Infinity Mining's Cangai Copper Project Acquisition Approved by Shareholders
INFINITY MINING LIMITED (IMI) Share Update December 2024 Sunday 1st
Infinity Mining Secures Approval for Cangai Copper Project Acquisition
Infinity Mining Limited (ASX: IMI) has successfully obtained shareholder approval for its acquisition of the Cangai Copper Project, marking a pivotal step in its expansion strategy.
Instant Summary:
- Shareholders approve acquisition of Cangai Copper Project.
- Infinity to issue shares and options to Castillo Copper and royalty holders.
- Extensive exploration program planned for Cangai site.
- Focus on high-grade copper, gold, and silver production.
Acquisition Details
Infinity Mining Limited announced that its shareholders have approved the acquisition of the Cangai Copper Project from Castillo Copper Ltd. This decision was made at the General Meeting held on 28 November 2024. The project includes exploration tenements EL8625, EL8635, and EL8601, located in New South Wales, Australia.
The Cangai Copper Project is historically significant, having produced approximately 5,000 tonnes of copper with grades up to 7-10% between 1904 and 1917, along with gold and silver. Infinity Mining plans to issue 40,000,000 shares and 20,000,000 new options to Castillo Copper as part of the acquisition agreement. Additionally, 30,000,000 shares and 15,000,000 new options will be issued to royalty holders.
Exploration and Development Plans
Infinity Mining is committed to advancing the Cangai Copper Project with a comprehensive exploration program. This will include using advanced geophysical methods like Downhole Electromagnetic (DHEM) and Fixed Loop Electromagnetic (FLEM) surveys to identify both known and new mineralization targets.
The company aims to update the Mineral Resource Estimate and move towards production readiness by conducting further drilling to assess high-grade ore zones and additional metallurgical test-work to optimize recovery rates. Infinity Mining's strategy is to unlock the significant value of the Cangai Copper Project and bring it to production in the near term.
The acquisition of the Cangai Copper Project is expected to significantly enhance Infinity Mining's portfolio, providing new growth opportunities in the copper sector. This move aligns with the company's strategic focus on high-grade resources and could positively impact its stock price as investors anticipate increased production and revenue potential.
Investor Reaction:
Analysts are likely to view this acquisition as a positive development for Infinity Mining, given the project's historical production and high-grade resource potential. The market may respond favorably, anticipating future growth and profitability from the expanded resource base.
Conclusion:
Infinity Mining's acquisition of the Cangai Copper Project represents a strategic expansion into high-grade copper resources. Investors should keep an eye on the company's exploration and development progress, which could unlock substantial value and drive future growth.