Orion on track to achieve first copper sales in 2025

Copper developer Orion Mineral said it hopes to achieve its first copper sales from its development projects in SA in 2025.

In its interim results for the six months to end-December, published on Wednesday, the company said it had “successfully navigated a pivotal developmental stage”.

“The company has transformed from being a pure explorer and feasibility study executioner to being a mining company actively developing an operational underground mine,” it said.

Orion is developing two copper mining projects in the Northern Cape: its flagship Prieska Copper-Zinc Mine and the Okiep Copper Project.

Trial mining has begun at Prieska with copper ore from that already being stockpiled on the surface at the mine.

At the Okiep Copper Project, Orion said it was finalising the bankable feasibility study for the Flat Mines area.

As previously reported in Business Day, land access negotiations were concluded in January, resulting in Orion acquiring a key 12,156ha surface right covering the area, which is the focus of the intended initial mining in the area.

“Orion is now able to access sites, not previously accessible to undertake a validation drilling programme, to verify the historical data that underpinned the mineral resource estimates at the Flat Mines east, north and south deposits and to further derisk the study,” the company said. The feasibility study is scheduled for completion within this reporting period.

Work was also progressing at Orion’s third project, Jacomynspan Battery Metals in the Northern Cape, where it is planning a trial mining programme.

The company, which has a primary listing on the Australian ASX and a secondary listing on the JSE, is also progressing with exploration work in Western Australia for nickel, copper and cobalt discoveries.

The group reported an operating loss of A$5.65m (R70m) for the period, narrowing the A$7.46m (R92m) loss recorded in the corresponding six-month period.

Headline losses per share improved by 14 Australian cents (R1.73) to 8c (R1) per share.

Orion said the operating loss was primarily driven by contractor and adviser expenses, exploration expenditure and finance income.