JUNIOR miner Copper360 has reported better-than-expected copper recovery grades and faster recovery times from test work on drill cores taken at its Rietberg copper mine near Springbok in the Northern Cape.
This material is forecast to be treated from October/November this year once Copper360’s new processing plant on the site of the former Okiep mine at Nababeep has been commissioned and “will directly impact the bottom line”, according to Copper360 CEO Jan Nelson.
“What it means is that we will be recovering more copper more quickly and delivering a higher grade of copper concentrate to our customers,” Nelson commented.
Copper360 listed on the JSE’s AltX sector on April 21 and the share price had a volatile ride before settling down to levels around 400c which Nelson reckons is currently “fair value” for the company.
“The share price shot up initially to as high as R20/share before falling back to current levels but those initial high prices were reached on very thin trading volumes. What is encouraging now is that the share is trading on pretty large daily volumes and I am elated overall with the success of the listing,” said Nelson.
“Like all mining shares Copper360 is a medium to long-term play. I believe there will be significant gains over the next two to three years but, if you are the kind of investor looking for short term gains over a month or so, then you should rather go and spend your money on the slot machines at Sun City.”
Nelson stands by his previous optimistic comments on the benefits of operating in South Africa despite the country’s numerous problems such as Eskom load-shedding as well as the on-going political uncertainty.
“The biggest problem in my life right now is the heavy rains we have been having in the Northern Cape over the past two weeks. That’s not supposed to happen and it is giving me issues with wet ore going into the plant.
“I believe there’s a good focus from the Government on developments in the Northern Cape and I am happy operating in South Africa.”
