Gunnison Copper Corp (TSX:GCU, OTCQB:GCUMF, FRA:3XS0) has reported a profitable first quarter as the company advanced development of its Arizona copper assets, highlighted by a new collaboration with Rio Tinto and Amazon Web Services and continued ramp-up activities at its Johnson Camp Mine.
The company reported revenue of $20.1 million for the three months ended March 31, with gross profit of $11.4 million and net profit of $1.7 million, or $0.004 per share.
During the quarter, Gunnison produced 2.1 million pounds of copper cathode and processed ore with an average copper grade of 0.36%.
The company mined 655,510 short tons of material during the quarter as it continued ramp-up and optimization activities at the Johnson Camp Mine. Gunnison said production at the operation is expected to reach nameplate capacity by the end of 2026.
Under the strategic collaboration with Rio Tinto and Amazon Web Services, the cloud giant will purchase copper produced using Nuton technology at Johnson Camp for use in US. data centers. The agreement also includes cloud-based data analytics support for bioleaching optimization.
Gunnison also eliminated all outstanding secured debt with Nebari, reducing a legacy balance from $15 million to zero, strengthening its balance sheet as it pursues an equity-based capital structure.
An updated preliminary economic assessment for the wholly owned Gunnison Copper Project outlined an after-tax net present value of approximately $2 billion at an 8% discount rate, an internal rate of return of 23% and a payback period of 3.9 years. The company cautioned the PEA is preliminary in nature, includes inferred mineral resources too speculative to be classified as mineral reserves, and that there is no certainty its conclusions will be realized.
Craig Hallworth was appointed president and CEO effective May 15.
Gunnison plans to advance pre-feasibility study work at the Gunnison Project, targeting completion in the first half of 2028, alongside key state permit amendments tied to its open pit development approach. The company is also advancing monetization of a $13.9 million 48C tax credit allocation, with proceeds expected by mid-2026.
Shares of Gunnison jumped over 14% on OTC Markets in the US and added around 1.2% in Canada on Thursday morning.