Funding Secured but Environmental Approvals and Market Risks Loom for Coda Minerals
Coda Minerals has raised $12.33 million to fully fund the Pre-Feasibility Study for its Elizabeth Creek Copper-Silver Project, with drilling now underway and a robust work program planned through 2026.
- Total $12.33 million raised via entitlement offer and oversubscribed placement
- Pre-Feasibility Study (PFS) fully funded with $14 million cash post-offer
- Drilling commenced with multiple rigs active onsite
- Comprehensive PFS workstreams underway including resource updates and metallurgical studies
- Advancement of environmental approvals and infrastructure planning targeted
Funding Milestone Achieved
Coda Minerals Limited (ASX – COD) has successfully secured $12.33 million in total funding through an $8.3 million underwritten entitlement offer and a $4 million oversubscribed institutional placement. This capital injection fully funds the Pre-Feasibility Study (PFS) for the company’s flagship Elizabeth Creek Copper-Silver Project, located in South Australia’s Olympic copper province. With approximately $14 million in cash expected after costs, Coda is well positioned to advance its project development without financial distraction.
Drilling and Technical Work Underway
Drilling has commenced at Elizabeth Creek with two diamond rigs currently operating and a third expected shortly. The program aims to complete around 19 holes totaling 6,000 to 7,000 metres, focusing on the Emmie Bluff deposit. These drilling results will underpin an updated Mineral Resource Estimate and support metallurgical, geotechnical, and engineering studies critical to the PFS. The comprehensive workstreams are designed to refine mine design, optimise processing flowsheets, and improve project economics.
Strategic Use of Funds and Project Outlook
The funds raised will accelerate key components of the PFS, including mine plan optimisation that will evaluate mining methods and align with current commodity price forecasts. Additional studies will focus on water supply de-risking and infrastructure design, with the appointment of a major engineering partner to ensure process and non-process plant designs reach PFS-level confidence. Environmental approvals are progressing rapidly, with the Scoping Report nearing completion and contractors scheduled to begin site work in November.
Market Context and Investor Confidence
The placement was priced at $0.105 per share, slightly above the entitlement offer price of $0.10, reflecting strong investor demand and confidence in the project’s potential. CEO Chris Stevens highlighted recent metallurgical breakthroughs and improved copper and silver recoveries coinciding with stronger commodity price dynamics, which have enhanced Elizabeth Creek’s commercial outlook. The company’s resource base has more than quadrupled over recent years, positioning Elizabeth Creek as a standout copper-silver project amid growing global demand.
Looking Ahead
With the PFS fully funded and drilling underway, Coda is entering a critical phase of project development. Investors can anticipate steady news flow as technical studies progress and environmental approvals advance, setting the stage for potential project commercialisation in the coming years.
Bottom Line?
Fully funded and drilling underway, Coda Minerals is poised to unlock Elizabeth Creek’s value amid rising copper and silver markets.
Questions in the middle?
- How will updated resource estimates impact the project’s valuation and mine plan?
- What are the timelines and key hurdles for securing full environmental and mining approvals?
- How might evolving commodity prices influence the final PFS outcomes and project economics?
