True North Copper’s pivot to exploration focus delivered robust outcomes inside months of relisting on the ASX. Pic: Getty Pictures
- True North Copper went into voluntary administration final yr, spurring a change in focus throughout its Queensland copper pursuits
- The corporate determined to extensively discover its Mt Oxide and Cloncurry copper tasks, with two campaigns hitting vital copper-cobalt-gold and copper-cobalt-silver mineralisation
- The copper participant is backed by Glencore, which presently holds a ~10% stake
True North Copper (ASX:TNC) has reworked from small-scale producer into one in every of Queensland’s most promising explorers. The corporate now targets progress throughout all its belongings amid fervent copper demand.
The corporate’s change in route started when it restructured throughout voluntary administration final yr and shifted focus from small-scale manufacturing on the Cloncurry copper venture, to incorporate large-scale exploration throughout its in depth lease packages inside the historic Cloncurry district in addition to its greenfields Mt Oxide venture north of Mt Isa.
Inside a number of months, two separate drilling campaigns struck copper-cobalt-gold and copper-cobalt-silver mineralisation, marking a dramatic turnaround and swiftly validating the corporate’s strategic pivot.
Century-old Nice Australia mine nonetheless delivering
The primary discovery was made on the Nice Australia Mine (GAM), a part of the broader Cloncurry landholding, when a 17-hole 3450m reverse circulation drilling program uncovered new zones of copper-gold-cobalt mineralisation exterior of present assets.
A 14m intersection was made on the Copperhead discovery, grading 0.81% copper, 0.12g/t gold and 749ppm cobalt from 68m, whereas one other standout 12m intersection was returned at Coppermine Creek, hitting 0.65% copper, 0.16g/t gold and 137ppm cobalt from 142m.
At Paddock Lode South, drilling confirmed extensions about 100m from the pit with shallow intercepts returning as much as 6m at 0.63% copper and 0.15g/t gold.
Curiously, though GAM has a well-explored, 100-year plus historical past, the newest findings nonetheless caught the corporate without warning – probably leading to a rise to mine life, delivering extra copper and opening the door to a extra environment friendly mine plan.
Aquila – a game-changer for Mt Oxide
The thrill didn’t finish there, although.
Over on the Mt Oxide asset, TNC unearthed a brand new, large-scale copper-cobalt-silver system on the Aquila prospect – one in every of six, beforehand undrilled prospects presently being examined.
An 8000m RC marketing campaign kicked off in mid-Could with the primary three holes of 5 uncovering vital mineralisation and confirming the substantial copper-cobalt-silver potential.
TNC managing director Bevan Jones famous on the time the corporate was seeing a 150m-wide, steady mineral system with high-grade cores and powerful geochemical signatures ranging from shallow depths.
“What makes this much more thrilling is that Aquila sits over 4km northeast of our present Vero useful resource with an enormous fairway in between,” he stated.
“This strongly suggests we’ve discovered a a lot bigger, beforehand undiscovered deposit inside the broader Mt Oxide system.
“We firmly imagine Aquila has the real potential to evolve into a serious new useful resource, utterly remodeling the Mt Oxide venture.”
Copper exploration push paying dividends
Talking with Stockhead, Jones stated the change in technique and deal with the exploration entrance has been very profitable.
“It’s proving that in the event you put some effort into the exploration facet of issues, it pays off whenever you’re exploring the fitting space and utilizing the fitting methods,” he stated.
Though the tasks have their distinctive traits and differ in nature and strategic route, True North is set to push forward on each paths on the identical time.
Mt Oxide is a extremely potential, greenfields website with a medium to long-term manufacturing horizon, that includes a 15.03Mt useful resource on the Vero deposit, grading 1.46% copper, 10.59g/t silver and 9.15Mt at 0.23% cobalt.
The venture hasn’t been systematically explored for the previous 20 years regardless of its location within the Mt Isa Inlier, simply 20km to the south of 29Metals’ (ASX:29M) processing facility at Capricorn Copper.
In contrast, the Cloncurry copper asset relies on a hub and spoke mannequin with a number of operations inside 30km of the corporate’s crushing, leaching and processing services, proper subsequent to the historic mining city of Cloncurry.
It’s a ready-to-go mining answer when the time comes in order that True North can, with out quite a lot of lead time, begin operations once more.
Jones defined that the unique plan was to mine the three important pits and close by satellite tv for pc pits inside the Cloncurry asset at an annual fee of 1Mt to provide about 6000t of copper per yr for a 4.6-year interval.
However since recapitalisation, True North’s considering has modified, aiming for a bigger operation, an extended mine life and better processing volumes.
“One of many important issues that we’re going to be trying into till the top of this yr is a mining analysis research, to see what must be accomplished to extend the size of the operation making certain its success,” he stated.
Glencore backs True North Copper
Within the background, Queensland’s assets scene can also be evolving, with Glencore getting ready to mothball its Mount Isa copper operations, pulling an enormous chunk of copper from the market and leaving its smelter brief.
The multinational has been divesting its copper tasks in North West Queensland for years, with the latest sale being that of Ernest Henry to Evolution in 2022.
“They’re principally saying the longer term for them isn’t essentially as a copper miner within the area, they’re centered extra on steel buying and selling – that’s their major perform,” Jones stated.
“What they’re doing now could be placing their hand on the steel in different methods.
“They’ve been actively concerned in investing in smaller gamers across the area, utilizing exterior organisations to provide the focus,” he stated.
“That means they will proceed to function the smelter, which is what they imagine is their core enterprise.”
True North Copper is one of some firms in a tolling and offtake settlement with the ~$34bn commodity buying and selling and mining firm.
When TNC underwent its recapitalisation course of in late 2024, Glencore took a few 10% stake within the firm and signed an offtake settlement to purchase 100% of copper from True North’s Cloncurry mine.
“All copper focus that we make from our Cloncurry operations is underneath contract to promote to Glencore,” Jones stated.
“And so they have accomplished that with a number of different copper producers as effectively – Carnaby Assets have a really related offtake settlement and most not too long ago they’ve entered into agreements with Austral Assets to safe offtake.”
The deal is a serious vote of confidence in True North Copper and its tasks, making it a notably extra enticing alternative within the resurgent junior copper house.