Lion Copper and Gold Corp. (TSXV: LEO) (OTCQB: LCGMF) ("Lion CG", or the "Company") announces that it has agreed to settle $80,000 of debt with a creditor by issuing 800,000 common shares of the Company at a deemed price of $0.10 per share. The amount of indebtedness represents outstanding amounts owing for services provided to the Company.
The issuance of the common shares in connection with the debt settlement is subject to the approval of the TSX Venture Exchange and will be subject to a four-month hold period.
About Lion CG
Lion Copper and Gold Corp. is a Canadian-based company advancing its flagship MacArthur Copper Project in Mason Valley, Nevada, in addition to advancing its exploration projects including the Chaco Bear and Ashton properties in highly prospective regions in British Columbia, Canada, and the Blue Copper Project in Montana, USA.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Lion Copper and Gold Corp. (TSXV: LEO) (OTCQB: LCGMF) ("Lion CG", the "Company") is pleased to announce a non-brokered private placement of unsecured convertible debentures ("Debentures") for gross proceeds of up to US$1,300,000 (C$1,733,333) (the "Offering").
The Debentures will bear interest at the rate of 14% per annum and will mature on the date that is 20 months from issuance (the "Maturity Date"). The principal amount of the Debentures may be converted into common shares of the Company at US$0.05344 (C$0.07125) per share, at any time, before 10 months from the closing date of the Offering (the "Closing Date"), and US$0.075 (C$0.10) per share at any time, after 10 months from the Closing Date and prior to the Maturity Date. The holder will have the option to elect to be repaid in kind at any time prior to maturity of the Debentures by way of shares of Falcon Butte Minerals Corp., or its successor, (the "Falcon Butte Shares") at the rate of US$0.28 (C$0.37) per Falcon Butte Share, provided that any Debenture held by an insider of the Company requires prior stock exchange approval prior to being repaid in kind. Interest accrued on all or any portion of the Debentures being converted by the holder may also be converted into common shares at the option of the Debenture holder at the time of conversion at a conversion price equal to the market price as at the date of conversion. For greater certainty, the Debentures will be subordinated to the US$2 million of convertible debentures issued by the Company in July of 2022.
In connection with the sale of the Debentures, the Company will also issue up to 24,327,480 common share purchase warrants (the "Warrants") to the purchasers. Each Warrant will entitle the holder to acquire a common share of the Company at a price of US$0.07125 (C$0.095) for a period of 20 months from the Closing Date.
The Company intends to use the proceeds of the Offering for general working capital. In connection with the Offering, the Corporation may pay finder's fees in cash or securities or a combination of both, as permitted by the policies of the TSX Venture Exchange. Closing of the Offering may occur in one or more tranches.
All securities issued pursuant to the Offering will be subject to a statutory hold period of four months from the date of issuance of the Debentures. The Offering is subject to final approval by the TSXV. The securities will also be subject to restrictions on resale under Rule 144 under US Securities laws, which in general requires that the securities be held for six months prior to being eligible for resale.
About Lion CG
Lion Copper and Gold Corp. is a Canadian-based company advancing its flagship copper assets in Mason Valley, Nevada. Further information can be found at www.lioncg.com.
On behalf of the Board of Directors, Stephen Goodman President
For more information please contact Karen Robertson Corporate Communications 778-898-0057
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
The securities referenced in this news release have not been, and will not be, registered under the U.S. Securities Act, or any U.S. state securities laws, and may not be offered or sold in the United States without registration under the U.S. Securities Act and all applicable state securities laws or compliance with the requirements of an applicable exemption therefrom. This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
Lion Copper and Gold Corp. (TSXV: LEO) (OTCQB: LCGMF) ("Lion CG" or the "Company") is pleased to announce it has completed the Stage 1 Program of Work and has reached an agreement with Rio Tinto America Inc. ("Rio Tinto") on the scope of the Stage 2 Program of Work with Nuton, a Rio Tinto venture, referenced in the Parties' March 18, 2022 Option Agreement. See news release dated March 21, 2022 for details. Additionally, the Parties have also agreed to an early advance of the Stage 3 Program of Work for exploration activities.
With this key milestone achieved, Rio Tinto will provide Stage 2 funding of US$5,000,000 and an immediate advance of US$2,500,000 on part of the Stage 3 funding, for a total amount of US$7,500,000 to the Company for Mason Valley project development, exploration efforts and other agreed-upon corporate purposes, including without limitation:
17,000 ft Drill Program to Evaluate High Priority Exploration Targets
Mason Pass Prospect. Following up on Stage 1 trenching results (see news release dated December 13, 2022)
Reno Prospect. Following up on Stage 1 exploration results (previously referred to as the Montana-Yerington prospect in the news release dated November 10, 2022)
Singatse Target. Located approximately one mile north of the Ann Mason deposit
MacArthur Deposit
Bear Deposit
An important aspect of the Stage 2 Program of Work is proactive and frequent engagement with the stakeholders that have an interest in the Company's Yerington mining projects. This outreach is expected to commence in early 2023 and continue through the project development and permitting cycles.
Travis Naugle, Lion CG's Co-Chairman and CEO, states, "We appreciate having attained Stage 2 agreement with Rio Tinto's NutonTM team and look forward to further advancing the Yerington projects. Our emphasis this year will be a proactive approach in stakeholder engagement including our local Native American Tribes and other local communities, and the rational and sustainable use of water resources by using NutonTM technologies. We value Rio Tinto's support of our goal to advance our projects with the use of NutonTM technologies toward the domestic production of copper with low carbon impact."
