Despite environmental challenges, a Polish-Canadian mining company has set a target of opening a copper-gold operation south of Aberdeen in four years.

KGHM Ajax Mining Inc. applied for a federal environmental review last month. The company has also submitted plans to the provincial Environmental Assessment Office. Those reviews are expected to take two years to complete.

The project will entail relocating a section of Peterson Creek about 10 kilometres southwest of Kamloops and creating a disturbed area of 2,500 hectares, including a tailings pond and rock dump, for the mine beside Jacko Lake.

In return the company says the mine, about half the size of Highland Valley Copper, will provide about 400 jobs for a 23-year mine life. There will also be an estimated 1,000 jobs during construction. Company representatives spoke Thursday to the board of the Thompson-Nicola Regional District.

"We've been doing everything we can to protect Jacko Lake and Peterson Creek," said project manager James Whittaker. "That will be the biggest concern."

The company pledged not to alter the lake and to create noise and view barriers between anglers and mining operations.

Abacus Mining & Exploration Corp. has explored the former Teck Corp. property for the past decade. Last year, Polish mining giant KGHM bought a 51 per cent stake and promised to provide more than $500 million in capital.

Since then, engineers and environmental experts have drawn up plans for locating the expanded open pit, milling area and tailings pond.

Whittaker told the board that relocating a section of Peterson Creek — through a former Afton waste rock area — will be one of the simpler tasks. The relocated channel will be lined to ensure it does not pick up metal content.

Teck moved the creek once before at the historic Afton Mine, Whittaker said.

The proposed mine is the second on the former Afton site, which included several pits. New Gold Inc. is expected to open its underground copper-gold mine on the western part of the Afton property next year.

While the proposed mines are on the same historic property, they are different operations: New Afton is a high-grade, low-tonnage underground mine while Ajax is a low-grade, high tonnage open-pit mine.

Company representatives are now in talks with fish and game club representatives and ranchers as part of public consultation.

Whittaker acknowledged the company has an aggressive business plan, with construction forecast to begin early 2013 with production two years later.

He also said it is being constructed to ride out fluctuations in copper prices.

"Our current projected operating cost is $1.07 to $1.10 a pound. That allows us to run in good times and bad times."

Current copper prices are more than $4 a pound.

cfortems@kamloopsnews.ca