Cyprium Metals nears first Nifty copper cathode in September quarter Proactive uses images sourced from Shutterstock
Cyprium Metals Ltd (ASX:CYM, OTCQB:CYPMF) closed the September quarter with commissioning underway for the Phase 1 restart of the Nifty Copper Complex in Western Australia, bringing the project to the threshold of first copper cathode production.
Heap leach operations commenced during the quarter for the first time in almost 20 years, while refurbishment and commissioning progressed across the solvent extraction and electrowinning plant.
Cyprium expects first copper cathode production during wet commissioning and ramp-up, with a post-quarter funding package of up to A$83 million providing additional support for the next stages of Nifty’s development.
The company ended September with A$37.6 million in cash.
Nifty moves into commissioning
Cyprium’s Phase 1 restart targets cathode production capacity of about 6,000 tonnes per annum from the existing heap leach and SX-EW infrastructure.
During the quarter, the company moved from construction towards commissioning across the ponds, heap leach pads, solvent extraction plant and electrowinning circuit.
Acid solution was introduced into the existing heaps as part of initial leaching activities, with sulphuric acid deliveries to Nifty now underway.
The company has installed 212 production and monitoring wells across the heap leach area as part of its direct injection leaching strategy.
The initial production area provides access to around 1.7 million tonnes of material, which Cyprium expects will support approximately six to eight months of leaching at projected recoveries.
Commissioning demonstrated injection flow rates in line with company targets, while early observations indicated encouraging copper-to-acid ratios and rapid leaching kinetics.
SX-EW plant approaches wet commissioning
Mechanical refurbishment of the solvent extraction plant was substantially completed during the quarter, allowing dry and water-based commissioning to begin.
Piping, pumps and tanks across the main solvent extraction circuits have been installed and tested, with motors and associated equipment undergoing commissioning ahead of the introduction of reagents.
The electrowinning plant was also substantially mechanically complete.
Installation of anodes was around 80% complete at the time of reporting, while refurbishment of the circulation system, stripping machine, cathode handling equipment and control room continued.
High-voltage power infrastructure has been installed between the power plant and SX-EW area.
Some commissioning activity was delayed after existing high-voltage components failed during testing, requiring replacement equipment, although Cyprium progressed other pre-commissioning work using auxiliary power.
The rectiformer was installed and moving towards energisation after quarter-end.
Nifty growth strategy takes shape
Beyond the Phase 1 restart, Cyprium is assessing expansion of the SX-EW plant towards capacity of approximately 20,000 tonnes of copper cathode annually.
The expansion would require additional copper-bearing leach feed, with Cyprium assessing several potential sources.
These include accelerated leaching from the existing heaps, shallow oxide material within the proposed Nifty open pit and copper oxide mineralisation identified within historical waste dumps.
Direct injection commissioning has indicated the potential to deliver pregnant leach solution volumes above the processing capacity of the refurbished B-Train, strengthening the case for future SX-EW expansion.
Cyprium is also undertaking further drilling and mine planning on shallow open-pit oxide material, with updated Nifty Mineral Resources and Ore Reserves targeted during the first half of 2027.
Open-pit DFS advances
Work continued on a Definitive Feasibility Study for activation of a new open-pit mine and restart of the concentrator.
Completion of the DFS is targeted for the first half of 2027.
The study is assessing opportunities to improve speed to revenue and capital efficiency compared with the 2024 pre-feasibility study.
Around 10,000 metres of drilling is supporting the DFS, including resource infill, geotechnical and metallurgical holes.
The program will also help refine the oxide, transitional and sulphide domains to support mine planning and selection of processing routes.
Exploration continues
Cyprium continued exploration alongside the Nifty restart.
The first of six diamond holes targeting down-plunge extensions of the Nifty deposit were completed during the quarter, with assays pending.
Preparation also commenced for an aircore drilling program across the broader Paterson portfolio targeting prospective Broadhurst Formation and Lamil Group geology.
At Rainbow, further RC drilling is planned to test strike extensions and targets associated with the Vines Fault.
Cyprium is also continuing to assess the Maroochydore Copper-Cobalt deposit as a potential future feed source for a broader Paterson hub-and-spoke development strategy.
Funding strengthened after quarter-end
Cyprium ended September with A$37.6 million in cash.
Net operating cash outflow was A$7.7 million, while net investing cash outflow totalled A$23.1 million.
This included A$28.8 million invested in Nifty property, plant and equipment and A$1.4 million in exploration and evaluation, partly offset by A$7 million from the sale of marketable securities.
After quarter-end, Cyprium announced a funding package of up to A$83 million, comprising a A$21 million placement, a A$5 million Share Purchase Plan and a proposed US$40 million extension to its existing senior secured debt facility.
The additional capital is intended to support the Nifty open-pit DFS, expansion of SX-EW capacity above 20,000 tonnes per annum and early works and enabling infrastructure.
Next steps
Cyprium’s immediate priority is completing wet commissioning of the Nifty SX-EW plant and producing first copper cathode.
The company will then ramp up Phase 1 operations while progressing engineering and planning for a potential expansion in cathode capacity.
Work will also continue on the open-pit DFS, updated Mineral Resources and Ore Reserves, oxide feed opportunities and exploration across the wider Nifty and Paterson portfolio.
