Name of the Project
Okiep copper project (OCP).

Location
Northern Cape, South Africa.

Project Owner/s
ASX- and JSE-listed metals explorer and developer Orion Minerals holds a 56.25% controlling interest in the OCP, with the Industrial Development Corporation of South Africa, or IDC, holding the remaining 43.75%.

Orion Minerals reported on March 19, 2026, that it had finalised settlement of the remaining R14.74-million consideration for the acquisition of a controlling interest in the OCP. The consideration comprised R2.3-million in cash and R12.44-million in shares. The settlement followed the final suspensive conditions for the transaction, including receipt of exchange control approval from the Financial Surveillance Department of the South African Reserve Bank, having been met.

Orion entered into definitive agreements in 2021 to acquire the mineral rights and associated assets held by Southern African Tantalum Mining (Safta), Nababeep Copper Company (NCC) and Bulletrap Copper (BCC), through its subsidiary companies New Okiep Mining Company and New Okiep Exploration Company. The settlement of the R46-million cash-and-share consideration for the first phase of the OCP transaction was completed in May 2024.

Project Description
The OCP comprises the core of a premier historical copper district that produced more than two-million tonnes of copper over more than 150 years, ending in 2003. Total Joint Ore Reserves Committee-compliant mineral resources at the OCP currently stand at 11.5-million tonnes grading 1.3% copper for 152 000 t of contained copper. Mineral resources for the Flat Mines project total ten-million tonnes grading 1.3% copper, for 132 000 t of contained copper.

A definitive feasibility study (DFS) completed on the project – part of the OCP, and published in March 2025 – delivered favourable financial outcomes and confirmed the project's ability to deliver a safe, modern and fully mechanised copper mine.

The project comprises a 12-year life-of-mine (LoM) from first concentrate production, mining an estimated 65 000 t a month at steady state, or 780 000 t/y, of copper mineralised material at full production, at an average LoM grade of 1.18% copper.

Mineralised material will be sourced from four underground mining areas: the historically mined Flat Mine North (FMN) and Flat Mine Nababeep (FM-Nab) mines, and the planned unmined deposits at Flat Mine East (FME) and Flat Mine South (FMS). All four areas are within 3 km of one another and of the proposed central processing facility.

Excavated run-of-mine (RoM) material will be processed through a plant located near FMN, followed by conventional milling and flotation, to produce an average 24 000 t/y, wet, of copper concentrate at an average grade of 30% copper over the LoM. The concentrates will be bagged, trucked to Cape Town and shipped internationally. This is expected to result in the delivery of an average of 6 500 t/y of contained copper metal over the LoM, including ramp-up and ramp-down periods. Nameplate production of about 9 300 t/y of contained copper is expected to be sustained for a three-year period under the current plan.

The underground mining areas will be developed sequentially. FMN will be developed first using the existing decline, followed by FME using a new twin decline. FM-Nab and FMS will share a common decline, with FM-Nab mined first as development continues to open FMS. A maximum of two mining areas will be fully operational at any time.

The FM project will be developed using a phased approach to derisk the project and reduce the initial capital outlay for the process plant. Phase 1 will include mining about 32 500 t a month of mineralised material at an average grade of 1.04% copper for 24 months from FMN. The material will be treated through conventional milling and flotation to produce copper concentrate at an average grade of 30% copper.

Although no ore sorters will be used in Phase 1, this period will be used to conduct pilot-scale testing in the operating plant. Should this confirm the benefits of ore sorting indicated during drill-core testing from the various FM deposits, installation and commissioning of the full-scale ore-sorting plant could be expedited.

In Phase 2, production from FME will be combined with FMN to achieve a target of 65 000 t a month of mineralised material delivered to the RoM pad. The process plant will be expanded, potentially including the installation of ore sorters, to accommodate increased production from mining. Full production is planned to continue until FME is depleted, after which FMS production will continue at a reduced rate, limited by the capacity of mining from FMS only.

Potential Job Creation
About 300 jobs will be created.

Net Present Value/Internal Rate of Return
The DFS estimates a pretax net present value, at an 8% discount rate, of R1.42-billion and a pretax internal rate of return of 23%, with a payback of 5.3 years from first production.

Capital Expenditure
Total project capital expenditure, including contingency, is estimated at R1.60-billion.

Planned Start/End Date
The official start date of the project will be confirmed once funding is secured and a final investment decision is made.

Assuming the effective date of the feasibility study is March 21, 2025, construction of the Phase 1 processing plant is scheduled to start in month 10 and be completed by month 21. Production at 32 500 t a month will follow commissioning and ramp-up, with first concentrate expected to be sold in month 22.

Early works at FMN, such as dewatering and underground rehabilitation, are expected to start in month 2. First RoM ore from FMN is expected in month 7 and will be stockpiled ahead of processing, with steady-state production achieved by month 29. Portal construction at FME is expected to start in month 15, with RoM production starting in month 38 and steady-state production achieved by month 56.

Early works at FM-Nab and FMS are scheduled to start in month 34. FM-Nab will be accessed first, with RoM production starting in month 48 and reaching steady state by month 62. Production from FMS is scheduled to start in month 62 and to reach steady state by month 81.

Upgrades to the processing plant to accommodate Phase 2 production are planned to start in month 44, with full production expected by month 50, coinciding with FME’s ramp-up. Production will then continue for the balance of the mine’s operational life.

Latest Developments
Orion’s March 2026 quarterly report states that optimisation of the OCP is a key focus for 2026. During the March quarter, construction of the new wastewater dam, including the liner and perimeter fence, was completed, allowing for dewatering to start at FMN. Metallurgical testwork has also started at Maelgwyn on FMS resources to validate the proposed process flowsheet, as previous DFS testwork was limited to FMN and FME.

A limited drilling programme for the FM deposits started in February 2026 to support resource optimisation work, including testing near-surface inferred resource blocks that could be accessed early in the mining schedule and selected lateral extensions to the mineralisation model. Field reconnaissance mapping west of Nababeep also started after landowner access negotiations were concluded, with follow-up geophysical surveys expected in the next quarter.

Orion has settled the final acquisition consideration for a controlling interest in the OCP. Its remaining acquisition-linked commitment is to undertake about R6.35-million of exploration expenditure on the NCC and BCC mineral projects by November 30, 2026, with exploration and drilling programmes under way. Orion is also participating in the 2026 BHP Xplor accelerator programme, which supports geological targeting across its Northern Cape exploration portfolio.

Key Contracts, Suppliers and Consultants
Z Star Mineral Resource Consultants; Sound Mining International; Dayenu Mining Consultants; Paterson & Cooke Consulting Engineers; JHK Consulting; METC Engineering Consultants; Epoch Resources; Prysm Ventilation Services; Fraser McGill; Advisory on Business and Sustainability Africa.

Contact Details for Project Information
Orion Minerals, tel +27 11 880 3159 or email info@orionminerals.com.au.