Resource Upgrade at Orlando Reduces Uncertainty but Leaves Key Questions Open
CuFe Ltd has enhanced the confidence level of its Orlando deposit resource at Tennant Creek, increasing the Indicated classification from 42% to 56% following a rigorous QAQC review. This upgrade supports the imminent release of the Orlando Scoping Study.
- Indicated Resource portion increased from 42% to 56% at Orlando deposit
- Total resource tonnage and grades remain steady at 5.95 Mt, 1.16% Cu, 1.50 g/t Au
- No new drilling conducted; upgrade based on improved QAQC data validation
- JORC 2012 compliant Mineral Resource Estimate underpins upcoming Scoping Study
- Extensive historical and recent drilling data integrated with metallurgical testwork
Resource Upgrade Enhances Project Confidence
CuFe Ltd (ASX – CUF) has announced a significant upgrade in the confidence of its Orlando copper-gold deposit resource, part of the Tennant Creek Project in the Northern Territory. The company’s latest Mineral Resource Estimate (MRE), updated in June 2025, increases the Indicated Resource classification from 42% to 56% of the total resource, reflecting a more robust understanding of the deposit without any additional drilling.
This upgrade stems from a comprehensive Quality Assurance and Quality Control (QAQC) review of historical and recent drilling data, which has improved the reliability of assay results and data integrity. The total resource remains unchanged at 5.95 million tonnes grading 1.16% copper and 1.50 grams per tonne gold, underscoring that the enhancement is one of confidence rather than volume or grade.
Methodical Data Validation Drives Reclassification
The QAQC process involved detailed statistical comparisons, including quantile-quantile plots, between recent 2022 drilling and legacy data from the 1960s and 1980s. These analyses confirmed strong comparability for copper assays and moderate confidence for gold, enabling the upgrade of portions of the resource from Inferred to Indicated classification. Notably, no new drilling was required; instead, the improved data validation and correction of mislabeled standards and blanks were pivotal.
CuFe engaged technical consultants MEC to prepare the updated MRE in accordance with the JORC Code (2012), ensuring compliance with industry standards. The updated resource classification provides a firmer foundation for economic evaluation and supports the forthcoming Orlando Scoping Study, which is expected to outline the project’s development potential.
Geological and Metallurgical Context
The Orlando deposit is an iron oxide copper-gold (IOCG) system characterized by structurally controlled mineralization within shear zones. The deposit features stacked, steeply dipping lenses of copper and gold mineralization, extending to depths of approximately 320 meters. The geology is complex, shaped by tectonic activity, and hosts multiple mineral phases including chalcopyrite, magnetite, and gold.
Extensive metallurgical test work, spanning from 1990 to recent years, has informed recovery assumptions used in the resource estimate. Recoveries of approximately 88% for gold and 87% for copper underpin the economic cut-off grades applied. Further metallurgical testing is planned to refine these parameters, particularly for fresh ore.
Implications for Project Development
The increase in Indicated Resources enhances the project’s attractiveness by reducing geological uncertainty, a critical factor for investors and potential financiers. The updated MRE excludes 1.6 million tonnes of material representing remnant pillars from historical underground workings, ensuring realistic mining assumptions and safety considerations are incorporated.
CuFe’s Executive Director Mark Hancock highlighted the value of this upgrade, noting the wealth of historical data and the company’s ongoing efforts to rationalize and validate it. The improved resource classification is a key input for the imminent Scoping Study, which will provide a clearer picture of the project’s economic viability and guide next steps.
Environmental and permitting considerations remain important, with the company acknowledging the need for compliance with Northern Territory regulations and ongoing assessment of potential acid rock drainage risks associated with sulphide mineralization.
Bottom Line?
CuFe’s enhanced resource confidence at Orlando sets the stage for a pivotal Scoping Study, with market eyes now on how this translates into project economics and development timelines.
Questions in the middle?
- How will the increased Indicated Resource impact CuFe’s financing and development plans?
- What are the expected timelines and key outcomes for the upcoming Orlando Scoping Study?
- How will further metallurgical testing influence recovery assumptions and project feasibility?