The Company is further pleased to report that it has completed the Stage 1 Program of Work which included the following outcomes:
Exploration Achievements
Identification of nearly 1,600 ft of continuous copper mineralization beneath the Yerington Pit
Discovery of two new high-grade copper-bearing veins at the Reno Prospect (previously referred to as the Montana-Yerington prospect), including deep sulphide mineralization which may be related to Ann Mason
Identified new ore-grade copper oxide mineralization through surface trenching at the Mason Pass Prospect
Further confirmation of ore-grade surface oxide mineralization at the MacArthur Deposit
Engineering Achievements
Completed Concept Level study for the Yerington Project to include NutonTM technologies
Completed Scoping Level study for the MacArthur Project to include NutonTM technologies
Permitting and Stakeholder Engagement
Pre-Application, Pre-Plan of Operations submitted to Agencies
MacArthur Exploration Plan of Operations Update
Draft stakeholder engagement plan
Risk and opportunity register
Wildlife surveys
Surface water inventory
About Lion CG
Lion Copper and Gold Corp. is a Canadian-based company advancing its flagship copper projects at Yerington, Nevada through an Option to Earn-in Agreement with Rio Tinto.
About Rio Tinto
Rio Tinto is a mining and metals company operating in 35 countries around the world that produces the materials essential to human progress. It aims to help pioneer a more sustainable future, from partnering in the development of technology that can make the aluminum smelting process entirely free of direct GHG emissions, to providing the world with the materials it needs - such as copper and titanium - to build a new low-carbon economy and products like electric vehicles and smartphones.
About Nuton
Nuton is an innovative new venture that aims to help grow Rio Tinto's copper business. At the core of NutonTM is a portfolio of proprietary copper leach related technologies and capability - a product of almost 30 years of research and development. The NutonTM technologies offer the potential to economically unlock known low-grade copper sulphide resources, copper bearing waste and tailings, and achieve higher copper recoveries on oxide and transitional material, allowing for a significantly increased copper production outcome. One of the key differentiators of NutonTM is the potential to deliver leading environmental performance, including more efficient water usage, lower carbon emissions, and the ability to reclaim mine sites by reprocessing mine waste.
On behalf of the Board of Directors, Stephen Goodman President
For more information please contact: Karen Robertson Corporate Communications Email: info@lioncg.com Website: www.lioncg.com
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
The technical information in this news release has been reviewed and approved by C. Travis Naugle, QP MMSA, Co-Chairman & CEO of Lion Copper and Gold Corp. and a qualified person as defined in NI 43-101.
Certain information in this news release constitutes forward-looking statements under applicable securities laws. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "expect", or the negative of these terms and similar expressions. Forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions; adverse industry events; marketing costs; loss of markets; future legislative and regulatory developments; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favorable terms; income tax and regulatory matters; the ability of the Company to implement its business strategies; competition; currency and interest rate fluctuations and other risks.
Lion Copper and Gold Corp. (TSXV: LEO) (OTCQB: LCGMF) ("Lion CG" or the "Company") is pleased to announce the assay results from the Mason Pass prospect surface trenching program, as discussed in the November 10, 2022 press release at its 100%-owned properties at Yerington, Nevada. Lion CG completed this program utilizing funding provided by Rio Tinto as a part of the Stage 1 Work Program.
Highlights:
At-surface, ore-grade, copper oxide mineralization has been encountered in recently excavated trenches at Mason Pass, with mineralization remaining open and untested in most directions.
Trench 4 includes 200 ft of 0.28% TCu and 30 ft of 0.22% TCu, and averages 0.14% TCu over the full length of the trench (568 ft).
Trench 1 includes 20 ft of 0.70% TCu and 90 ft of 0.34% TCu, and averages 0.14% TCu over 390 ft (from 50 to 440 ft).
Trench 2 includes 50 ft of 0.20% TCu, and averages 0.08% TCu over 358 ft (from 50 to 408 ft).
The Mason Pass prospect is an at-surface copper oxide target located approximately 1.5 miles south-southwest of the MacArthur pit (Figure 1). The Mason Pass prospect was first identified by Company geologists through geologic mapping of outcropping copper oxide mineralization occurring within the Singatse fault system, a district-wide flat-dipping fault that bounds the eastern edge of the outcropping mineralization (Figure 2).
Two trenches totaling 848 linear feet were initially completed, and the program subsequently expanded to five trenches totaling 1,873 linear feet due to the appearance of visible oxide copper in the first two trenches. The trenches range from 6 to 15 ft in depth and were mapped and channel sampled at ten-foot intervals.
The four trenches that reached bedrock all encountered copper oxide mineralization (Figure 3). The results from the trenching indicate that the copper oxide mineralization occurs from one-inch to five-foot wide flat-lying veins, striking in a southwest-to-northeast direction, and extends out from the Singatse fault into the western and southern directions for an as-yet-undetermined distance. The Company is now considering further exploration to evaluate the extent of this mineralization to the west, south, and at depth, as well as testing for potential to the east, beneath the cover of volcanics that postdate the mineralization. The character of the mineralization observed in the trench exposures is similar to that exposed in the MacArthur pit where historic benching exposes copper oxide mineralization primarily in the footwall of the low angle MacArthur fault and ranging from 30 to 250 feet in thickness.
Travis Naugle, Lion CG's CEO, states "We are very encouraged at these results from the Mason Pass oxide prospect surface trenching program, just the first of many compelling copper exploration targets assembled by the Lion CG and Rio Tinto exploration teams (See Lion CG Mason Valley Stage 1 Work Program Presentation, May 18, 2022). It is exceptional to uncover this kind of ore-grade copper oxide mineralization at surface, in a location which can take advantage of future project infrastructure."
Quality Assurance and Control
All samples were taken as channel samples by Company personnel. Samples were delivered to ALS Geochemistry in Reno, NV for sample preparation. Multi-element analyses were completed using a four-acid digestion and ICP-AES multielement measurement lab procedure "ME-MS61L" in North Vancouver, BC. Commercially prepared standards and blanks were inserted by the Company at 50-ft intervals to insure precision of results as a quality control measure. The Company has a chain of custody program to ensure sample security during all stages of sample collection, shipping, and storage.
About Lion CG
Lion Copper and Gold Corp. is a Canadian-based company advancing its flagship copper assets in Mason Valley, Nevada.
On behalf of the Board of Directors, Stephen Goodman President
For more information please contact: Karen Robertson Corporate Communications 778-898-0057
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
The securities referenced in this news release have not been, and will not be, registered under the U.S. Securities Act, or any U.S. state securities laws, and may not be offered or sold in the United States without registration under the U.S. Securities Act and all applicable state securities laws or compliance with the requirements of an applicable exemption therefrom. This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
The technical information in this news release has been reviewed and approved by C. Travis Naugle, QP MMSA, CEO of Lion Copper and Gold Corp. and a qualified person as defined in NI 43-101.
