True North Copper Limited (ASX:TNC) (True North, TNC or the Company) is pleased to announce the TNC Board has endorsed the Cloncurry Copper Project mining restart plan.
Recent positive exploration and development outcomes across the Great Australia Mine Reserve (GAM) and the Wallace North Resource (Wallace North) resulted in the decision to combine both projects as part of the mine plan going forward. This single proposed mining operation will be called the Cloncurry Copper Project (CCP) (see Figure 1).
The finalised CCP mine plans will be announced on completion of the updated Great Australia Mine Reserve and the maiden Wallace North Reserve (expected early 2024).
HIGHLIGHTS
TNC’s decision to combine both Great Australia Mine and Wallace North into the CCP was supported by the TNC Board based on internal management presentations on project economics. Further detail of the project economics will be announced with the finalised CCP mine plans on completion of the updated Great Australia Mine Reserve and the maiden Wallace North Reserve (expected early 2024).The 100% TNC owned Wallace North is fully permitted, enabling the project to be incorporated into TNC’s mine plans earlier than initially anticipated by the company.Exceptional Advanced Grade Control (AGC) drilling results at Wallace North included multiple gold and copper high-grade zones (refer to TNC ASX Announcement, 7 November 2023, Wallace North AGC drilling hits 14.05% Cu, 25.70g/t Au), and will be incorporated into the maiden Reserve. TNC is currently in the process of updating its Wallace North resource model (refer to TNC ASX Announcement, 7 October 2023, TNC increases Copper Gold Mineral Resource by 14% at Wallace North, Cloncurry) to include results from the AGC drilling.As a result of recently completed drilling programs, the Great Australia Mine Reserve is in the process of being updated (Great Australia Mine Reserve includes Taipan, Orphan Shear and Great Australia resources). The Initial Reserve Statement (refer to TNC ASX announcement, 4 July 2023, Initial Ore Reserve for Great Australia Mine – Updated) does not incorporate results from any of TNC’s recent resource and grade control drilling, which the company has undertaken over the last six months.
COMMENT
True North Copper Managing Director, Marty Costello said:
Over the past six months, thanks to the tremendous efforts of our operational and technical teams, we have reached a point where the TNC Board can confidently commit to restart mining at our Cloncurry Copper Project.
As shown in the initial GAM Reserve announcement, the fully permitted project presents an opportunity for a low capital expenditure and cash-generative opportunity. TNC will release an update on project economics for the expanded CCP on completion of the updated Great Australia Mine Reserve and the maiden Wallace North Reserve in early 2024.
We also plan to reinvest expected free cash flows into the further exploration and development of what we believe to be one of Australia’s most promising Critical Mineral Copper Projects – the Mt Oxide Project.
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