Cobre Raises AU$1.68M as Copper Leach Tests Hit 82% Recovery at Botswana Project

Capital Raising and Corporate Developments

Cobre Limited (ASX, CBE) has successfully raised AU$500,000 through a two-tranche placement priced at $0.04 per share, complemented by a Loyalty Options Offer expected to raise up to AU$1.18 million. The first tranche was subscribed by a mining-focused family office, while the second tranche, fully taken up by major shareholder Strata Investment Holdings Plc, awaits shareholder approval at an upcoming Extraordinary General Meeting. These funds are earmarked to support ongoing exploration and development activities across Cobre’s Botswana and Australian projects.

Ngami Copper Project, Metallurgical Breakthroughs and Drilling Progress

At the heart of Cobre’s portfolio, the Ngami Copper Project in Botswana delivered compelling metallurgical results during the quarter. Long-term in-situ copper recovery (ISCR) leach tests conducted over 17 weeks demonstrated exceptional copper recoveries reaching up to 82%, with all samples surpassing minimum recovery thresholds. This promising outcome underpins the economic potential of the ISCR process, which is noted for its relatively low capital and operating costs.

Complementing these results, a 3,420-metre infill diamond drilling program at the Comet Target has been completed, with assay results confirming consistent copper grades averaging around 0.5% to 0.6% copper alongside silver credits. These results bolster confidence in the continuity and grade of mineralisation, exceeding previous estimates and comparing favourably with similar ISCR projects globally.

WSP Australia has been engaged to prepare a Mineral Resource Estimate (MRE) for the Comet Target, anticipated for release in August 2025. Concurrently, Loci Environmental has been appointed to conduct an Environmental Impact Assessment (EIA), a critical step towards securing permits for the planned ISCR pilot plant and eventual production.

Kitlanya Projects, Deep Drilling and Seismic Surveys Under BHP Partnership

Exploration at the Kitlanya Projects continues under a US$25 million earn-in agreement with BHP. The current phase involves deep diamond drilling targeting seismic anomalies identified in earlier surveys, aiming to delineate large-scale mineral systems at depths exceeding 1,000 metres. Preparations for a second phase of seismic surveys are underway, with field activities expected to commence in September 2025. These efforts are designed to unlock the deeper geological architecture and enhance the prospectivity of the Kitlanya tenure.

Australian Projects, Perrinvale and Tenement Rationalisation

In Western Australia, beneficiation and thermal testing of the Perrinvale High-Purity Quartz (HPQ) project have yielded encouraging results, demonstrating the potential to produce a high-purity silica product suitable for furnace feedstock. Following a strategic review, Cobre has rationalised its tenement holdings to focus on the most prospective areas, surrendering several licences to optimise capital allocation. The company is assessing transport logistics to determine market viability for the HPQ product.

Meanwhile, the Mt Sandiman Project, where Cobre holds a 51% interest, received an extension of its exploration licence term during the quarter, though it is not considered a material asset in the company’s portfolio.

Financial Position and Outlook

Cobre’s exploration expenditure for the quarter totaled approximately AU$1.66 million, primarily directed towards Botswana projects. Corporate payments included AU$140,000 in director and executive fees. The company ended the quarter with AU$463,000 in cash and has outlined several funding sources to sustain operations, including the recent capital raise, BHP management fees, and expected R&D tax rebates. Management affirms confidence in continuing operations and meeting business objectives based on these financial measures.