Certain information in this news release constitutes forward-looking statements under applicable securities laws. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "expect", or the negative of these terms and similar expressions. Forward-looking statements in this news release include, but are not limited to, statements with respect to the transitionto a U.S. domestic issuer. Forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions; adverse industry events; marketing costs; loss of markets; future legislative and regulatory developments; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favorable terms; income tax and regulatory matters; the ability of Lion CG to implement its business strategies; competition; currency and interest rate fluctuations and other risks.
Lion Copper and Gold Corp. (TSXV: LEO) (OTCQB: LCGMF) ("Lion CG", or the "Company") is pleased to announce that it has completed the first tranche of its previously announced non-brokered private placement of unsecured convertible debentures ("Debentures") for gross proceeds of US$1,075,000.
The Debentures bear interest at the rate of 14% per annum and mature on February 17, 2024. The Debentures may be converted into shares of the Company at US$0.067 per share until June 17, 2023 and thereafter at US$0.078 per share. The holder has the option to elect to be repaid in kind at any time prior to maturity of the Debentures by way of shares the Company owns of 1301666 BC Ltd., or its successor, (the "BC Ltd. Shares") at the rate of US$0.25 per BC Ltd. Share, provided that any Debenture held by an insider of the Company requires prior stock exchange approval prior to being repaid in kind.
The proceeds of the Debenture Financing will be applied to fund the return of the US$1,000,000 deposit to Desert Pearl Farms (see May 26, 2022 news release) and the balance will be used for general working capital.
All securities issued pursuant to the Debenture Financing are subject to a four month hold period expiring on October 18, 2022, in accordance with applicable securities laws and the policies of the TSX Venture Exchange.
One current director of the Company participated in the Debenture Financing for the principal amount of US$250,000. The transaction with the director, who is an insider of the Company, constitutes a "related party transaction" as defined under Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Company is relying on the exemptions under section 5.5(a) and section 5.7(1)(a) from the formal valuation and minority shareholder approval requirements of MI 61-101, as the fair market value of the Debentures issued to the related party and the consideration paid by the related party under the Debenture Financing does not exceed 25% of Company's market capitalization, as determined in accordance with MI 61-101. The Company did not file a material change report in respect of the related party transaction at least 21 days before the closing of the Debenture Financing, as the Company wanted to improve its financial position as expeditiously as possible.
About Lion CG
Lion Copper and Gold Corp. is a Canadian-based company advancing its flagship MacArthur Copper Project in Mason Valley, Nevada, in addition to advancing its exploration projects including the Chaco Bear and Ashton properties in highly prospective regions in British Columbia, Canada, and the Blue Copper Prospect in Montana, USA.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
The securities referenced in this news release have not been, and will not be, registered under the U.S. Securities Act, or any U.S. state securities laws, and may not be offered or sold in the United States without registration under the U.S. Securities Act and all applicable state securities laws or compliance with the requirements of an applicable exemption therefrom. This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
Lion Copper and Gold Corp. (TSXV: LEO) (OTCQB: LCGMF) ("Lion CG" or the "Company") is pleased to announce that it has reached an amicable agreement with Desert Pearl Farms to terminate the contract on the sale of the Company's water rights (as previously announced in a news release dated February 21, 2021). In light of the Company's agreement with Rio Tinto, the return of these water rights to the Company are expected to play a critical role in the reclamation and development of the MacArthur and Yerington projects.
As a consequence of the termination, the Company will recover the water permit designated for mining and milling use and will return the US$1,000,000 deposit to Desert Pearl Farms. This water permit is currently subject to court proceedings and settlement discussions between the Company and the State of Nevada.
Travis Naugle, CEO of Lion CG, states, "We appreciate Desert Pearl Farms' support in allowing us to put these water rights back to their original intended use for mining and milling, as we pursue development of the MacArthur and Yerington projects with Rio Tinto. We recognize our role as a steward of natural resources in the Mason Valley and are working closely with Rio Tinto on leading sustainability approaches on water use and consumption."
Financing
The Company also announces a financing of up to US$2,000,000 in convertible debentures with final terms to be determined in the context of the market.
Debt Settlement
The Company announces that it has agreed to settle US$61,366 of debt with a creditor by issuing 915,910 common shares of the Company at a deemed price of US$0.067 (C$0.085) per share. The amount of indebtedness represents outstanding amounts owing for services provided to the Company.
The issuance of the common shares in connection with the debt settlement is subject to the approval of the TSX Venture Exchange and will be subject to a four-month hold period.
Option Grant
In addition, the Company announces that it has granted incentive stock options pursuant to its stock option plan to various directors, officers, employees and consultants of the Company, to purchase up to an aggregate of 9,000,000 common shares of the Company. The stock options are exercisable at a price of C$0.085 (US$0.067) per share and expire five years from the date of grant.
About Lion CG
Lion Copper and Gold Corp. is a Canadian-based company advancing its flagship MacArthur Copper Project in Mason Valley, Nevada, in addition to advancing its exploration projects including the Chaco Bear and Ashton properties in highly prospective regions in British Columbia, Canada, and the Blue Copper Prospect in Montana, USA.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
The securities referenced in this news release have not been, and will not be, registered under the U.S. Securities Act, or any U.S. state securities laws, and may not be offered or sold in the United States without registration under the U.S. Securities Act and all applicable state securities laws or compliance with the requirements of an applicable exemption therefrom. This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: Certain information in this news release constitutes forward-looking statements under applicable securities laws. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "expect", "potential", "believe", "intend" or the negative of these terms and similar expressions. Forward-looking statements in this news release include, but are not limited to, statements with respect to the water permit and the proposed financing. Forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions; adverse industry events; marketing costs; loss of markets; future legislative and regulatory developments; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favorable terms; income tax and regulatory matters; the ability of Lion CG to implement its business strategies; competition; currency and interest rate fluctuations and other risks.
