Castillo Copper Ltd (ASX:CCZ) is focused on restarting operations at the Cangai Copper Mine in New South Wales following the anticipated approval from regulators to resume exploration activities.
Following a recent meeting, Castillo’s board decided that a diversified project portfolio – geographically and in differing jurisdictions – is strategically imperative to transform into a primarily mid-tier copper group.
Within the current Australian portfolio, Cangai will remain the flagship project, followed by Mt Oxide in Queensland.
READ: Castillo Copper drill results feature 14.45% copper, 5.93% zinc and 40.1 g/t silver
The company has also decided that the best way to create value from the Broken Hill and Marlborough projects is to find strategic partners to develop the projects through to definitive feasibility study for a free-carried interest.
There are no immediate plans to develop the projects in Chile, however, the board has reviewed several highly prospective projects in the southern African copper-belt near major mines.
Cangai will be the core focus
Castillo chairman Peter Meagher said: “The team has worked tirelessly to ensure full compliance with regulatory demands and, once all issues relating to Cangai Copper Mine (CCM) are moving forward positively, then trading will resume.
“During this period, the board’s strategy has been revised, with the objective now to develop CCZ into a mid-tier copper group, diversified across several projects and jurisdictions.
“While CCM remains a core focus, the Mt Oxide project now offers potential exploration upside, given it is in a copper producing region.
“Further, the board has reviewed some highly attractive African projects in the heart of the southern copper-belt that are located near large scale operating mines.”
Next steps
The key focus is to secure regulatory approval to resume activities at CCM and fully develop the exploration plan for the Mt Oxide project.