Jubilee Metals has acquired two opencast copper mining operations in Zambia, highlighting its strategic focus on leveraging process capability to secure significant near-surface copper resources already in operation. CEO Leon Coetzer expressed confidence in the company’s continual progress as a diversified metals producer, noting that Zambia offers numerous similar resource opportunities that Jubilee is actively pursuing.
The company, listed on both Johannesburg’s AltX and London’s Aim, specialises in the recovery of metals from previously overlooked resources, such as unprocessed historical waste rock, run-of-mine materials, and tailings. This expertise underpins its integrated copper strategy in Zambia, where Jubilee is commissioning the upgraded and expanded Roan operations. To support this, the company has secured a further offtake agreement for stockpiled low-grade mined material and commenced preprocessing targeted feed material in preparation for an accelerated commissioning and ramp-up in July.
The acquisition of the two operating opencast copper mines will enhance Jubilee’s Sable refinery, aiming for an annual copper production target of 16,000 tonnes. The acquisition costs involve a combination of $0.25 million in cash and $1.5 million in shares for the first mine, targeting 25,000 tonnes per month of 3% to 4% copper. The second mine, targeting 20,000 tonnes per month within the same grade range, will be settled with $2.1 million worth of shares. Both mines have a life expectancy of over eight years.
Coetzer emphasised the team’s concerted efforts in reaching the critical point in the Roan upgrade’s commissioning, looking forward to completing the accelerated ramp-up of operations. The Roan upgrade and Sable refinery provide Jubilee with processing flexibility, allowing the pursuit of copper resources unlocked by these capabilities. This strategic acquisition not only exemplifies Jubilee’s process capability but also integrates a sustainable approach to mining and metal recovery, potentially driving future copper production beyond the initial 25,000 tonnes per year target.
Jubilee’s integrated copper strategy focuses on extracting value from materials often regarded by the industry as waste or too complex to process economically using traditional methods. The copper resources targeted include tailings, partially processed discarded low-grade materials, stockpiled low-grade material, and near-surface copper reef accessible through opencast mining. Zambia holds vast quantities of these resources, presenting Jubilee with the opportunity to upscale operations through targeted acquisitions.
The success in securing these resources enables Jubilee to transition Sable into a refiner for material from opencast operations, while the upgraded Roan will process mainly low-grade and previously processed materials. Sable and Roan will operate as independent entities, with Sable at full capacity from opencast operations, and Roan potentially trading its copper-bearing concentrate on the open market or expanding to incorporate downstream refining, depending on capital allocation. The combined processing capacity of 25,000 tonnes per year of copper will be achieved through Sable’s 16,000 tonnes and Roan’s 8,000 to 9,000 tonnes, depending on feed grades.
The Waste Rock Project, part of the low-grade material grouping, is executed in partnership with Abu Dhabi-based IRH and involves further resource drilling and process testing. Jubilee aims to establish a satellite upgrade facility near both operations over the next 12 months, aligning with its strategy to operate regional material upgrade facilities before refining.
Application for the acquisition shares will be made for trading on AltX and Aim around June 28. Jubilee’s production portfolio also includes chrome and platinum group metals in South Africa, bolstered by a pioneering technical development centre.
Jubilee Metals Group plc (LON:JLP) is a diversified metal recovery business with a world-class portfolio of projects in South Africa and Zambia. The Company’s expanding multi-project portfolio across South Africa and Zambia provides exposure to a broad commodity basket including Platinum Group Metals, chrome, lead, zinc, vanadium, copper and cobalt.
