Latest news with #PCZM
IOL News
31-07-2025
- Business
- IOL News
Orion Minerals accelerates funding as it aims for copper production by 2026
The Prieska Copper Zinc Mine (PCZM) is the centrepiece of Orion's future-facing metals portfolio. Orion's latest capital raise comprised of a placement of 289 million shares and an agreement to convert outstanding loan amounts to equity through the issue of 233 million shares for R67 million. Image: Supplied Tawanda Karombo Northern Cape base metals developer, Orion Minerals, is now focused on project financing and concentrate offtake agreements following share placement and share purchase schemes this month as the company further develops its copper projects. Orion's latest capital raise comprised of a placement of 289 million shares and an agreement to convert outstanding loan amounts to equity through the issue of 233 million shares for R67 million. Additionally, the copper mine is undertaking a share purchase plan 'to be offered to provide eligible shareholders with the opportunity to subscribe for as much as R355 000 in in new shares' to raise A$4 million. The share purchase plan opened this month and will close next week. Funds raised from the share placement and share purchase plan 'will be used principally to partially fund the development' of Orion's Prieska Copper Zinc Mine. This includes ongoing dewatering and site works for mine development optimisation studies and for general working capital purposes. After completion of these capital raise exercises, Orion is shifting focus over the next few months to finalising project financing. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. 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Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ 'Key focus areas for the coming months: Our immediate priority is to finalise project financing and a concentrate offtake agreement for the Uppers. In parallel, work on project execution will gain momentum in the September 2025 quarter,' said Orion on Wednesday. Tony Lennox, the company's CEO said the company was keen to move into 'a project execution phase,' specifically at the Prieska Copper Zinc Mine. 'Our pre-eminent agenda is achieving first concentrate production from Phase 1 (Uppers) at PCZM and dewatering the mine and completing other early works to prepare for development of Phase 2 (Deeps). Our goal is to have first concentrate production from the Uppers by Christmas 2026,' said Lennox. The company was also concurrently viewing the definitive feasibility study for its Flat Mines project as a baseline that requires further optimisation over the coming months. 'In my first three months as CEO at Orion, I have been impressed by the upside potential at both PCZM and Okiep, and within Orion's regional portfolio. A review of near-term and medium-term exploration upside for both PCZM and OCP is underway,' explained Lennox. After the release of a definitive feasibility study for Prieska Copper Zinc Mine and the Okiep Copper Project Flat Mines Project in March, Orion has been concentrating on developing a project development and execution strategy as well as sourcing the required funding to enable the development of the projects over the quarter period to the end of June. Orion intends to get the Uppers project of the Prieska Copper Zink Mine into production speedily, transitioning Orion into a producing mining company. Subsequently, the first bulk concentrate from the Uppers is planned to be 13 months after finalising funding, with Deeps concentrate expected 29 months later. Funding discussions with the Industrial Development Corporation were ongoing, with processes underway to select service providers for the provision of renewable energy in the form of solar PV and battery-energy-storage. BUSINESS REPORT
IOL News
08-07-2025
- Business
- IOL News
Orion Minerals raises capital to advance Prieska Copper Zinc Mine development
The Prieska Copper Zinc Mine is the centrepiece of Orion's future-facing metals portfolio. Image: Supplied Orion Minerals' share price shot up 7.1% on the JSE Tuesday morning after it announced plans to issue shares and raise about R67 million to further its Prieska Copper Zinc Mine (PCZM). The funds raised from the placement and share purchase plan will be used mainly to partially fund the development of the Uppers at the PCZM, including ongoing dewatering and site works; for mine development optimisation studies, and ongoing site works at the Okiep Copper Project, the Australia and Johannesburg-listed company said in a notice Tuesday. The funds will also be used for general working capital purposes, including work associated with the finalisation of off-take related funding for the development of PCZM. Typically, company share prices fall when a share issue-for-cash is announced, so the higher share price indicates investor confidence in the mining development company's prospects. The share price had gained over 7% to 14 cents on the JSE by Tuesday midday. The price has nevertheless fallen from 20 cents a year ago. The capital raise entails the issue of 522 million shares to investors. There are some 6.85 billion shares in issue. The mine in June hosted Mineral and Petroleum Resources Minister Gwede Mantashe at Orion's flagship PCZM, as it progresses towards becoming a copper and zinc producer. The visit had followed the release of the PCZM Definitive Feasibility Studies in March, which outlined a two-phase development strategy to de-risk the mine's development strategy and accelerate value creation. The company said in a statement at the time that this plan should deliver first production of the Upper-level phase within 13 months of the start of construction. Orion had delivered positive studies for both PCZM and the Flat Mines Project at Okiep. The company said on its website that PCZM had the potential to become a long-life, financially robust mining operation with an annual steady-state production of 22 kilotons of copper and 65 kilotons of zinc. Orion's former MD and CEO Errol Smart said in the quarterly report to the end of December 2024, that: '2025 is set to be a big year for Orion as we transition from being explorers to becoming mine developers.' During the December 2024 quarter, good progress was made on the Definitive Feasibility Studies (DFS) for both PCZM and the project in Okiep. Both studies were then released at the end of the quarter to March 2025. 'Both studies delivered favourable outcomes, confirming the ability to deliver safe, modern, and fully mechanised copper mines,' the company's new MD and CEO Tony Lennox said in its March quarterly Activities Report. At that time, the company said its key focus areas for the coming months were project financing; project implementation planning; concentrate off-take negotiations; agreements with service providers for key early works activities and long-lead time items.
