ALTA COPPER – TAKEOVER ON THE HORIZON 2024ALTA COPPER – TAKEOVER ON THE HORIZON 2024
The price of copper has been gaining momentum and is trading well above $4.50/lbs, currently at $4.65/lbs. Gold is also climbing, as it is well above $2300/oz and is currently at $2375/oz.
With the price of copper and gold climbing, Alta Copper’s assets are in focus as majors looking to increase their copper exposure are highly interested; large birds are circling.
Fortescue, Alta Copper’s primary partner, is eager to develop the Canariaco trifecta and is engaged to move the project forward for all stakeholders. With drilling to commence in 2024 it is clear that the value of Alta Copper’s assets are going to increase. A takeover of Alta Copper prior to drilling by either Fortescue (most likely) or another mid to large cap miner is likely.
Why is a takeover likely before drilling?
Simple answer, drilling will confirm that Alta Copper has more copper, gold, silver and molybdenum. It is financially prudent for an acquirer to make an offer before Alta Copper quantifies the increase in their resources from drilling. An offer after drilling will cost the acquirer more.
Alta Copper is one of the few juniors that has one of the largest proven porphyry deposits not held by a major miner. There are two resources currently discovered and one target soon to be drilled. The quantities below will only increase after drilling.
1. Canariaco Norte Resource Measured & Indicated:
9.3B lbs Cu (copper)
2.14M oz Au (gold)
59.4M oz Ag (silver)
Canariaco Norte Resource Inferred:
2.7B lbs Copper
0.54M oz Gold
18.1M oz Silver
2. Canariaco Sur Resource Inferred:
2.2B lbs Copper
1.2M oz Gold
15.0M oz Silver
18.9M lbs Molybdenum
3. Quebrada Verde:
High potential copper gold porphyry target with strongly anomalous levels of copper and gold ready for drilling.
Combined Metal Totals:
Copper = 14.2 Billion lbs
Gold = 3.3. Million oz
Silver = 33.1 Million oz
Molybdenum = 18.9 Million lbs
Alta Copper Target Price: $6.00/share
Opportunity: 10x current share price
90,000,000 shares outstanding x $6/share = $540,000,000 market capitalization
* Target price calculation is based on the size of Alta Copper’s current resources and does not include additional drilling results at Norte, Sur or Quebrada Verde. Comparable projects of grade, size and location have been considered including recent copper acquisitions.
News coming soon…