Encounter Regains 100% Ownership of Yeneena, Eyes High-Grade Copper Extensions
Encounter Resources has regained 100% ownership of the Yeneena Copper Project after IGO Limited's withdrawal, setting the stage for renewed exploration focused on high-grade copper zones in Western Australia's Paterson Province.
- IGO Limited withdraws from Yeneena Farm-in joint venture
- Encounter regains full 100% ownership of Yeneena Copper Project
- Focus on extending high-grade BM1 copper oxide mineralisation
- Drill testing planned for large copper anomaly at BM5 prospect
- Strategic balance maintained with ongoing West Arunta Niobium Project
Encounter Regains Full Ownership
Encounter Resources Limited (ASX: ENR) has announced that IGO Limited (ASX: IGO) has withdrawn from the Yeneena Farm-in joint venture, returning full 100% ownership of the Yeneena Copper Project to Encounter. This move marks a significant shift in control and strategic direction for Encounter, allowing the company to independently steer exploration efforts in one of Australia's most promising copper regions.
Exploration Focus on High-Grade Copper Zones
The Yeneena Project, situated in the highly prospective Paterson Province of northern Western Australia, has yielded encouraging technical data over the past six years under IGO's stewardship. Encounter plans to leverage this extensive dataset to refine exploration priorities, with particular emphasis on the BM1 copper prospect. BM1 is notable for its near-surface high-grade copper oxide mineralisation, including impressive drill intersections such as 20 meters at 2.0% copper and 10 meters at 6.8% copper. Encounter intends to test for depth extensions of this mineralisation and evaluate the potential for defining a near-surface resource.
Targeting the BM5 Copper Anomaly
In addition to BM1, Encounter will focus on the BM5 prospect, where recent aircore drilling identified a large copper leakage anomaly accompanied by elevated silver and palladium values. This anomaly, extending over a significant area, suggests the presence of primary copper mineralisation at depth, potentially associated with a synclinal geological structure. Follow-up drilling is planned to test this hypothesis, targeting the base of the carbonate in the faulted core of the syncline, a setting geologically analogous to the nearby Nifty copper deposit.
Strategic Portfolio and Market Context
Executive Chairman Will Robinson highlighted the timing of regaining full control as opportune, given the strong demand for Tier 1 copper assets globally. While Yeneena offers compelling upside, Encounter continues to prioritise its West Arunta Niobium Project, underscoring a balanced approach to its portfolio of critical mineral assets. The Paterson Province itself is a hotbed of copper-gold activity, hosting major deposits such as Greatland Gold's Havieron and Rio Tinto's Winu, which adds further context to Yeneena's potential.
Looking Ahead
Encounter's next steps involve detailed assessment of the technical data accrued during the farm-in period to design targeted drilling campaigns. These efforts aim to unlock the full potential of the Yeneena Copper Project, with a focus on resource definition and expanding known mineralisation zones. The company’s approach reflects a methodical and data-driven strategy, positioning it well to capitalize on copper market dynamics while managing exploration risks inherent in early-stage projects.
Bottom Line?
Encounter’s regained control of Yeneena sets a pivotal stage for advancing copper exploration amid rising demand for critical minerals.
Questions in the middle?
- What timeline will Encounter set for drilling and resource definition at BM1 and BM5?
- How will Encounter balance investment between Yeneena and its West Arunta Niobium Project?
- What impact will renewed exploration at Yeneena have on Encounter’s market valuation and partnerships?
