Name of the Project
Nifty copper project.

Location
On the western edge of the Great Sandy Desert, in the north-eastern Pilbara region of Western Australia.

Project Owner/s
Cyprium Metals.

Project Description
A restart study has highlighted a robust initial oxide project with the potential for strong financial returns.

Metallurgical testwork has confirmed recovery of 85% in retreat and 90% in oxide pit material.

The study envisages a robust heap-leach solvent extraction-electrowinning operation in the initial stage of the project.

The restart is focused on the first phase of heap-leach retreat and oxide openpit, and it is envisaged that the life will extend to the sulphide stage of the openpit, with a considerably larger resource available.

The project could produce 25 000 t/y of copper cathode. Oxide cathode production is estimated at 146 100 t of copper metal.

The oxide mine life is estimated at just over six years, from 2023 to 2029, with a sulphide potential of more than 20 years.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a preconstruction after-tax net present value, at a 7% discount rate, of A$277.3-million and an internal rate of return of 37%, with a payback of three years following construction.

Capital Expenditure
A$149.3-million.

Planned Start/End Date
The completion of the capital raising, which is conditional upon the finalisation of the senior debt financing, will allow for Cyprium to start construction and the production of copper metal plate on site in the first half of 2024.

Latest Developments
Cyprium Metals has announced plans to raise A$35-million to support the restart of the Nifty operation.

The company has received firm commitments for the placement of 318.6-million shares from sophisticated and institutional investors, at 11c a share. Each participant in the placement will receive one free attaching option for every one share to be issued, and the options are exercisable at 15c each and have a two-year period.

The issue price of 11c a share represents an 18.5% discount to Cyprium’s last closing price at the end of January.

The placement will be completed in two tranches, with the first 182.5-million shares to be issued under the company’s existing placement capacity, while the issue of the remaining 136-million shares and the options will be subject to shareholder approval.

The company has previously reported that for the debt portion of the Nifty copper project restart it is targeting A$240-million to A$260-million of total debt funding, including cost overrun contingency and working capital.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Cyprium Metals, tel +61 8 6374 1550 or email info@cypriummetals.com.