Alma Metals (ASX:ALM) has updated the resource estimate for the Briggs Copper Project in Queensland, which totals 439 million tonnes @ 0.25% copper, 36 parts per million (ppm) molybdenum and 0.7 grams per tonne silver.
In the indicated category, the resource contains 110 million tonnes @ 0.27% copper, 39ppm molybdenum and 0.7g/t silver. Meanwhile, in the inferred category, the resource contains 329 million tonnes @ 0.24% copper, 34ppm molybdenum and 0.6g/t silver.
Alma says the updated resource will be used as a key input into a Scoping Study for Briggs. The study will evaluate the technical and financial viability of mining at the project.
The project’s resource extends from surface and the substantial tonnage of the indicated resource offers the potential for a higher grade starter pit location.
Alma adds there is potential to grow the resource, with drilling planned later this year to convert more of the existing inferred resource to indicated, as well as to test high-priority copper in-soil targets beyond the resource footprint.
Managing Director Frazer Tabeart says the updated resource highlights the scale and robustness of the deposit.
“Not only have we defined a substantial volume of indicated resource, but this material sits at surface, is higher grade than the deeper mineralisation and is likely to be prioritised in the early stages of any future mining operation,” Tabeart says.
“Importantly, the block model indicates that coherent zones within the indicated resource are higher grade again, which could significantly enhance project economics during the initial stages of potential mining.
“This model will now form the foundation for developing a potential mining schedule, as part of the Scoping Study, the first true economic evaluation of this highly significant project.”
Tabeart adds that in the context of rising copper prices, ongoing geopolitical uncertainty and more specifically the impending potential closure of the Mt Isa copper smelter, the scale, quality and secure location of Briggs couldn’t be more timely.
According to Trading Economics, copper futures in the US jumped 8.5% to US$4.4 ($7.15) per pound on Wednesday, rebounding after briefly dipping to a three-month low of US$4.05.
However, even with this sharp increase, copper futures remain nearly 20% below its late-March peak of US$5.3 per pound. The price drop follows after the US planned to introduce new tariffs specifically targeting copper.
Trading Economics says the tariff threat widened the price gap between US copper futures and comparable contracts in the London Metal Exchange, due to the stress that trade barriers would place on limited US copper smelting capacity.
Alma’s joint venture partner Canterbury Resources’ (ASX:CBY) Managing Director Grant Craighead adds that there is potential for a commensurate positive impact on the economic viability of the Briggs Project.
At Briggs, exploration and evaluation is being funded by Alma under an earn-in joint venture agreement with Canterbury Resources. Alma owns a 51% stake in the company and can increase its ownership to 70% by 30 June 2031.
Write to Aaliyah Rogan at Mining.com.au
Images: Alma Metals
