How Develop Global’s Woodlawn and Sulphur Springs Projects Could Reshape Copper Markets

Woodlawn Mine Commissioning Accelerates

Develop Global Limited (ASX – DVP) has marked a pivotal December quarter with its Woodlawn copper-zinc mine in New South Wales ramping up production on schedule. The mine processed a record 59,000 tonnes in December, positioning it to reach its nameplate capacity of 850,000 tonnes per annum in the March quarter. Concentrate production surged, with copper and zinc outputs increasing 36% and 43% respectively compared to the previous quarter, driven by higher-grade ore from the Kate lens.

Underground development is ahead of plan, with 1,809 metres completed and the decline now extending 575 metres below surface. The company is strategically moving into higher-grade zones to support steady-state production, anticipated imminently. Notably, concentrate recoveries improved, especially in the copper circuit, and treatment and refining costs have fallen substantially, boosting the net smelter return revenue per tonne by approximately 40% compared to restart forecasts.

Sulphur Springs Project – A Major Value Leap

In Western Australia’s Pilbara region, the Sulphur Springs zinc-copper-silver project has delivered an updated Definitive Feasibility Study (DFS) showing a 76% increase in pre-tax Net Present Value to A$921 million. This uplift reflects robust commodity prices and operational efficiencies. At current spot prices and treatment costs, the NPV could rise further to A$1.15 billion.

Underground decline development is progressing well, with 543 metres completed during the quarter, and surface infrastructure preparation underway. The project’s strong leverage to copper, zinc, and silver; metals critical to electrification and energy transition; positions it well for future demand. Develop is advancing off-take negotiations and project financing, targeting a Final Investment Decision (FID) in the June quarter of 2026.

Pioneer Dome Lithium Opportunity Emerges

Develop’s Pioneer Dome lithium project in Western Australia is benefiting from a surge in spodumene prices, now around US$2,500 per tonne. This price spike has reignited interest in direct shipping ore (DSO) markets and off-take discussions. The project is fully permitted and could deliver first DSO ore within six months at a modest capital cost of A$35-40 million. A previous scoping study indicated a pre-tax NPV of A$1 billion over seven years producing approximately 200,000 tonnes per annum of spodumene concentrate, underscoring the project’s financial potential.

Mining Services Division Secures Major Contract

The company’s Mining Services division achieved a significant milestone by securing a five-year, approximately A$200 million underground development contract with OceanaGold for its Waihi North Gold Project in New Zealand. This contract, commencing in the June quarter of 2026, represents a major new cornerstone for the division, which now holds two third-party contracts as targeted in Develop’s five-year plan. The division also reported record quarterly external revenue of A$55.5 million, reflecting favourable market conditions and strong operational execution.

Corporate and Financial Position

Develop Global maintains a robust cash position of A$179.9 million as of 31 December 2025. The company is tracking well against its five-year business plan, which targets annual production of 50,000 tonnes of copper-equivalent metal and two to three mining services contracts. Recent board and senior management appointments bring high-calibre expertise to support the company’s growth trajectory. Discussions with third parties on potential corporate opportunities are ongoing, signaling an active strategic outlook.