TNC Set to Resume Mining Operations at Cloncurry Copper Project in Q4 FY2024

Australian Securities Exchange-listed True North Copper (TNC) has unveiled its strategy to recommence mining operations at the Cloncurry Copper Project (CCP) situated in Queensland, Australia, in the early stages of the fourth quarter of fiscal year 2024 (FY2024). The company's focus will initially be on the Wallace North site for ore extraction, with preparations already in motion, encompassing the mobilization of essential mining equipment and infrastructure.

In a significant development in March 2024, TNC made substantial progress in readying existing access and haulage roads for the impending mining endeavors. Concurrently, its technical service teams diligently executed short-term mine scheduling, laying a solid foundation for the forthcoming operations.

The initial phase of the mining resurgence will be dedicated to establishing ore stockpiles, with the commencement of haulage operations anticipated by mid-May 2024. Transport logistics will involve the use of road trains to ferry oxide ore from CCP to the Cloncurry Operations Hub's heap leach facility. Simultaneously, sulphide ore will be directed to a nearby concentrator for toll treatment, in accordance with TNC's toll-milling arrangement with Glencore International.

Within the Cloncurry Copper Project (CCP) lies the Great Australia Mine (GAM) Reserve, encompassing deposits such as the Great Australia Mine, Taipan, and Orphan Shear, alongside the Wallace North Reserve. Collectively, these reserves comprise 4.7 million tonnes, boasting a grade of 0.80% copper and 0.13 grams per tonne gold. This abundance translates to 37.5kt of copper and 20 kilo ounces of gold. Notably, the project maintains a strip ratio of 4.22, indicating its resource richness and mining potential.

TNC's strategic blueprint for the CCP underscores promising project economics, with projected mine revenue forecasted at A$367 million ($239.69 million), accompanied by a substantial free cash flow of A$111 million. Upon the commencement of mining activities, an operational rate of 300kt per annum total movement is envisaged, with ore extraction volumes slated to escalate over the initial three-month period.

Marty Costello, the Managing Director of True North Copper, expressed enthusiasm about the current phase, stating, "We are entering an exciting and transformative period at TNC. Thanks to the diligent efforts of our Mining Operations Team, we are fully prepared to execute our Cloncurry Copper Project Mining Restart Plan, initiating mining activities at Wallace North in early Q4 FY24. The project's economics affirm its resilience as a low-risk, cost-effective mining venture."

Costello further elaborated on the financial outlook, revealing, "Projected mine revenue is estimated at A$367 million, accompanied by a significant free cash flow of A$111 million." Additionally, he highlighted the company's ongoing commitment to development initiatives, remarking, "Our focus remains on advancing Mt Oxide as our next mining endeavor, as we progress with the final stages of the Vero mineral resource re-estimation and optimization study."