Sandfire Resources reports good progress of construction, mining and copper production at DeGrussa. The first shipment of Direct Shipping Ore (DSO) grading approximately 30% Cu has departed from Geraldton for delivery to customers in China. Open pit Stage 1 mining is progressing on schedule with a total of 6.5 million bank cubic metres (bcm) of material mined to date. A further 1.2 million bcm has been mined from Stage 2.Underground mine development is progressing on schedule with the Evans Decline currently advanced to 1,350 m from the portal and 220 m below surface. A total of 4,000 m of development has been completed to date. From the underground mine, 20,000 t of massive sulphide ore has been mined and placed on the ROM pad ready for processing. Construction of the process plant continues on schedule for completion in the third quarter of 2012. Construction of the Tailing Storage Facility (TSF) is complete. The Power Station became operational in April 2012, supplying power to the underground mine, workshops, batch plant and exploration and village areas.The DeGrussa copper-gold mine is located 900 km north of Perth and approximately 150 km north of the regional mining centre of Meekatharra in the Peak Hill mineral field of Western Australia.