ALTA COPPER – ATTRACTING INTEREST AND FOCUSED TO DEVELOPMENT ALTA COPPER – ATTRACTING INTEREST AND FOCUSED TO DEVELOPMENT Alta Copper (ATCU) is developing the Canariaco copper project in northern Peru, a key area surrounded by major mining companies. The project includes
two main deposits :
Canariaco Norte with significant copper-gold resources and
Canariaco Sur with an inferred resource.
A third porphyry target, Quebrada Verde, is in close proximity to Norte and Sur and has the potential to add significantly to the already discovered 16 billion pounds of copper. A recent
Preliminary Economic Assessment (PEA) indicates strong potential for a major open-pit mine with substantial copper
($4/lbs), gold
($1850/oz), and silver
($23/oz) production, and a positive economic outlook with an after-tax
NPV(8%) of
$2.35 billion and a
24.1% IRR with a
payback in 3 years.
Current Copper Price: $4.24/lbs
Current Gold Price: $2550/oz
Current Silver Price: $30/oz
Alta Copper plans a significant drilling program in 2025 to explore and enhance their resources. Drill permits are expected to be in hand by the end of Q3-2024 or early Q4-2024. Fortescue is a major shareholder of Alta Copper and has taken a more active role to develop the Canariaco project in a more advanced capacity, recently stating:
“Fortescue has a 31 per cent stake in TSX listed Alta Copper and we are focused on advancing the Canariaco project in Peru." https://fortescue.com/what-we-do/our-operations/exploration Alta Copper has made significant advancements to derisk and prove the economic viability of the
Canariaco project which is attracting the attention of various investment banks and analysts.
Haywood Securities recently published a preliminary report titled “Time for Canariaco?” In the report, analyst Pierre Vaillancourt states:
“we believe supply in the copper market will remain constrained and that early development stage projects like Canariaco will be prioritized.” The
MINEM of Peru is prioritizing Canariaco as they understand the project will bring a substantial amount of tax revenue to the local community in the form of the
Tax Canon, thus, increasing the livelihood of the entire community. Recently
Romulo Mucho, Minister of Energy and Mines, stated:
“we must invest in copper development and investment such as Canariaco” https://youtu.be/qR-p_0lxZcQ?si=A9qraRdnFmQJsycA Dr. Robert J. McDonald, was recently appointed to Alta Copper’s Board of Directors and is an accomplished advisor, include serving as a ‘politically independent’ chief advisor to Peru's President on high-priority projects, demonstrating his ability to navigate complex political landscapes and drive large-scale initiatives forward from conceptual phases through to development, with a proven record of fast-tracking complex projects. Dr. McDonald has stepped into Alta Copper not to just sit on the board as an advisor, but to actively engage with stakeholders and the MINEM to move Canariaco diligently from feasibility to production. Feneck Consulting’s CEO, John Feneck, who is well known for his commentaries on
Kitco.com as well as his exemplary career with
Merrill Lynch (Blackrock), JP Morgan, Sprott and alike
has just recently taken interest in Alta Copper. Feneck has stated: Alta Copper is an undervalued opportunity in the copper space and is “mispriced” adding further that “Giulio Bonifacio sees the upside in copper, has skin in the game and is not selling (Alta Copper) for pennies on the dollar” https://www.youtube.com/watch?v=aIAUESJs7cY&t=884s With independent sources beginning to highlight Alta Copper, this type of interest will only increase in the weeks and months ahead. Is it
“Time for Canariaco”, the resounding answer is,
YES.
Alta Copper Valuation: 16 Billion pounds of copper at an average project price of 3 cents/lbs = $480,000,000 (US)
Canadian Dollars: $650,000,000 or $7.22/share
13x from current share price