Funding and Assay Results Key Risks Ahead for Alma Metals’ Briggs Project

Briggs Copper Project Progress

Alma Metals Limited has reported significant progress on its flagship Briggs Copper Project in Central Queensland. The company is in the final stages of completing a comprehensive scoping study that evaluates the potential for a large-scale, long-life open pit mine. This study includes detailed assessments of mining operations, mineral processing, and tailings management, each with associated capital and operating cost estimates.

The Briggs deposit boasts a substantial mineral resource estimate, containing approximately 2 million tonnes of copper metal within indicated and inferred categories. The project’s location near Gladstone offers excellent infrastructure advantages, including proximity to road, rail, and port facilities, which could facilitate efficient project development and future copper concentrate export.

Deep Drilling Targets Geophysical Anomaly

In mid-August, Alma commenced a 900-metre deep diamond drill hole designed to test a compelling geophysical target identified by a Versatile Time Domain Electromagnetic (VTEM) survey. This target lies adjacent to the southwest boundary of the current mineral resource and is considered prospective for higher-grade copper mineralisation. As of mid-October, drilling had reached 522 metres, intersecting geological formations consistent with the company’s resource model, including zones of potassic alteration and coarse-grained copper sulphides.

The drill hole is expected to reach the VTEM target zone at around 600 to 650 metres depth. The program benefits from partial funding through a $250,000 grant from the Queensland Government’s Collaborative Exploration Initiative, underscoring public sector support for the project’s exploration efforts.

Financial Position and Funding Outlook

Alma Metals closed the quarter with approximately $2.7 million in cash and liquid investments and no debt, following a $388,000 capital raise via a rights issue shortfall placement. The company also anticipates receiving a research and development rebate of nearly $1 million in the coming quarter, which will bolster its funding position. Management has expressed confidence in securing additional funding through equity or asset sales if necessary, ensuring the continuation of exploration and study activities.

East Kimberley Project and Corporate Updates

While no fieldwork was conducted on the East Kimberley Copper Project during the quarter, Alma has secured five exploration licenses and is progressing agreements with the Balanggarra Traditional Owners to enable future reconnaissance activities. These steps are foundational for advancing exploration in a region with copper potential analogous to the Central African Copperbelt.

Corporate governance remains robust, with director fees and related party payments disclosed transparently. The company continues to manage its expenditures prudently, focusing on advancing the Briggs project while maintaining a healthy balance sheet.

Looking Ahead

Alma Metals expects to complete the deep drill hole and finalize the Briggs scoping study within the next quarter. These milestones will provide critical data to refine the project’s economic model and guide future development decisions. Investors will be watching closely for assay results from the drilling program and the study’s conclusions, which will shape the next phase of this promising copper venture.