Nov 4, 2024

Prospect Resources Hits 36.1m @ 0.95% Cu at Nyungu Central, Mumbezhi Copper Project, Zambia

Introduction:

Prospect Resources Limited (ASX:PSC) has reported significant copper intercepts from its Phase 1 diamond drilling program at the Nyungu Central deposit within its Mumbezhi Copper Project in Zambia, highlighted by 36.1m at 0.95% Cu from 381.0m.

Drill Results:

36.1m @ 0.95% Cu from 381.0m (extending mineralization down dip) (NCRD004R)
17.0m @ 0.88% Cu from 59.0m (extending oxidized/transitional mineralization) (NCRD004R)
35.0m @ 0.84% Cu from 60.0m (NCRD006)
31.2m @ 0.60% Cu from 177.0m and 23.0m @ 0.78% Cu from 71.0m (NCRD007)
26.0m @ 0.53% Cu from 177.0m (northernmost hole to date) (NCRD005)

Project Overview:

The Mumbezhi Copper Project is situated in the world-class Central African Copperbelt region of north-western Zambia. It is located on a single Large Scale Exploration Licence covering approximately 356 km2. The project lies approximately 40km southwest of Barrick Gold's Lumwana Copper Mine in a similar geological setting.

Prospect Resources is currently focused on extending the mineralized footprint of the key Nyungu Central deposit through its Phase 1 drilling program. The company aims to declare an initial JORC-compliant Mineral Resource estimate for the Nyungu deposits in Q1 2025.

Program Details:

The Phase 1 program has been expanded to approximately 8,500m of drilling, with four diamond drill rigs currently operating on site. As of October 29, 2024, 34 mixed RC and diamond drill holes totaling 5,797.3 meters had been completed. The program is targeting extensions to the Nyungu Central deposit along strike, down dip, and down plunge of the historically defined sedimentary-hosted copper mineralization.

Understanding These Results:

The new results demonstrate significant down dip extensions to sulfide mineralization at Nyungu Central, increasing the deposit's strike length plunging north. The drilling has led to a reinterpretation of the geological model as a series of stacked tabular zones of mineralization, more typical of projects in the Zambian Copper Belt.

Importantly, the results confirm a significant broadening of the Nyungu Central deposit, with potential for further strike, plunge and dip extensions. The stacked lodes remain open in multiple directions and are currently only limited by the extent of drilling conducted to date.

Management Commentary:

Sam Hosack, Prospect's Managing Director and CEO, stated:

"We have very high conviction on this asset as having potential to be of large scale and recent drilling has led to an exciting reinterpretation of the geological model as one showing a series of stacked tabular zones of mineralisation and more typical of projects in the Zambian Copper Belt. Importantly, recent results also confirm a significant broadening of the Nyungu Central deposit, including potential for significant further strike, plunge and dip extensions. The stacked lodes of Nyungu Central remain wide open in multiple directions and are currently only limited by the drilling conducted to date." (quote continues)

Next Steps & Catalysts:

Prospect will continue its Phase 1 drilling programs at Nyungu Central and the Kabikupa prospect until seasonal rains make it unsafe to continue. A backlog of drill core for logging, sampling, and dispatch is expected heading into the wet season, with ongoing flow of new assay results anticipated through Q4 2024 and into Q1 2025.

The company is on track to publish a maiden JORC-reportable copper Mineral Resource estimate for the Nyungu deposits during Q1 2025. Development activity workstreams are progressing to enable submission of an application for a Large Scale Mining License over the entire Mumbezhi Project tenement later this year.

Commodity Outlook:

Copper is widely seen as a critical green-energy transition material, particularly due to its use in electric vehicles and renewable energy infrastructure. With electric vehicles using up to 80kg of copper, four times that of combustion engine vehicles, demand for the metal is expected to remain strong as the world transitions to cleaner energy sources.

Conclusion:

The latest results from Mumbezhi demonstrate significant potential to expand the current resource base at Nyungu Central. With mineralization remaining open in multiple directions and regional exploration ongoing, the project continues to demonstrate characteristics of a substantial copper system with strong growth potential in the prolific Zambian Copper Belt.

Sources:

PSC Drill Results Announcement

Additional Figures:

Australia

ASX

Rare Earths

Nov 4, 2024