Experienced exploration & mining geologist Glenn Poole to be appointed as Chief Executive Officer from 8 July 2024.
Prior appointments include Northern Star (ASX:NST), Greenstone Resources (ASX:GSR), Firefly Resources (ASX:FFR; now ASX:SPR)
On commencement, Glenn to assume all responsibilities with respect to planning the maiden exploration program at the York Harbour Copper Zinc Silver Project in Newfoundland, Canada, including:
First property wide EM Survey to be conducted at York Harbour (est. Aug)
Property wide LiDAR Survey (est. Aug)
Field based reconnissance mapping and sampling (est. August to Sept)
Review of recent and historical drill core (underway)
Planning of Initial drill program (est. Aug/Sept), including submission of plan to expand current permitted drilling locations
Firetail to greatly benefit from Glenn’s wealth of expertise going forward.
Glenn brings a wealth of experience as a technical geologist and a proven track record in developing and rejuvenating mineral assets with numerous ASX listed companies. Most recently, Glenn was Technical Director and Chief Geologist at Greenstone Resources (ASX:GSR) prior to the merger with Horizon Minerals (ASX:HRZ). During his time, Glenn delivered significant increases in resources to the Coolgardie Gold and Norseman base metal Projects. Prior to this, he was technical lead for Firefly Resources and developed the maiden resources for the Yalgoo Project prior to the merger with Spartan Resources (ASX:SPR). Glenn has also held senior positions within Northern Star (ASX:NST) and Superior Gold (TSX- V).
Glenn’s combination of advanced technical and corporate experience will expedite the exploration and development of the York Harbour Copper-Zinc-Silver Project in Newfoundland and Labrador. Mr. Poole will also be managing Firetail’s existing portfolio including its Peruvian copper assets and the Australian mineral assets. Glenn holds a BSc in Geology from the University of Otago and a Master of Business Administration (MBA) from La Trobe University.
The key terms of Mr. Poole’s employment are detailed in Annexure 1.
Incoming Chief Executive Officer, Glenn Poole, commented:
“It is an honour and pleasure to have the support of the board in assuming the role of CEO within the Firetail team. The existing asset base, along with the pending York Harbour acquisition is an enviable portfolio of future facing metals, located in some of the best operating jurisdictions.”
“These assets, backed by a highly regarded board and technical support team, provide a robust platform to unlock significant potential for the Company and generate value for shareholders.”
“I look forward to expediting the exploration efforts across the York Harbour Project. York Harbour has both existing substantial drill intercepts requiring follow up, and large scale prospectivity which has never been evaluated. These high impact programs are only the first steps in the process that l will lead to unlock the potential of this Project and wider portfolio.”
Executive Chairman, Brett Grosvenor, commented:
"Glenn will bring valuable technical and management expertise to Firetail that is complementary to the Company’s strong portfolio of assets. With the pending closure of the York Harbour deal, it has enabled Firetail to attract strong talent like Glenn to reinforce our team and lead Firetail into its next phase.
The Board is excited to welcome Glenn and we are very confident in his ability to progress these projects and ultimately, unlock value for our shareholders.”
This article includes content from Firetail Resources, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Copper is the third most-used metal in the world, and experts believe demand for this important commodity is set to rise in the coming years. At the same time, the supply situation is expected to tighten up.
For that reason, market watchers may be asking, “When will copper go up?” The general consensus is that while prices may not break out in the near term, they will rise once the market truly starts to enter a deficit.
In Q2 2024, copper prices swung upwards more quickly than anticipated. The Comex price climbed as high as US$5.20 per pound, or US$11,464 per metric ton, a new all-time high, and the LME three month price set an all-time high of US$11,104 per metric ton the same day. They have since pulled back as of June, but the fundamentals remain.
“Most analysts are modeling growing deficits in the copper market balance by 2027-2028, with a near-term forecast (2024-2026) hinting at surpluses until then; however, recent developments suggest a shift toward deficits by late 2024 due to production shortfalls by large producers," Joe Mazumdar of Exploration Insights said via email.
These concerns have driven copper to highs several times in recent years. A copper supply/demand imbalance sparked a record-breaking rally in 2021, pushing prices to a then all-time high of US$10,724.50 per metric ton (MT) — a record that the metal broke in March 2022, when it hit US$10,730.
Copper had pulled back to about US$8,000 by mid-August 2022 on growing fears of a global recession. In early 2023, prices mounted a campaign to breach the US$9,300 level, once again giving market watchers a reason to believe highs for the metal would soon to be retested. However, that reason soon faded as rising interest rates dampened the outlook for copper-dependent industries globally. China's ongoing real estate crisis also hit copper demand hard in 2023.
With the demand picture unclear, copper couldn't hold above the US$9,000 level. As a result, it went on a slide, reaching US$7,910 as of early October 2023. Copper managed to close the year close to the US$8,500 mark.
This trajectory continued into the first quarter of 2024, keeping copper trading in a range of US$8,000 to US$8,500. Recent production curbs out of top Chinese copper smelters are also helping to support prices.
The closure of First Quantum Minerals' (TSX:FM,OTC Pink:FQVLF) Cobre Panama copper mine last year and Anglo American (LSE:AAL,OTCQX:AAUKF) revised 2024 copper production target were also significant factors behind copper's price momentum.
It began climbing in earnest in Q2 on building anticipation that the Federal Reserve may soon launch its rate cut cycle alongside a worsening supply side picture. On May 20, 2024, the price of copper reached its highest recorded price of US$5.20 per pound, or US$11,464 per MT.
However, the price of the base metal moved back under US$10,000 by the end of the month.
Is the optimism of an impending bull market for the red metal still warranted? Let’s look at the current supply and demand factors that could influence copper prices to the upside.
Green energy in driver’s seat for copper demand
Copper’s many useful properties have translated into demand from diverse industries. Construction and electronics have long been the main drivers for copper demand, and with a conductivity rating that's second only to silver, it’s no wonder copper is also an ideal metal for use in energy storage, electric vehicles (EVs) and EV charging infrastructure.
