New World Resources (ASX:NWC) has fired up a third drill rig on-site its Antler Copper Project (ACP) to further expand its 11.4Mt resource.
A second rig is also active at the Javelin project, also prospective for copper. The 11.4Mt resource boasts a grade of 4.1%, described as “impressive” by management.
All in all, geotechs are now chasing after 17 different targets.
“With more than 17 high-priority exploration targets delineated across our high-grade Antler
and Javelin Copper Projects in Arizona, we are very pleased to have mobilised a third diamond
rig to help accelerate our exploration efforts,” NWC MD Mike Haynes said.
“We’re now well underway with an accelerated drilling program to test our pipeline of targets, with the aim of rapidly expanding the 11.4Mt high-grade Resource.
“Any new discoveries should further enhance the already very robust economics of developing a new mine and processing centre at Antler.”
New World’s plans come as markets enter into a new world for copper prices – at least for now.
The orange metal has breached US$10,000/tn multiple times this year but has not yet managed to find a comfortable position above that threshold. It’s not far off, though.
At the time of writing (1.20pm AEST) on Friday, copper prices are at US$4.64/lb – up 22.49% YoY.
But we’ve come a good way down from the peak for copper prices we hit in mid-May – where for a four day stretch, copper stayed firm above US$5/lb.
Where it goes the rest of the year will depend on supply shortages (perceived or otherwise,) but more importantly demand – mainly from China, still currently in the doldrums of its post-COVID slump.
Consider also that Cargill stopped trading steel in China this year. Strong demand signals may need to come from elsewhere if copper is to head back above US$5/lb anytime soon.
(Then again, predicting commodities is always a direct route to embarrassment.)
NWC last traded at 3.6cps.