AIM-listed copper producer Metminco said that it has decided to proceed with a Feasibility Study (FS) and Environmental Impact Study (EIS) at its Mollacas Project in Chile, the required mining permits needed to develop the project.The decision came after assessing the results of the recently completed metallurgical testwork and financial modelling for Mollacas. Metminco said the numbers demonstrate the "robust nature of the economics" for the project.The work showed the Mollacas has a production profile of 14.5m tonnes at 0.52% CuT (0.42% CuSol) at a production rate of 8,000 tonnes per annum.The mine will require pre-production capital expenditure of $47.1m and has a net present value after tax of $74.9m."The positive outcome of the metallurgical testwork and revised financial modelling are significant developments for the company," said Managing Director William Howe. "The company is now committed to progressing Mollacas towards production and generating a future cash flow stream."The FS and EIS are expected to be completed by late 2014.The stock was trading nearly 11% higher at 1.74p by 08:18 on Wednesday.BC