A Canadian copper company is bringing together a team of experts to take on the challenge of supplying the red metal needed for the energy transition. Find out which research firm ranked the stock as a top performer.
As copper prices continue to rise due to shortage fears, a Canadian copper company build a team of experts to meet the challenge of supplying the red metal necessary for the energy transition.
Based in Vancouver (WCU:TSX.V;WCUFF:OTCQX; 7LY0:FRA) is focused on the exploration and development of its copper porphyry projects in Arizona and Chile.
The technical advisory committee announced Monday that it will work on the development of the Zonia project in Arizona to guide development issues such as permitting, construction and project ramp-up.
Two members of the committee, mining executives Joe Phillips and Derek White, have been appointed, the company said.
“The copper market desperately needs cheaper, faster-to-market copper oxide projects like Zonia,” said Gord Neal, CEO of World Copper. “Both Mr. White and Mr. Phillips understand the exceptional value proposition this asset offers and they bring a great deal of knowledge and experience in efficient mine development and construction.”
One of the 5 best artists
Copper climbed above $10,000 a tonne on expectations of tighter supplies and growing consumption for its use in electric vehicles (EVs) and power grids.
“Copper prices have risen 17% this year on fears of shortages, with aging mines expected to struggle to keep pace with demand,” Mining.com reported.
Analysts at ANZ Group Holdings Ltd., including Daniel Hynes, told the site that supply growth was stagnating.
Taylor Combaluzier of Red Cloud Securities noted that Zonia “has a lot of untapped potential” for copper.
Taylor Combaluzier of Red Cloud Securities noted that Zonia “has a lot of untapped potential” for copper.
“It could either be developed rapidly for shorter-term production, or potentially expanded through exploration to increase the scale of the project,” Combaluzier wrote.
In March, WCU was named one of the top five performers of the week by Fundamental Research Corp. the equity research firm reported in its March 4 note, taking fifth place after a week-over-week (WOW) return of 17%.
An updated mineral resource estimate (MRE) filed for Zonia by World Copper has increased total resources by around 90% to around 198 million tonnes from a 2017 estimate, with contained copper increasing by 55% to reach approximately 1.03 billion pounds.
Escalones is approximately 100 kilometers from Santiago. Its PEA (preliminary economic assessment) estimates an inferred resource of 426 million tonnes of copper at 0.367%, containing 3,447 pounds of copper. Upcoming Catalyst Includes Preliminary Project
feasibility study (PFS) of the main Zonia deposit.
The catalyst: an “underestimated” critical mineral
Electric vehicles use more than three times as much copper, a preferred material for electric conductors, as gas cars. New copper production – and investment in exploration – will be needed to fuel the supply of these vehicles in the long term, analysts said.
BMI analysts estimate that copper deficits could grow at an extreme rate over the coming decade as the clean energy revolution takes hold, forecasting prices of $11,500 per tonne by 2032.
“Longer term, we expect the copper market to remain in deficit as the green transition accelerates and demand for 'green' metals, including copper, accelerates,” the company said. BMI analysts. according to Stockhead.
“Based on capital intensity data for the entire sector, we estimate that approximately $196 billion in investments will be required,” says a market analysis published by RFC Ambrian. “Of this amount, $80 billion is for greenfield projects and $116 billion is for brownfield projects, of which $71 billion is simply for replacement capacity. $35 billion in additional investment will be needed to fill the supply gap.”
A S&P Report called copper “one of the most underappreciated critical minerals.”
“Further electrification requires wires, and wires are primarily made from copper,” the report said.
Billionaire Robert Friedland, founder and co-executive chairman of Ivanhoe Mines Ltd., told Bloomberg that he feared that copper prices would eventually increase tenfold.
“We’re heading for a train wreck here,” he said.
New committee members
According to the company, Joe Phillips has “remarkable experience in achieving revenue, profit and business growth goals for mining and manufacturing companies in the United States and 10 other countries around the world. He has successfully constructed 14 mining projects in 11 different jurisdictions.”
He was COO of Minera Tres Valles in Chile, where he designed and implemented the upgrade and expansion of its SX-EW copper operation, and held senior management positions at Pan American Silver, Coeur Mining and Carpathian Gold.
Phillips holds an undergraduate degree from the Colorado School of Mines and a graduate degree in engineering management from the University of South Florida.
Derek White has more than three decades of experience in the mining and metals industry, World Copper said. He is currently the President and CEO of Ascot Resources Ltd. His career highlights include the development and construction of the Carlota copper oxide mine in Arizona, the Premier gold mine in British Columbia and the world-class Sierra Gorda mine in Chile.
He holds an undergraduate degree in geological engineering from the University of British Columbia and is also a chartered accountant, the company said.
Shareholding and sharing structure
Wealth Minerals Ltd. (WML: TSX.V; WMLLF: OTCQB) owns approximately 11.51% of World Copper. Around 27% is owned by management and insiders, including director Robert Kopple with 8.37% and chairman of the board Hendrik van Alphen with 1.14% or 3.25 million shares. CEO Neal owns approximately 0.96%. The rest is retail.
Its market capitalization is 26.88 million Canadian dollars. It has 178 million shares outstanding, including 126 million floating shares. It trades in a 52-week range of C$0.20 to C$0.055.
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- World Copper Ltd. is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee of between US$4,000 and US$5,000.
- As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their households) own securities of World Copper Ltd.
- Steve Sobek wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee.
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