Aruma Resources Ltd (ASX:AAJ) has struck a binding deal to acquire a majority stake in the high-grade Tillex Copper-Silver Project in Ontario, marking a significant expansion into one of Canada’s most established mining regions.
The company has executed agreements to acquire an 85% interest in the Tillex project from Canadian explorer Metals Creek Resources, along with 100% ownership of adjoining patented claims, consolidating a substantially drill-defined copper sulphide system in the Tier-1 Timmins mining district.
Aruma said the acquisition aligns with its strategy of targeting advanced copper assets with clear growth upside in stable, mining-friendly jurisdictions, and comes against a backdrop of tightening global copper supply and rising long-term demand.
Regional location map showing Tillex Project within the Timmins mining district, Ontario, Canada.
High-grade, shallow copper with strong drill history
Tillex is a well-defined copper-silver sulphide deposit with more than 10,000 metres of historical diamond drilling completed by previous operators. Drilling has consistently delivered broad, shallow intersections of high-grade copper starting from around 25–30 metres below surface and extending to depths of about 150 metres.
Selected historic results include:
- 110m at 1.69% copper and 7.05g/t silver from 34m, including higher-grade intervals of 28.7m at 2.35% copper
- 98.2m at 1.82% copper and 13.17g/t silver from 35.8m
- 92.1m at 2.12% copper and 12.18g/t silver from 36.9m, including 29m at 3.26% copper and 20.92g/t silver
- A standout silver intersection of 5m at 355.3g/t silver from 89m
The mineralised system is defined over a strike length of roughly 450 metres and remains open to the north, south and at depth to the west.
Tillex Project map showing significant previous drilling intersections. Note: significant areas of interpreted strike extent to the north and south are not shown on the map area.
Patented ground simplifies development pathway
A key attraction of the project is its location on patented claims, giving Aruma full ownership of both surface land and mineral rights. This removes the need for landowner approvals to conduct on-ground exploration, with a First Nations agreement already in place over the Metals Creek-held tenure.
Aruma plans to pursue a dual exploration and resource development strategy, aimed at expanding the existing drill-defined footprint while working towards a maiden Mineral Resource Estimate.
Immediate exploration plans and local expertise
The company has expanded its technical team with the appointment of an experienced Canadian geologist as Tillex project manager, with field activities expected to commence immediately following completion of the acquisition.
Planned near-term work includes geophysical surveys, re-logging of existing drill core, and a phase-one diamond drilling program designed to test extensions along strike and at depth. Initial metallurgical test work is also planned as new core becomes available.
Managing director Grant Ferguson said the project stood out for its scale, geometry and growth potential.
“Aruma has continually assessed potential strategic growth opportunities, particularly in the copper space, with a specific focus on advanced assets which offer significant exploration upside in stable, operating mining-friendly jurisdictions,” he said.
“The Tillex copper sulphide project aligns perfectly with our strategic criteria, and we are delighted to have secured such a complementary and value-accretive asset to our portfolio,” he added.
“Copper is acknowledged as having a strong, robust long-term supply-demand outlook amidst growing demand in EVs, wind turbines, solar panels, along with AI data centres and in defence hardware and infrastructure, and declining global mine inventories. Against this backdrop, Aruma plans to rapidly advance the project.”
Ferguson added that the company sees potential for additional strata-bound or volcanogenic massive sulphide (VMS)-style mineralisation beyond the current drill coverage.
Diamond Drill Core showing high-grade massive chalcopyrite intersection from drill-hole TX25-034.
Strategic location in established copper camp
Tillex is located around 60 kilometres from Glencore’s Kidd Creek copper operation, one of the world’s largest VMS systems, and is serviced by sealed roads with access to power, water, and skilled mining personnel.
The project sits within the Archean Tisdale Volcanic Assemblage, a geological setting known for hosting significant copper and gold mineralisation across the broader Timmins district.
Acquisition structure
Under the binding agreement, Aruma will make an initial cash payment of C$100,000 and issue C$125,000 worth of shares to Metals Creek on settlement, with additional staged cash and share payments linked to timeframes and resource milestones. A 0.5% net smelter return royalty will also be granted, with an option for Aruma to buy back half.
The company will also acquire 100% of two adjacent patented claims for C$575,000 in cash, consolidating its land position around the Tillex system.
Aruma said the Canadian acquisition complements its existing Australian copper assets and positions the company to pursue near-term exploration success while advancing towards resource definition at a time of renewed investor focus on high-quality copper projects.