logo-loader
Castillo Copper Ltd

An emerging copper exploration story - Castillo Copper

The subject of this episode of Coffee with Samso is copper and the aim of Castillo Copper to become a mid-tier copper miner.

Castillo Copper Ltd - An emerging copper exploration story - Castillo Copper
Samso chats with Castillo Copper managing director Simon Paull

Late last year I wrote about Castillo Copper Ltd (ASX:CCZ) which announced some great results from their Cangai Copper Mine. I was immediately intrigued.

However, things did not go well for them. There were some environmental issues which appear to have been sorted out with their reinstatement to the Australian Stock Exchange (ASX).

Cangai Copper Mine in northern New South Wales is still one of Australia’s highest grading historic copper mines with a JORC inferred resource of 3.2 million tonnes at 3.35% copper.

A few months of hibernation and lots of “discussions” the company has a new strategy and a new team. Most times, these new strategies are a lot of hot air, but what Castillo has come up with is very interesting. 

The talk is about a three-pillar plan and I have to say it is not unattainable.

The rebirth has brought in a new project within Zambia’s well known “Copperbelt.” The two Zambian projects named, Mkushi & Luanshya, are adjacent to producing copper mines, which enhances the upside appeal for Castillo’s assets.

Luanshya project – Underlying Geology, Mines and Deposits (Source: CCZ ASX Release – 10 July 2019; CNMC2; USGS3; Zambia Ministry of Mines & Mineral Development5; Moxico Resources plc)

The Luanshya project is south of three mines owned by Hong Kong-listed, China Nonferrous Mining Corp (HKG:1258) (market cap: A$1bn), that produced nearly 6,000 tonnes of copper in 2018 with total JORC compliant reserves at 52.3 million tonnes at 1.26% copper.

A key feature is the underlying geology is the same, comprising the Lower Roan Group, which is well known to host copper mineralisation.

In addition, emerging explorer UK-based Moxico Resources’ Mimbula Project has Lower Roan Group structures within its tenure and a JORC compliant resource at 61 million tonnes 1.18% copper. 

We understand from industry sources that Moxico Resources successfully secured Pre-IPO funding of US$32 million which delivered it an implied US$80-90 million enterprise value.

The current plan is for Moxico to IPO on the London Stock Exchange in early 2020.

Meanwhile, Castillo is looking to do a listing on the London Stock Exchange at the end of this year. The company is supported by London stockbrokers Si Capital.

In this episode of Coffee with Samso, the conversation is all about the business of copper and a company looking for a new direction.


www.samso.com.au

Samso is primarily a consulting company that delivers digital information to the market in terms of creating organic content.
Samso simplifies your story to customers or investors. Samso creates organic content for you to engage your audience and BRAND yourself to them.
Samso provides bespoke research and presentation for clients to engage their customers or investors.
Organic content allows audiences to feel a real sense of sincerity when you share your business strategy, allowing your business to stand out among the sea of social media traffic.
Working with
Proactive allows exposing our insights to over 1.2 million monthly unique views internationally.
Samso has nearly 30 years of experience in developing business ideas and concepts in the Australasian region.
Samso has worked primarily in the mineral resources industry, capital markets and corporate finance.
Noel Ong is the founder of Samso.

Quick facts: Castillo Copper Ltd

Price: 0.017 AUD

Market: ASX
Market Cap: $11.5 m
Follow

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Castillo Copper Ltd named herein, including the promotion by the Company of Castillo Copper Ltd in any Content on the Site, the Company...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Full interview: Castillo Copper hails geological similarities of its Zambia...

Castillo Copper Ltd's (ASX:CCZ) managing director Simon Paull speaks to Proactive London's Andrew Scott soon after the second independent geological review on its Zambian projects confirmed the Luanshya project has comparable underlying geology to neighbouring operating copper mines and...

on 10/9/19

3 min read