Coda Minerals mark a massive milestone for its flagship Elizabeth Creek Project, returning a positive scoping study which estimates the South Australian project could produce an average steady-state annual production of approximately 25,000tpa copper and 1,000tpa cobalt at a lifetime average grade of 1.86% CuEq-1.29% Cu and 515ppm Co.
The study marks the culmination of 15 months of intensive work by the Coda team and highlights the Project’s potential to become a globally competitive copper-cobalt asset that can provide a financially robust, sustainable, long-term mining and processing operation.
Designed to produce mineral products that are in high demand and integral to a decarbonised future, the Project will source mineralization from two open pits and one long-life underground mine, bringing approximately 5.73 billion dollars in pre-tax revenue over its estimated fourteen-year lifespan.
The study provided a comprehensive plan comprising two distinct phases. Phase 1 will involve producing copper-cobalt concentrate aimed at generating early cash flow, followed by Phase 2 a year later, which will involve constructing a hydrometallurgical plant to produce higher-value, saleable end-products such as copper cathode, battery-grade cobalt sulphate, zinc carbonate, and silver dore for its remaining lifespan.
Comprising 701km of Olympic Dam, Australia’s most productive copper belt, the Project lies in the heart of an active mining region, located 100km south of BHP Billion’s Olympic Dam Copper-Gold-Uranium Mine and 50km west of OZ Minerals’ Carrapateena Copper-Gold Project.
The company said that even with the results of the scoping study the project still has room to grow as recent geophysical work at its Emmie Bluff prospect has further defined highly prospective IOCG expansion targets for Elizabeth Creek, with the potential to expand both its size and lifespan.
“This study underpins a robust go-forward case for the Elizabeth Creek Project with excellent project economics. We also have multiple opportunities for expansion and improvement underway. Recent geophysical work has defined several highly prospective expansion targets for the sediment-hosted copper-cobalt mineralisation at Emmie Bluff,”
“As we proceed to PFS we will maintain strong cash discipline while also keeping focus on the many significant exploration opportunities that remain at Elizabeth Creek and beyond. Although the deeper IOCG mineralisation has not been included in this study, the exploration for a tier-1 IOCG continues,” Chief Executive Chris Stevens said.
Coda Minerals is currently in the process of completing its future work plan for the next phase of studies and has sufficient funds to continue with the study work, as well as to finance ongoing exploration.
COD’s Australian Stock Exchange-listed share price is currently selling at 22c (12:24 pm UTC+ 8 hours).