Cyprium Metals

Overview

Copper has been called "the new oil" by market analysts due to its importance in current and future technologies, especially emerging green technologies. Its importance has some analysts anticipating that there could be a copper supply deficit of 4.7 million metric tons by 2030. Plus, with policymakers around the world working to create emissions reduction strategies that call for the development of alternative energy sources, it's clear why copper is becoming so important in the global economy.

Copper is a key component in the manufacturing of windmills, solar panels, electric vehicles and next-generation batteries. Of course, copper is already in high demand for a plethora of popular devices, ranging from smartphones to copper tubing as well. Failing to address the impending deficit could lead to significant price increases.

Cyprium Metals (ASX:CYM) is an Australian-based mid-tier mining company focused on developing multiple copper projects throughout Western Australia. The company has projects throughout Western Australia at various stages of development. Cyprium Metals unlocks the value of copper projects through its highly credentialed management team headed by engineers with years of experience in the mining industry.

The Company's Nifty copper mine project is located on the western edge of the Great Sandy Desert in the north-eastern Pilbara region of Western Australia. Nifty used to be open pit oxide copper mine which transitioned to an underground sulphide mine in 2006. From then on until 2019, Nifty has produced more than 700,000 tonnes of copper metal.

In 2022, Cyprium reported a significant increase in the project’s mineral resource estimate after the Nifty West Extensional Infill drilling program results showed potential to define additional shallow mineralisation for the planned heap leach restart. The revised total copper resource was up 28.4% to 940,200 tonnes of copper with the Oxide copper resource growing to 144,300 tonnes of copper. This did not include ethe results from the East Extensional drilling programme.

Cyprium has released its Restart Study and has commenced the finance process for the Restart. As a result of the process CYM entered into an Offtake financing arrangement of AUD$50 million for 120,000 tonnes of the Copper Cathode produced during Phase 1 of the Nifty Copper Project restart. The due diligence and documentation stage of the finance process for both Senior Debt and the Offtake prepayment facility are continuing.

Copper ore mined from the Nifty project will be processed into LME Grade A copper metal plates on-site, allowing Cyprium to increase its profits as manufacturing copper plates instead of selling copper concentrate is more profitable. Producing copper plates on-site is an essential aspect of the company's plan to quickly generate cash flow.

Cyprium Metals aims to develop other projects located throughout Western Australia with an impressive portfolio containing +1.6Mt of copper throughout all its projects. It is currently advancing the Murchison Copper Project (includes two copper deposits), Maroochydore Copper Project, and the Paterson Exploration Project (a 70% earn-in arrangement with IGO Limited).

Highlights

• Cyprium Metals is a near term copper producer - heap leach operation targeting second half 2023 production
• The company has a highly credentialed management team with the experience to grow each of their projects
• The company is focused on its Nifty open pit heap leach copper strategy to produce LME grade A copper cathode metal plate
• The company has a portfolio of development opportunities with over +1.6Mt of contained copper in mineral resources
• Secured AU$50 million offtake prepayment facility for its Nifty Copper Project