South32 said it obtained final investment approval for the Taylor zinc-lead-silver deposit, the first development at its Hermosa project in Arizona. Taylor is expected to reach first production in the second half of fiscal year 2027 and deliver nameplate production in FY30.
“Final investment approval to develop Taylor is a major milestone aligned with our strategy to reshape our portfolio toward commodities that are critical for a low-carbon future,” said South32 CEO Graham Kerr.
“Once in production, Taylor is expected to add an additional 8% to Group volumes relative to FY23 levels, increasing our supply of critical commodities and sustainably lifting margins due to its first quartile cost position.”
As the first phase of a regional scale opportunity at Hermosa, South32 said Taylor’s infrastructure including dewatering, power, roads and site facilities, will unlock value for future growth options. This includes Hermosa’s battery-grade manganese deposit, Clark.
In addition to the Taylor and Clark deposits, Hermosa, located 80 kilometers southeast of Tucson, has a highly prospective broader land package, which includes the copper-lead-zinc-silver Peake exploration target, as well as the Flux prospect.