Capital raise proceeds will place CODA in a good position to execute on the next phase of their strategy, which is pursue value uplift by leveraging assets at Elizabeth Creek with ongoing work on economic and technical studies as well as exploration to better define both copper-cobalt-silver, and copper-gold mineralisation.
Other factual information provided by the company has been summarised below:
- Coda has a strong track record of technical delivery and exploration success. Since listing Coda’s team has quadrupled the known Resources at Elizabeth Creek taking the Resource from 250kt contained to over 1 million tonnes of contained copper equivalent. The Company has delivered mining and processing pathways and has increased project economics by over 45% and is targeting more to come with a major study update planned in Q4.
- Primed for production as the Elizabeth Creek Project’s scoping study (copper & cobalt) is currently undergoing optimisation (due Q4 2024) to incorporate recent progress made with metallurgical breakthroughs and the addition of new open pit resources to build upon the previously delivered robust financials of:
o NPV of A$826m (pre-tax) and net revenue of A$6,622m o Initial mine life of 12.75 years producing 25.7ktpa copper cathode and 1.3ktpa cobalt sulphate o Cash flow A$1,755m (pre-tax) and IRR 31% (pre-tax) o Pre-production CAPEX of A$306m o AISC of US1.73 /lb Cu copper price
- Copper Undersupply - Recent research indicates that the global copper market is poised to experience a significant supply deficit in the long term. According to a 2023 report by the International Copper Study Group (ICSG), global copper demand is expected to outpace supply due to several factors, including declining ore grades, reduced investment in new mining projects, and increasing demand driven by the transition to renewable energy technologies and electric vehicles. The ICSG’s projections suggest that by 2030, the copper market could face a shortfall of up to 5 million tons annually if current trends continue.
- Broader Copper & Gold (IOCG) at Elizabeth Creek is strategically located and completely surrounded by BHP Group Limited (ASX:BHP, $200 bn MCAP) on prime tenure between BHP’s Oak Dam West Project & Carrapateena Mine. A significant IOCG system has been identified, adjacent to and below the Emmie Bluff resource, open in both directions along strike, with major geophysical survey and review commenced in 2023, IOCG target areas identified, 2.5km long, 75% of which is undrilled.
- Chief Executive Officer & Executive Director – Chris Stevens, is an experienced resources executive and mineral economist who joined Coda after holding the role of CEO at Gindalbie Metals. Prior to joining Gindalbie in 2016, Mr Stevens was the Western Australian Mining Consulting Lead at PricewaterhouseCoopers (PwC), where he managed professional teams to devise strategy, evaluate investment options and assist in delivery of major transactions for various ASX listed mining and energy companies. Prior to joining PwC, Mr Stevens held senior roles in the mining industry including General Manager- Commercial at Asia Iron and Commercial Manager at Gindalbie Metals. In addition to his executive resources experience, Mr Stevens has over 18 years’ experience working with Chinese companies in commercial consulting and private equity and is a fluent Chinese speaker.
- Coda boasts a highly experienced Board and Management Team, with extensive hands-on operational experience in financing, minerals exploration, mining and commercial development in Australia and around the world.
CODA MINERALS LTD (COD) is an ASX-listed, copper/cobalt exploration and development company with the 100% owned Elizabeth Creek Project located in South Australia. Elizabeth Creek contains over 1Mt of contained Copper Equivalent (65.5Mt at 1.6% CuEq) and is located in the heart of Australia’s most productive copper belt with easy access from sealed Stuart Highway running through the project with power available from nation’s most renewable grid.
DISCLAIMER: ‘The information does not constitute personal financial advice. Consult your adviser or broker prior to making any investment decision.
For further information about this company, email – shareholder@pelshare.com.au
