into mine development.

JCHX’s stock price [SHA:603979] closed down 1.98 percent today at CNY19.34 (USD3). Its share price has almost tripled since the end of 2018.

Editor: Kim Taylor, Xiao Yi