News Summary
The most recent news, dated December 10, 2025, reports that ongoing drilling at the La Verde copper-gold discovery has confirmed a large, higher-grade core of mineralization extending from near-surface. The results suggest that previously separate higher-grade zones are converging into a single, larger body.
Key drill intercepts include:
– DKP005 (composite hole including an extension): 317m at 0.38% Copper (Cu) and 0.1 g/t Gold (Au) from 32m depth.
– The extension, DKP005D, returned intercepts of 47m at 0.57% Cu and 0.12 g/t Au.
The company’s Managing Director, Christian Easterday, stated this development is “material” and that the addition of a higher-grade starter pit at La Verde would be a “game changer for scale and economics” for the larger Costa Fuego project by strengthening the front-end of its 20-year mine schedule. Assays for six additional diamond drillholes are pending.
Material Impact
The December 10th news is a material and positive development that builds on a consistent stream of successful exploration results from the La Verde target throughout 2025. This news is not just an incremental update; it provides a crucial geological interpretation that has direct and significant economic implications.
– Progression of Discovery: The company’s exploration at La Verde has systematically advanced from an initial discovery (December 2024, February 2025) to defining a significant footprint (May 2025), and then to confirming high-grade potential with deeper diamond drilling (November 2025). The latest release confirms the convergence of these high-grade zones into a single core *and* its extension to near-surface.
– Economic Implications: The Costa Fuego Pre-Feasibility Study (PFS) from March 2025 defined a large, long-life asset but with a substantial initial capex of US$1.27 billion and a post-tax IRR of 19%. A key method to improve project economics is to mine higher-grade, easily accessible ore at the beginning of the mine life. This latest news directly points to that possibility. A “higher-grade starter pit” could significantly increase early-stage cash flows, shorten the capital payback period, and improve the project’s overall NPV and IRR, making it more attractive to potential strategic partners.
– De-risking and Confirmation: This news strongly supports the company’s thesis that La Verde can be a valuable satellite deposit for Costa Fuego. It turns the conceptual upside mentioned in the PFS into a more tangible and defined target. The CEO’s “game changer” comment, while promotional, is grounded in the reality of what a high-grade starter pit means for mine economics. The market’s positive reaction to La Verde news since April, which has driven the stock from A$0.34 to over A$1.00, indicates that this is the story investors are focused on. This release provides further validation for that rerating.
In the context of the historical news, this announcement is a key milestone. It elevates La Verde from a promising discovery to a potential value driver that could materially enhance the entire Costa Fuego project.
Catalysts
– Immediate: Assay results from the six pending diamond drillholes at La Verde. Positive results would further confirm the size and grade of the newly defined core.
– 3-6 Months: The single most important upcoming catalyst is the Maiden Mineral Resource Estimate (MRE) for La Verde. This will quantify the discovery and is a prerequisite for economic studies.
– 3-6 Months: An updated economic study for Costa Fuego (either a PFS update or the start of a Definitive Feasibility Study) that incorporates the La Verde resource. This will be the ultimate test of the “game changer” thesis.
– 3-6 Months: Updates on the strategic partnering process for funding the Costa Fuego development. The de-risking of La Verde should make these discussions more fruitful.
Materiality Conclusion
The news is Material – Positive. It confirms a critical geological development—the convergence of mineralization into a single, near-surface, higher-grade core—that has the clear potential to significantly improve the financial metrics of the company’s flagship Costa Fuego project. It represents a major de-risking event for the key exploration upside story.
