Reward Minerals Targets High-Grade Copper in Newfoundland Acquisition
Reward Minerals has signed a binding Letter of Intent to acquire the Copper Lance Project in Newfoundland, a promising volcanogenic massive sulphide deposit with historic high-grade copper and silver results. The company plans to fast-track exploration to unlock value in this underexplored Canadian terrane.
- Binding LOI executed for 100% acquisition of Copper Lance Project
- Project covers ~71.7 km of prospective volcanogenic massive sulphide terrane
- Historic rock chip samples show copper assays up to 42% and significant silver and gold
- Vendors retain 1% net smelter returns royalty with buyback option
- Exploration program including soil sampling to commence November 2025
Strategic Entry into a World-Class Copper Province
Reward Minerals Limited (ASX, RWD) has taken a significant step in expanding its mineral development portfolio by signing a binding Letter of Intent to acquire 100% of the Copper Lance Project in central western Newfoundland, Canada. This acquisition positions Reward within one of the globe’s most prolific volcanogenic massive sulphide (VMS) provinces, a geological setting renowned for hosting over 40 base and precious metal deposits, including the world-class Ming Copper-Gold Mine operated by Firefly Metals Ltd.
Project Highlights and Historical Exploration
The Copper Lance Project spans approximately 71.7 square kilometers of contiguous mineral claims in an underexplored yet highly prospective terrane. Historical exploration efforts dating back to the 1980s have revealed compelling evidence of high-grade copper mineralisation, with rock chip samples returning assays as high as 42% copper, alongside notable silver and gold values. These samples were collected from bornite and chalcopyrite-rich veins, indicative of potential VMS feeder systems analogous to renowned deposits in the region.
Previous work has included geochemical soil sampling, geophysical surveys such as induced polarization and electromagnetic methods, and a single diamond drill hole that intersected low-grade copper mineralisation. Despite these early-stage investigations, the area remains largely untested by modern exploration techniques, presenting Reward with an opportunity to rapidly advance the project.
Favourable Location and Jurisdictional Advantages
Strategically, the Copper Lance Project benefits from excellent infrastructure access, situated near established towns like Deer Lake with an international airport and accessible via road. Newfoundland’s mining-friendly regulatory environment and relatively long field season further enhance the project's attractiveness for exploration and development activities.
Acquisition Terms and Future Plans
Under the terms of the agreement, Reward will acquire six mineral dispositions with an additional two claims to be transferred, totaling 92 claims. The vendors will retain a 1% net smelter returns royalty, with Reward holding the option to buy back half of this royalty for $750,000. The company has already made an initial cash payment and will issue 2 million fully paid ordinary shares to the vendors upon finalising the definitive agreement.
Reward plans to commence a comprehensive data compilation and a project-wide soil and rock chip sampling program starting mid-November 2025. These efforts aim to generate high-priority drill targets for testing in 2026, marking the beginning of a new exploration chapter for the company.
Broader Strategic Context
This acquisition complements Reward’s existing portfolio, which includes advanced-stage sulphate of potash technology and development assets in Western Australia. The company’s dual focus on base and precious metals exploration alongside innovative potash processing technology reflects a diversified growth strategy designed to create shareholder value across multiple commodities and jurisdictions.
Bottom Line?
Reward’s Newfoundland acquisition sets the stage for a pivotal exploration campaign that could redefine its growth trajectory in base metals.
Questions in the middle?
- How will Reward verify and build upon the historic high-grade copper assays with modern exploration?
- What timeline and budget has Reward allocated for drilling and resource definition at Copper Lance?
- How might the 1% net smelter returns royalty impact the project’s economics if a deposit is delineated?
