Midnight Sun Mining Corp (TSX-V:MMA, OTCQB:MDNGF) revealed a collaboration with First Quantum Minerals (TSX:FM) aimed at delineating potential feed sources for First Quantum's SX/EW oxide copper circuit at the Kansanshi Mine in Zambia.
In a statement Tuesday, Midnight Sun said it will work closely with First Quantum to assess the grade and metallurgical properties of various oxide ore types.
Midnight Sun’s main project is the vast 506 square kilometre Solwezi project in Zambia, located near Kansanshi.
Exploration efforts targeting oxide copper deposits within the Solwezi project are scheduled to commence in the second quarter of 2024, the company said.
The initial phase will concentrate on the Kazhiba Dome area, which has yielded promising results from previous drilling, including intercepts of 14.2 meters at 5.71% copper (Cu), 24 meters at 3.15% Cu, and 8 meters at 5.14% Cu.
Previous studies of Solwezi have identified multiple zones rich in high-grade oxide copper mineralization.
The collaboration with First Quantum opens avenues for Midnight Sun to evolve into a near-term producer, CEO Al Fabbro told investors.
Fabbro explained that, by using oxide copper ore from Solwezi, First Quantum may be able to enhance feed grades and utilize sulfuric acid produced by their on-site smelter.
That would position Midnight Sun to receive “significant near-term positive cash flow” from the throughput of material, Fabbro told investors.
“We are thrilled to have found a win-win situation that represents such significant benefits to both Midnight Sun and First Quantum,” the CEO added.
Midnight Sun is set to embark on a comprehensive exploration drive across multiple sectors of the Solwezi project. The phased approach is set to kick off at the Kazhiba Dome, strategically positioned near the Kansanshi Mine gate.