Copper, Exploration/Development, News, Production

True North Copper gears up for first production

CGN discovery, copper

True North Copper (TNC) will raise $24.3 million in equity to progress its Cloncurry copper project in Queensland through to steady production.

As part of the equity raise, TNC will issue roughly 135.2 million new fully paid ordinary shares to raise $7.6 million. This also includes a one-for-two entitlement offer of 282.2 million new shares for an additional $16.7 million.

“It is our goal to restart operations at Cloncurry to become Australia’s next copper producer and this equity raising will strengthen our balance sheet through to steady state production ,” TNC executive chairman Ian McAleese said.

TNC has binding offtake and toll milling agreements in place for Cloncurry with mining giant Glencore, with the company expecting commercial mining to kick off during the second half of the year.

It comes as the price of copper soars, lifted by the metals’ integral role in many clean energy products.

McAleese said this timely cash flow will help the company fund extensive exploration at Cloncurry and its Mt Oxide cobalt-copper-silver project.

“In addition to restarting Cloncurry, we have vast potential to grow resources and reserves for this project as well as further build our inventory at the Mt Oxide project, with a 10km prospective trend we are keen to explore,” he said.

“(This is) in addition to our Vero resource (at Mt Oxide) which hosts a resource of nearly 16 million tonnes at 1.43 per cent copper and 6.91 grams per tonne silver.”

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