Energy storage may prove to be one of the most copper-intensive markets in the 21st century. According to a 2022 report on the future of copper by S&P Global Market Intelligence, “The rapid, large-scale deployment of these technologies globally, EV fleets particularly, will generate a huge surge in copper demand.”
The firm is projecting that global refined copper demand will nearly double from 25 million MT in 2021 to about 49 million MT in 2035. Energy transition technologies are expected to account for nearly half of that demand growth. “The world has never produced anywhere close to this much copper in such a short time frame,” the firm notes in its report.
China is the world's largest consumer of the metal, and unsurprisingly its zero-COVID policy wreaked havoc on its economy and demand for copper. When China ended that policy in early 2023, it contributed to the boost seen in copper prices at the time. However, repercussions continue to be seen in the country, particularly in its real estate market.
China's property sector turmoil is in its third year, with housing starts down by more than 60 percent compared to pre-pandemic levels, as per the International Monetary Fund. However, analysts are starting to call for a bottom as China's aggressive efforts to energize the sector slowly right the ship — property investment in China fell by just 9 percent year-on-year in the first two months of 2024, compared with a 24 percent fall in December 2023, reported Reuters.
Property sector aside, copper demand out of China is likely to get a boost from the Chinese government's commitment to investing in its electrical infrastructure and green energy economy.
This push can be seen in ongoing structural reforms intended to secure the nation's place as a global economic powerhouse — these include the Made in China 2025 and China Standards 2035 initiatives. A part of the country's 14th five year plan, these policies target sectors that are heavily reliant on copper, such as 5G networks, robotics, electrical equipment, EVs, industrial internet, intercity transportation and rail systems, ultra-high-voltage power transmission and EV charging stations.
While the next five-year plan is still in the works, there are indications that measures to achieve carbon neutrality and increase renewable energy consumption are still very much a part of China's long-term economic objectives.
On the EV side, S&P Global projects that sales in China will reach 11.5 million units in 2024, up 22 percent from 2023. The country's photovoltaic market is also expected to remain strong in 2024.
The EV market is a growing global source of demand for copper outside China as well. As the Copper Alliance has noted, EVs can use three to four times as much copper as an internal combustion engine passenger car.
Automakers are making large investments in growing their EV production capacity, with some even looking to secure copper supply. Last year, McEwen Copper, a subsidiary of McEwen Mining (TSX:MUX,NYSE:MUX), received a US$155 million investment from Stellantis (NYSE:STLA), the fourth largest carmaker in the world.
Watch the full interview with Rob McEwen and Michael Meding above.
In a recent interview, Rob McEwen and Michael Meding discussed McEwen Copper's plans to release a feasibility study for the company's Argentina-based Los Azules copper project by the first quarter of 2025.
Companies struggling to keep copper supply coming
Of course, demand is just one side of the story for copper prices. For more than a decade, the world’s largest copper mines have struggled with steadily declining copper grades and a lack of new copper discoveries.
The alarm bells have been ringing for a few years now. In a mid-2020 report, S&P Global Market Intelligence metals and mining analyst Kevin Murphy painted a “dismal” picture for copper mine supply. He stated that out of the 224 copper deposits discovered between 1990 and 2019, a mere 16 were discovered in the last decade. These circumstances have led to questions about whether peak copper has arrived.
The COVID-19 pandemic further exacerbated challenges in the global copper supply chain as both mining and refining activities in several top copper-producing countries were slowed or halted altogether. The economic uncertainty also led miners to delay further investments in copper exploration and development — a complicating factor given that it can take more than 15 years to develop a newly discovered deposit into a producing mine.
Speaking at the Prospectors & Developers Association of Canada (PDAC) convention in March 2024, Murphy discussed another factor influencing new copper supply coming to market: inflation. He presented data highlighting how inflation has hamstrung the mining sector. In 2023, exploration budgets for all metals totaled US$12.8 billion, down 3 percent over the previous year.
Murphy also suggested that current economic trends are not only preventing projects from entering the pipeline, but also sandbagging current projects.
“Drilling has been in a downtrend as well, and it’s a bit worse than budgets in 2023, which indicates some inflation has hit the mark," he stated. "It’s a hard industry. The standard is about 3 percent, (and) at the moment we’re thinking that budgets are probably down 5 percent (in 2024)."
Supply instability out of the world’s largest copper-producing countries, Chile and Peru, has also weighed heavily on the market in the past few years. Together, they represent a combined 40 percent of global output.
In Chile, some of the world’s biggest copper miners, including BHP (ASX:BHP,NYSE:BHP,LSE:BHP) and Anglo American (LSE:AAL,OTCQX:AAUKF), are facing royalty rate increases due to a tax reform bill. The country is also dealing with water woes as drought intensifies, causing tension for miners that rely on water to pump copper to the surface, and for the smelting and concentration processes.
To the north, in Peru, copper miners have been nervous about the sociopolitical unrest following the impeachment and jailing of former President Pedro Castillo in December 2022, including protests against the mining industry.
However, mining investment is still alive and well in Peru, especially when it comes to copper, and current President Dina Boluarte supports the industry. According to EY, "Of the new mining investments, US$38.5 billion is expected to be allocated to mining projects in Peru, with copper projects accounting for 72 (percent) of the total."
The supply side of the copper market is also being impacted by production challenges out of some of the world’s major producers. Facing sociopolitical pressure, First Quantum Minerals had to shut down its Cobre Panama mine in late 2023; it accounted for about 350,000 MT of annual global copper production.
Furthermore, Anglo American revised down its 2024 copper production target to a range of 730,000 to 790,000 MT of copper compared to the previous guidance of 1 million MT. This was due in large part to production shortfalls at its Los Bronces copper mine, which is expected to continue into 2025.
Bull market for copper or bust?
So when will copper go up? Together, strong demand and tight supply can create the right market environment for higher prices.
Copper’s strong rally in recent years has encouraged the idea that even higher copper prices are ahead, which could be a golden opportunity for junior copper companies in the long-term. At a Vancouver Resource Investment Conference copper panel, one speaker explained why this segment of the metals market has piqued his interest.
