South Africa’s Northern Cape copper mining company, Copper 360, expects significant revenue growth by February 2025. The AltX-listed company, the only pure copper play on the Johannesburg Stock Exchange, anticipates revenue to rise to between R1.2 billion and R1.9 billion, up from R38.2 million in the previous 12 months.
At a recent results presentation, CEO Jan Nelson highlighted the increase in volume, grade, and recoveries during the second half of the year. The completion of project builds and secured capital contributed to this forecast.
Copper 360 expects the copper price to range between $10,000 and $12,000 per ton over the next year. The all-in sustaining costs are projected at $4,500 to $5,600 per ton. The company forecasts production between 450,000 and 750,000 tons in the coming year, with grades ranging from 1.1% to 2% copper. Production is expected to be between 6,500 and 10,000 tons this financial year.
“We have now established all the work we need for production and capital spend, guiding us to our revenue level. This marks a significant turnaround,” Nelson said. “We have laid the foundation, secured adequate capital, and our operations are generating positive cash flow.”
Copper concentrate processing capacity is double what was planned, and offtake agreements have been secured under favorable economic terms. The company has achieved a market capitalization of R3 billion.
Three operating plants provide operational flexibility, and two hauling contractors ensure multiple sources of rock reach processing facilities. A second contract mobile crusher has been secured to back up a mobile cone crusher acquired last year for R15 million.
Four new engineers have been appointed to drive scheduled maintenance, and critical spares have been increased to reduce operational downtime. Yearly copper production capability will increase from 12,000 tons by February next year to 20,000 tons in 2026 and 50,000 tons in February 2027.
A maiden resource of 4.78 million tonnes at 1.27% copper, totaling 60,800 tons of copper metal, has been declared at the Rietberg copper mine. An in-house training facility supports the growing employee base, which will rise from 300 to an estimated 800 employees.
Copper 360 plans a 15 MVA solar farm and a 30 MVA wind farm by 2026 and 2027. Additionally, the establishment of Agri 360 is in the pipeline.
Regarding market manipulation, Nelson clarified during the Q&A session that Copper 360 faced issues with stock shorting. The company is instituting legal action and will provide further details in due course. “We have a duty to protect our shareholders and will not tolerate illegal manipulation of our share price,” Nelson stated.
Source: Mining Weekly
