Coda Minerals (ASX:COD) has completed a Scoping Study, which boosts the underlying value of the Elizabeth Creek Copper-Cobalt Project in South Australia.
The study highlights the project has a total pre-tax revenue of $7.57 billion over the 15.5-year mine life, as well as an estimated pre-tax net present value of $1.18 billion and internal rate of return of 35%.
Coda, which has a market capitalisation of $15.92 million, says the project’s up-front capex has increased by 8% to $331 million.
Elizabeth Creek is expected to produce 384,000 tonnes of copper, 18,900 tonnes of cobalt, and 16.10 million ounces of silver — which will be sourced from three open pits and one long-life underground mine.
CEO Chris Stevens says the revised Scoping Study reinforces and materially strengthens the technical, geographic, and economic characteristics of Elizabeth Creek.
“This next iteration of the Elizabeth Creek Scoping Study has resulted in a significant increase in the underlying value of the project,” Stevens says.
Coda says given the robust technical and financial outcomes, the company believes the project warrants a Prefeasibility Study.
The company is actively investigating options to conduct this program of work, including through negotiations with potential funding partners.
To advance the PFS, Coda intends to conduct additional exploration to grow the underlying resource base in Q1 2025, as well as consider synergistic business development opportunities.
Stevens adds that for now metallurgical testwork has concluded and the next big lever to pull out is increasing Elizabeth Creek’s tonnage.
“Drill rigs will be turning in early 2025, with targets including both extensions to the high-grade underground mineralisation at Emmie Bluff and potential new open-pit deposits at Oakden,” he says.
Drilling will begin mid-Q1 2025 and will initially focus on the Emmie East target, which has potential to materially expand Elizabeth Creek.
The Elizabeth Creek Project covers 774km2 in the Olympic Dam Copper Province of South Australia.
Coda Minerals is a mineral explorer that has over 1 million tonnes of contained copper equivalent resources.
Write to Aaliyah Rogan at Mining.com.au
Images: Coda Minerals