“I’m a copper bull, it’s a long-term performing asset, but 'quality' is what you have to add to the phrase, and I think copper is essential. As we all see the population growth, modernization, electrification, it’s going to be a key metal going forward,” said panelist Ivan Bebek, chairman of Torq Resources (TSXV:TORQ,OTCQX:TRBMF).
"Copper is the new oil," declared Jeff Currie, chief strategy officer of Energy Pathways at Carlyle, during his mid-May Bloomberg TV interview. The analyst is pointing to the explosion of AI technology, the energy transition and military spending as top drivers of copper demand that could push prices for the red metal up to US$15,000 per MT in the near future.
The Bank of America sees potential for copper prices to reach US$12,000 per MT for 2026. As demand is set to increase, the bank's analysts have said the severe lack of new copper projects is "finally starting to bite."
For its part, Citigroup (NYSE:C) is also projecting a copper price of US$12,000 by 2026 in its base-case scenario on higher demand for the red metal from the green energy revolution. The firm's analysts do see a more bullish case for US$15,000 copper over the next two to three years in the event of a strong economic recovery.
This is an updated version of an article first published by the Investing News Network in 2021.
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Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.
Copper has a huge role to play in both electrification and the global energy transition — and at our current level of production, demand will soon outpace supply.
The current global supply dynamic exacerbates this problem. According to S&P Global, copper production is more concentrated than oil. Chile is currently the world's largest copper producer, producing roughly 5 million metric tons (MT) of the metal in 2023. Peru, the second largest producer, produced only 2.6 million MT, while Australia was in third place with 810,000 MT. Chile and Peru account for 38 percent of world copper production.
This current supply landscape is unsustainable. Diversifying global supply chains for copper production is necessary to meet the increasing demand. North American governments recognized this issue. They implemented policies and incentives to boost domestic supply.
Understanding these measures, as well as copper's supply and demand dynamic, is essential for anyone seeking to invest in this important metal.
Unstable, unsustainable supply chains
Copper prices rallied significantly over the past year, increasing from US$3.75 per pound in December 2023 to US$5.15 per pound around the beginning of May 2024.
What's more, copper prices on May 20 reached a record high of US$5.20 per pound, effectively freezing out Chinese spot trading for a day before closing at US$5.11. Analyst firm Morningstar has even referred to copper as the new oil.
A complex mixture of supply and demand issues drive the copper price today. There are several critical factors contributing to the dynamic price changes:
Rising demand from electric vehicles and green energy
Falling demand from housing construction
While these factors can force short-term fluctuations in the copper price, most analysts agree that the long-term trend appears to be upwards.
In a May 23 Financial Times article, veteran hedge fund manager and commodities trader Pierre Arnurand said that what we've witnessed this year is only the beginning. He predicts copper prices could increase by as much as 288 percent over the next few years. This demand, says Arnurand, will be driven both by traditional applications, such as power infrastructure, and emerging ones, such as electric vehicles, wind farms, solar panels and the defense sector.
The digital economy will also play an incredibly important role in driving copper demand, particularly artificial intelligence.
A single server rack in an AI data center, for instance, will draw up to 60 kilowatts of power. In contrast, a traditional data center rack usually tops out at roughly 15 kilowatts. Powering and maintaining these facilities will require a massive volume of copper, increasing demand by up to 1.5 percent in the US alone.
Electric vehicles are even more copper hungry, with the International Energy Forum projecting that full electrification will require that copper production increase by as much as 55 percent.
According to the Energy Information Administration, sources of renewable energy like wind and solar use between 2.5 and seven times more copper per unit of power — copper demand from these two sources alone is projected to reach 600,000 MT by 2040.
Giant bank BMO Capital Markets projects copper demand could reach 40.4 million metric tons per year by 2030, with a compound annual growth of 3 percent.
In addition to falling short of projected demand, the current copper supply is heavily impacted by permitting issues, political risks, environmental impacts and development challenges, effectively slowing the pace at which new mines come online. These issues are also heavily impacting supply chains. Moreover, the increasing instability of supply from South America is already causing a shortage, one which analysts predict could last until at least 2030.
"In early 2024, data from underperforming copper mines from 2023 and the Panamanian government shutdown of the Cobre Panama Mine brought the ongoing copper supply issue front and center," explains Matthew Badiali, CEO of Quetzal Copper (TSXV:Q). "And while we saw a rapid rise in the copper price, it was hardly unprecedented in the commodity space. Historical context shows that copper could run much higher."
Boosting domestic copper production
Copper is part of both the Canadian federal government's C$4 billion Critical Minerals Strategy and the Inflation Reduction Act in the US. These strategies from both governments include multiple tax incentives for sustainability, mining and exploration. In Canada, for instance, provincial mining taxes and royalties related to mineral resource income are fully deductible on federal income tax.
The Canadian government also provides favorable capital cost allowances, allows exploration expenses to be claimed at a 100 percent deduction, and allows development expenses to be deducted at 30 percent. The government also offers a C$1.5 billion critical minerals infrastructure fund and investment tax credits of 30 percent for exploration activities.
In addition to these tax benefits, Canada offers the Mineral Exploration Tax Credit (METC), a 15 percent non-refundable tax credit that can be applied by investors against tax they would otherwise pay for a year and may be carried back three years and carried forward 20. In 2024, Deputy Prime Minister and Minister of Finance Chrystia Freeland announced that the current METC, set to expire on March 31, 2024, will instead be extended through 2025.
In the US, the Inflation Reduction Act provides a US$7,500 per vehicle consumer tax credit when purchasing electric vehicles from select suppliers. By 2026, 80 percent of all EV components will need to be extracted and processed either in the US or with one of the country's free trade partners. If at least half of a battery's components are manufactured or assembled in North America, there is also an additional US$3,750 tax credit.
Most notably, the legislation extends additional loan guarantees of up to US$40 billion to support critical minerals projects.
Together, these incentives are being leveraged by junior mining companies to fuel a new wave of exploration and development in highly prospective regions, such as BC and the Yukon. Already, there are many different copper projects at varying stages of development across North America.
Below, we've listed a few of the more promising investment possibilities.
