Resource Expansion at Mumbezhi Raises Questions on Economic Viability and Next Steps

Resource Expansion and Quality

Prospect Resources Limited (ASX, PSC) has delivered a compelling update to its Mineral Resource Estimate (MRE) for the Mumbezhi Copper Project in north-west Zambia. The new estimate reports a 63% increase in tonnage, now standing at 173.8 million tonnes with an average copper grade of 0.44%, translating to 772,000 tonnes of contained copper. This marks a substantial growth from the March 2025 figures and reflects the success of ongoing exploration and drilling campaigns.

Notably, the copper grades at Mumbezhi are now comparable to some of the world’s leading mines in the Zambian Copperbelt, enhanced by a copper equivalent grade of 0.50% that factors in valuable by-products.

Introduction of Gold and Cobalt Resources

For the first time, the updated MRE incorporates maiden Indicated and Inferred resources of gold and cobalt, adding a new dimension to the project’s economic potential. The inclusion of 127,100 ounces of gold and 38,600 tonnes of cobalt within the resource base opens avenues for by-product credits that could improve project economics. Prospect is actively re-assaying over 2,000 drill intersections to enhance confidence in gold grades, signalling a strategic focus on maximising resource value.

Geological Confidence and Classification

The updated resource boasts over 41% classified as Indicated, reflecting a high degree of geological confidence and providing a solid foundation for advancing development studies. The resource expansion is concentrated across the Nyungu Central and Kabikupa deposits, both of which remain open for further growth along strike and at depth.

Upcoming Exploration and Development Plans

Looking ahead, Prospect Resources plans to commence Phase 3 drilling in the second quarter of 2026, targeting the flagship Nyungu Central deposit and newly identified regional prospects such as Chipimpa and Sharamba. This program aims to further expand the resource base and refine the project’s economic parameters ahead of scoping studies scheduled for later in the year.

Complementary metallurgical test work has demonstrated promising recoveries for copper, gold, and cobalt, underpinning the technical viability of the project. The Mumbezhi Copper Project benefits from granted mining licences in good standing and proximity to existing processing infrastructure, factors that enhance its development prospects.

Strategic Significance

Prospect’s Managing Director, Sam Hosack, emphasised the world-class growth trajectory of Mumbezhi, highlighting the latent value unlocked by the new resource components and the robust pipeline of exploration targets. The company’s methodical approach to resource expansion and metallurgical validation positions Mumbezhi as a compelling asset in the global copper supply chain, particularly given copper’s critical role in the green energy transition.