Anax Metals corporate update on Whim Creek Copper Project

Anax Metals Limited (ASX: $ANX) has provided a corporate update on its strategy focused on the recommencement of production at the Whim Creek Copper Project. The Project, located 115km southwest of Port Hedland in the West Pilbara region of Western Australia, is 80% owned by Anax with the remaining 20% owned by Develop Global Limited (ASX: DVP, Develop). The strengthening copper prices have enhanced the Whim Creek economics by 32%, providing a Pre-Tax NPV7 of $357M and IRR of 74%. The planned 8-year mine life is expected to generate approximately $520M in free cash, with potential to increase open pit mine-life and cashflow through re-optimisation at higher commodity prices. Additionally, exploration for copper resource extension at Evelyn and Salt Creek, as well as studies for the regional processing hub strategy, are underway.

Anax's Managing Director, Geoff Laing, on Whim Creek asset and market positioning

The Whim Creek asset continues to shape up as a strategic processing hub for the Pilbara. The recent increase in copper and other key metal prices has significantly enhanced project financial metrics. Anax is ideally positioned to benefit from the positive momentum building in copper demand on the back of its critical role in electrification and green technologies. The team has worked diligently to ensure the Whim Creek asset is ready for near term production of key energy metals while establishing a platform for growth through the processing hub and resource extensions.

Summary of Anax Metals corporate update

Anax Metals has reported a 32% improvement in the Whim Creek economics, driven by strengthened copper prices, with a Pre-Tax NPV7 of $357M and IRR of 74%. The planned 8-year mine life is expected to generate approximately $520M in free cash, with potential to increase open pit mine-life and cashflow through re-optimisation at higher commodity prices. The company's corporate strategy includes prioritizing exploration for copper resource extension at Evelyn and Salt Creek, as well as commencing studies for the regional processing hub strategy. Anax's Managing Director, Geoff Laing, highlighted the company's positioning to benefit from the positive momentum in copper demand and the readiness of the Whim Creek asset for near term production of key energy metals, while establishing a platform for growth through the processing hub and resource extensions.