Princeton
Located immediately north of the Copper Mountain mine, Quetzal Copper’s 11,500 hectare Princeton copper property houses multiple promising anomalies, including three drill-ready targets. Quetzal identified Bud South and Knob Hill as particularly high-priority targets — both have standout geophysical anomalies with supporting trenching and drilling data. Drilling is set to commence in 2024.
Quetzal has the option to earn 80 percent interest in the Princeton project, as well as the option to earn a 100 percent interest in the Big Kidd and DOT properties near Merritt, BC.
Black Butte
Notable for being one of the world's highest-grade undeveloped copper projects, Black Butte is 87 percent owned by Sandfire Resources (ASX:SFR) subsidiary Sandfire Resources America (TSXV:SFR,OTCQB:SRAFF). Sandfire intends to combine best-practice technology and modern mining techniques to develop Black Butte into an underground mine that has a minimal environmental impact and a low surface footprint. In February 2024, Sandfire scored a major win on the project when the Montana Supreme Court reversed a 2022 decision to invalidate its mining permit.
Owned and operated by Canadian Copper (CSE:CCI), Murray Brook West is an underexplored project located adjacent to the Murray Brook deposit. Due to the fact that it is situated between the Caribou and Restigouche mines, the property is highly prospective for copper. Future work at the property will involve comprehensive exploration and drill target development, including prospecting activities geared toward identifying potential mineralization.
Investor takeaway
Copper is arguably one of the most critical minerals to both electrification and the clean energy transition. Unfortunately, current copper supply is not keeping pace with demand. In order to change that, governments are working to incentivize further exploration and development with the goal of developing a stable domestic supply.
In North America, this represents a considerable investment opportunity — anyone interested in adding copper properties to their portfolio would do well to pay attention.
This INNSpired article is sponsored by Quetzal Copper (TSXV:Q). This INNSpired article provides information which was sourced by the Investing News Network (INN) and approved by Quetzal Copperin order to help investors learn more about the company. Quetzal Copperis a client of INN. The company’s campaign fees pay for INN to create and update this INNSpired article.
This INNSpired article was written according to INN editorial standards to educate investors.
INN does not provide investment advice and the information on this profile should not be considered a recommendation to buy or sell any security. INN does not endorse or recommend the business, products, services or securities of any company profiled.
The information contained here is for information purposes only and is not to be construed as an offer or solicitation for the sale or purchase of securities. Readers should conduct their own research for all information publicly available concerning the company. Prior to making any investment decision, it is recommended that readers consult directly with Quetzal Copper and seek advice from a qualified investment advisor.
Amid the looming copper deficit, World Copper (TSXV:WCU) CEO Gordon Neal believes the market needs to look at more nimble operations, like the company’s Zonia copper oxide project in Arizona, US, for a less expensive and faster path to production.
Neal first explained the problem with the large sulfide deposits major copper companies are developing.
"The majors are spending billions of dollars to put these into production. The average is probably anywhere between $2 billion to $6 billion, some even $10 billion. And the timeline to get them into production is anywhere between eight to 12 years for permitting," he said.
“We need copper now. So most of us think that we're going to look down market to smaller, more nimble, cheaper, faster-to-production scenarios — mainly the oxide deposits," he continued. According to Neal, only 15 percent of the world's copper deposits are oxides.
The Zonia copper oxide project is a past producer located on private land, factors that Neal said will make it easier to bring back into production. The project also has a stockpile of 7 million tons of unprocessed ore on the last leach pad grading 0.4 percent copper.
"I've got private land, a 1:1 strip (ratio), power, water and a stockpile of ore that can give me pre-production revenue," Neal said. "It doesn't get any better than this."
Zonia's mineral resource estimate includes 75.7 million short tons grading 0.3 percent total copper (indicated resource) containing 450.5 million pounds of copper, and 122 million short tons grading 0.24 percent total copper (inferred resource) containing 575.4 million pounds of copper.
Watch the full interview with World Copper CEO Gordon Neal above.
Disclaimer: This interview is sponsored by World Copper (TSXV:WCU). This interview provides information which was sourced by the Investing News Network (INN) and approved by World Copper in order to help investors learn more about the company. World Copper is a client of INN. The company’s campaign fees pay for INN to create and update this interview.
INN does not provide investment advice and the information on this profile should not be considered a recommendation to buy or sell any security. INN does not endorse or recommend the business, products, services or securities of any company profiled.
The information contained here is for information purposes only and is not to be construed as an offer or solicitation for the sale or purchase of securities. Readers should conduct their own research for all information publicly available concerning the company. Prior to making any investment decision, it is recommended that readers consult directly with World Copper and seek advice from a qualified investment advisor.
This interview may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, receipt of property titles, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. The issuer relies upon litigation protection for forward-looking statements. Investing in companies comes with uncertainties as market values can fluctuate.
Miramar Resources Limited (ASX:M2R, “Miramar” or “the Company”) is pleased to advise that Induced Polarisation (IP) surveys have upgraded the high-priority “8-Mile” Target within the Company’s 80%-owned Gidji JV Project and adjacent to Northern Star Resources Limited’s 313koz “8 Mile Dam” gold deposit.
IP survey outlines potential extensions to 313koz 8 Mile Dam gold deposit
Significant aircore EOH gold results above IP anomalies offset by faulting
Drill testing at 8-Mile planned after maiden Bangemall Ni-Cu-Co-PGE drilling campaign
A recently completed IP survey at the 8-MileTarget (Figure 1) has extended the chargeability anomaly offset from the northern end of the 8 Mile Dam gold deposit and which underlies multiple significant aircore end of hole (EOH) gold results (Figure 2).
Miramar’s Executive Chairman, Mr Allan Kelly, said the new IP anomaly was shallower than expected.
“It appears the 8 Mile Dam deposit could continue for some distance to the north but has been offset by faulting, including at the tenement boundary,” he said.
“The fact that we have multiple aircore holes ending in elevated gold over the IP anomalies strengthens this theory,” he said.
“It’s also pleasing to see that the northern part of the IP anomaly is shallower than expected,” he added. “We look forward to drill testing this high priority target later in the year,” he said.
Figure 1. Collecting IP data at Miramar’s 8-Mile target.
