SHARES in Copper 360 gained 8% in early Johannesburg trade but there’s a long, long way to go before the junior miner recaptures investor confidence.
The key to its success lies in shifting enough higher-grade ore from “broken” surface deposits to the flotation mill at its Northern Cape mine, Rietberg. Simultaneously, it has to increase ore from the Rietberg underground mine.
Commenting in the comBeleagueredpany’s annual results announcement today, CEO Gordon Thompson said the stage was set after a turbulent year.
“With the pan concentrator commissioned in February 2026 and development work at Rietberg scheduled for the second half of financial year 2027, we are confident that MFP2 (modular flotation plant 2) can be reliably fed with sufficient-grade sulphide ore, upgraded by panning where needed, to return the company to profitability,” he said.
To be fair to Copper 360, there were three promising signs in its financial numbers for the year ended February. Firstly, losses narrowed 17% to R265m. Secondly, the balance sheet was recapitalised with total equity increasing to R1.25bn from R337m. Finally, liabilities halved from R985m to R505m.
The problem was shareholders paid for it via an expensive rights issue. Shares in the company are down a quarter year-to-date and 59% over the last 12 months.
Cash and cash equivalents improved to R84m but as Thompson makes clear the company needs to attract more funds. Before that it has to deliver on the mining side using the balance sheet it currently has. There is a distinct air of last-chance saloon about Copper 360.
Management stability is key to this. As Currency reported earlier this year, there was major boardroom stress, described as a coup, with the strange departure of mining veteran Graham Briggs, who went on a leave of absence — now permanent. Thompson was COO before taking on the task of running the company.
“Emerging from this year’s results are clear signs of a company with improved financial strength, a simplified and technically focused operating model, lower overall risk, and an enhanced platform from which to pursue future capital growth opportunities,” he said in today’s release. In a buoyant copper market, it is now or never for Thompson and his team.
