How Coda Minerals’ Flowsheet Breakthrough Transforms Elizabeth Creek’s Future

A Game-Changing Metallurgical Breakthrough

Coda Minerals has announced a pivotal advancement in the development of its 100% owned Elizabeth Creek Copper-Silver Project in South Australia. The company has adopted a simplified whole-ore chloride leach flowsheet, replacing the previously planned flotation and Albion circuit. This breakthrough not only streamlines processing but also delivers materially higher recoveries for both copper and silver, fundamentally rebasing the project’s production profile and economics.

The new flowsheet achieves copper recoveries of approximately 94.8% and silver recoveries of 98.2%, compared to the prior 82.8% and 82% respectively. This improvement translates into a life-of-mine production uplift to around 454,000 tonnes of copper and 20 million ounces of silver, up from previous estimates of 384,000 tonnes and 16 million ounces. Annual steady-state production is expected to reach roughly 31,000 tonnes of copper and 1.4 million ounces of silver, marking a significant operational enhancement.

Stronger Economics and Lower Costs

The simplified flowsheet has also driven a reduction in capital and operating costs. Total capital expenditure has been trimmed by approximately A$74 million, while operating costs have decreased by about A$7.50 per tonne, a 19% reduction. These savings shorten the project’s payback period from around four years to just over three years.

Financially, the project’s pre-tax net present value (NPV) at a 7% discount rate is estimated at approximately A$1.29 billion, with an internal rate of return (IRR) near 39%. These figures represent a marked improvement over the 2024 scoping study, which reported a pre-tax NPV of about A$1.2 billion and an IRR of 35%. Notably, the company’s economic model was based on conservative commodity price assumptions that have since improved, suggesting further upside potential.

Capital Raising and Project Advancement

To support the accelerated development timeline, Coda Minerals successfully completed a fully underwritten entitlement offer and institutional placement, raising approximately A$12.33 million before costs. This capital injection boosts the company’s cash position to around A$14 million, providing robust funding for the ongoing pre-feasibility study (PFS) and associated workstreams.

Drilling activities have commenced on site, with three rigs operating and a planned 19-hole, 6,000-metre program underway. This drilling campaign aims to enhance resource confidence, support geotechnical and metallurgical studies, and underpin the PFS, which is now fully funded to completion. The company also continues to engage with South Australian regulators, progressing environmental approvals and preparing for mining lease applications.

Looking Beyond Copper and Silver

While cobalt was previously considered a base-case commodity for Elizabeth Creek, the new flowsheet and economic model reposition cobalt as an optional upside rather than a core dependency. Coda is continuing metallurgical test work to refine cobalt extraction processes, with the potential to reintroduce cobalt economics once further validation is achieved. This approach reduces execution risk by focusing on copper and silver, commodities with greater market liquidity and lower price volatility.

Chairman Keith Jones highlighted the strategic importance of the flowsheet breakthrough, noting it provides a clearer and more resilient pathway to project development. The market has responded positively, reflected in the company’s share price uplift and successful capital raising. CEO Chris Stevens emphasized the importance of the ongoing drilling program and the company’s commitment to keeping shareholders informed as the PFS progresses.