Figure 2. IP anomalies and aircore EOH gold results in relation to the 8 Mile Dam gold deposit.
Background
According to publicly available data, the 8 Mile Dam gold deposit (7Mt @ 1.4g/t Au for 313,977oz1) comprises shallow supergene and deeper primary gold mineralisation hosted in:
Quartz-carbonate-sulphide veins within hanging wall sediments; and
A hydrothermally altered mafic unit cut by quartz veins with sphalerite, chalcopyrite and visible gold
Figure 3 shows a cross section through the deposit, approximately 60m south of the tenement boundary.
This article includes content from Miramar Resources Limited, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Copper has hit record highs in recent years, and after setbacks at the start of 2024 its fortune has begun to turn.
Prices rebounded to an all-time high on the COMEX of US$5.20 per pound, or US$11,464 per metric ton, on May 20 on tightening supply and increasing demand from the transition to renewable energy.
In the longer term, many market watchers see tight supply and higher consumption from sectors like the electric vehicle industry creating a robust outlook for copper.
Against that backdrop, the top ASX copper stocks have put on impressive year-to-date share price performances. The list below outlines the best performing copper stocks on the ASX, and was generated on June 26, 2024, using TradingView’s stock screener; all copper shares listed had market caps above AU$50 million at that time. Read on to learn more about them.
Exploration-stage Encounter Resources controls a portfolio of wholly owned copper and niobium/rare earth projects in Australia's Northern Territory and Western Australia. The company is also advancing large-scale copper projects via partnership and farm-in agreements with South32 (ASX:S32,OTC Pink:SHTLF) and IGO (ASX:IGO).
The company's partners have released multiple news items this year. In March, IGO announced a significant copper anomaly discovery at the Yeneena project in Western Australia, for which IGO has a farm-in agreement.
The following month brought news out of the Jessica copper project in the Northern Territory, where a South32 subsidiary completed assays on drill core confirming "the presence of copper sulphide bearing veins and alteration signatures associated with iron oxide copper gold (IOCG) style mineralisation."
As for Encounter's wholly owned projects, the company reported significant copper mineralisation discovered during drilling at its Sandover copper project in the Northern Territory in mid-May.
Encounter's share price climbed to a year-to-date high of AU$0.62 on June 24.
Aeris Resources has three primary copper assets in Australia, with two currently in production: the Tritton operations, and the North Queensland operations. The company recently placed its Jaguar zinc-copper operation on care and maintenance. Its portfolio also contains the producing Cracow gold mine in Queensland.
In its first quarter 2024 activities report, Aeris reported copper production of 5,900 tonnes. The company’s 2024 copper production guidance stands at 28,000 to 35,000 tonnes.
Aeris' pipeline includes the Stockman copper-zinc-gold-silver project in Victoria, and its Canbelego copper joint venture project in New South Wales. The company expects to complete a feasibility study at Stockman in the second half of 2024.
At Canbelego, Aeris’ JV partner Helix Resources’ (ASX:HLX) drill program testing an induced polarisation geophysics anomaly recently intersected a large new structural zone with associated copper mineralisation.
Aeris’ share price traded with the rising copper price to hit a year-to-date high of AU$0.34 on May 20.
Near-term copper producer Cyprium Metals is focused on developing multiple copper projects throughout Western Australia. Its most advanced is the Nifty copper mine project located in Western Australia's Pilbara region, which operated until 2019, when it was put on care and maintenance because of low copper prices.
In late May, Cyprium announced the completion of a positive scoping study on the restart of the Nifty copper mine, the results of which prompted a board decision to move the project to the pre-feasibility stage.
"A moderate investment in the brownfield processing plant capacity can nearly double the potential throughput of the plant, enabling the surface mine to produce around 36,000 tonnes of copper metal per year by matching strong mine design, right equipment selection and expanded processing capacity," Cyprium Executive Chair Matt Fifield commented.
Shares in Cyprium reach a year-to-date of high of AU$0.05 on June 7.
Bougainville Copper is working to reopen the past-producing Panguna copper complex, which ceased operations in 1989.
Panguna is considered one of the largest copper deposits in the world, and according to the company, its successful restart is viewed as a critical component of future economic independence for Bougainville, which is an autonomous region in Papua New Guinea. The country's government holds a 36.5 percent share in the company.
In early February, after much deliberation, Bougainville Copper was granted a five year extension to its Panguna mining licence, which the company hoped would open the door for advanced-stage prefeasibility and feasibility exploration activities.
The news sent shares of the company spiking to their best year-to-date close of 2024 — AU$0.80 on February 2 — more than double Bougainville Copper's close of AU$0.35 the previous day.
However, the company announced in late May it was served with notice of a class action lawsuit on behalf of Bougainville residents seeking compensation for claimed environmental and social harm due to the Panguna mine's previous operations.
"The company will fully consider the matters raised in the claim and intends to vigorously defend its position," Bougainville Copper stated in the press release.
AIC Mines owns the high-grade Eloise copper mine in North Queensland, as well as a portfolio of exploration-stage copper-gold projects in Australia. Eloise started production in 1996, and the company is looking to expand the life of the operation by the nearby Jericho deposit.
In late March, the company posted a new ore reserve estimate for Jericho, followed shortly by an announcement that drilling has begun at the recently discovered Swagman prospect, located between Eloise and Jericho. Later in May, AIC announced it will start development work at Jericho via an underground link drive directly from the Eloise decline following mining studies that compared the method with another option.
In its report for the quarter ended March 31, 2024, AIC Mines reported production of 3,066 tonnes of copper and 1,532 ounces of gold in concentrate. The company said it's on track to meet its 2024 production guidance of 12,000 tonnes of copper and 5,000 ounces of gold.
Record copper prices lifted AIC Mines’ share price to a year-to-date high of AU$0.60 on May 20.
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Securities Disclosure: I, Melissa Pistilli, currently hold no direct investment interest in any company mentioned in this article.
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Figure 1. Collecting IP data at Miramar’s 8-Mile target.
Figure 2. IP anomalies and aircore EOH gold results in relation to the 8 Mile Dam gold deposit.