FLAGSHIP MINERALS Ltd (ASX:FLG) has moved to add copper exposure to its portfolio with the acquisition of the Whipsaw Copper Project in British Columbia, Canada.
The acquisition gives shareholders exposure to the copper thematic alongside the company’s flagship 2.1-million-ounce Isidora Gold Project in Chile.
Whipsaw is a large-scale porphyry copper project around 17 kilometres west of Hudbay Minerals’ Copper Mountain Mine and 160 kilometres east of Vancouver, in one of Canada’s leading mining jurisdictions.
Large-scale exploration target
Historical drilling, geological mapping, soil geochemistry and geophysical surveys have defined a substantial JORC 2012 Exploration Target across a mineralised system extending about 3.7 kilometres of strike and up to 1.2 kilometres in width.
The Exploration Target ranges from 510 million tonnes to 1.02 billion tonnes grading 0.2% to 0.4% copper equivalent.
Flagship said the system remained open, offering potential for expansion through future exploration.
Copper thematic
The company said Whipsaw provided exposure to a long-term copper market supported by declining global grades and increasing difficulty in making new large-scale discoveries.
“We are extremely pleased with the agreement we have struck to acquire the Whipsaw Copper Project, positioning Flagship with a drill supported Exploration Target of 0.51Bt to 1.02Bt at 0.2% to 0.4% copper equivalent,” Flagship Minerals managing director Paul Lock said.
“Whipsaw provides Flagship’s shareholders with exposure to one of the strongest long-term commodity themes in the market.
“As global copper grades decline and new discoveries become increasingly difficult to find, we believe large-scale copper projects in Tier-1 jurisdictions will become increasingly valuable.”
Potential ASX copper vehicle
The project offers the potential for a future spin-out into a dedicated ASX-listed copper vehicle, subject to shareholder and regulatory approvals.
The acquisition adds a large-scale copper opportunity in Canada to Flagship’s existing gold focus in Chile, positioning the company across two key commodities with long-term demand drivers.