Mutooroo’s Future Hangs on JXAM Deal Amid Resource Expansion Hopes

Study Program Delivers Encouraging Results

Havilah Resources Limited has unveiled the final results of a $3 million study program at its Mutooroo copper-cobalt-gold project, located 60 kilometres southwest of Broken Hill. Sponsored by JX Advanced Metals Corporation (JXAM), the program comprised an extensive 7,511-metre drilling campaign, detailed metallurgical testwork, and a mining study. These efforts have collectively reinforced the project’s potential and set the stage for a possible strategic partnership.

Drilling successfully extended sulphide mineralisation well beyond the existing resource envelope, with new intercepts demonstrating grades comparable to or better than the current JORC resource average. Notably, a drillhole approximately 200 metres north of the resource boundary returned 21 metres grading 1.60% copper, 0.18% cobalt, and 0.31 grams per tonne gold, underscoring the deposit’s expansion potential.

Metallurgical Testwork Aligns with Smelter Needs

Metallurgical testing conducted by Core Resources Pty Ltd confirmed that the Mutooroo sulphide ore is amenable to conventional flotation methods, achieving copper recoveries exceeding 91%. The tests produced high-grade copper concentrates with low levels of deleterious elements, aligning well with JXAM’s smelter specifications. The flexibility to tailor concentrate compositions, whether higher copper, sulphur, or cobalt content, adds to the project’s commercial appeal.

Mining Study Supports Combined Extraction Approach

A scoping-level mining study by Mining One Pty Ltd evaluated a combined open pit and underground mining operation. The underground access would be via a decline at the base of the open pit, optimizing operational efficiency. The study highlighted that expanding the resource base would enhance economies of scale and project viability, making further drilling a priority for any forthcoming pre-feasibility study (PFS).

Negotiations Underway for Pre-Feasibility Study

Following these positive technical outcomes, JXAM has entered discussions with Havilah to formalize an agreement to undertake a comprehensive PFS. This study would provide critical insights to inform JXAM’s decision on acquiring an equity interest in the Mutooroo project. The exclusivity period for these negotiations extends until 30 September 2025, with the goal to commence PFS work by July 2025.

Strategic Location and Resource Base

Mutooroo is situated in a Tier 1 mining jurisdiction within commuting distance of Broken Hill, with excellent transport links nearby. The project currently hosts a JORC-compliant resource containing approximately 195,000 tonnes of copper, 20,200 tonnes of cobalt, and 82,100 ounces of gold, predominantly in copper-cobalt rich massive sulphide lodes. The recent drilling and metallurgical results enhance confidence in both resource expansion and processing pathways.

As Havilah and JXAM advance negotiations and prepare for the next phase of study, the Mutooroo project is increasingly positioned as a compelling opportunity in the copper-cobalt-gold sector, with potential to contribute to critical metal supply chains.