ASIA-PACIFICFeaturedFinance and Investments

Central Asia Metals to Acquire New World Resources in Strategic Expansion Move

Central Asia Metals Plc (CAML) has entered into a definitive Scheme Implementation Deed (SID) with New World Resources Ltd. (NWR), under which CAML will acquire 100% of NWR’s shares at a cash offer of AUD$0.05 per share. The total consideration values NWR at approximately AUD$185 million (USD$119 million) on a fully diluted basis.

This strategic acquisition brings the Antler Project—an advanced, high-grade copper deposit in Arizona, USA—into CAML’s portfolio. In 2024, NWR published a pre-feasibility study (PFS) and maiden probable ore reserve estimate for Antler, highlighting its strong project economics. The PFS outlined a post-tax net present value (NPV) of USD$498 million (7% discount rate), an internal rate of return (IRR) exceeding 30%, and a projected payback period of three years. The Antler Project is expected to produce approximately 30,000 tonnes of payable copper equivalent annually over a 12-year mine life. The most recent mineral resource estimate totals 14.2 million tonnes at a copper equivalent grade of 3.8%.

Funding and Financial Impact

The acquisition will be financed through CAML’s existing cash reserves and a newly secured USD$120 million credit facility from a syndicate of international lending institutions.

Transformational Growth Potential

Once operational, the Antler Project is expected to more than double CAML’s annual copper equivalent production and significantly boost cash flow. The project is forecast to generate average annual post-tax unlevered free cash flow of USD$115 million between years 2 and 11 of production, as outlined in the PFS. In addition to near-term growth, Antler offers further exploration potential both on-site and regionally.

Project Highlights:

  • High-grade volcanogenic massive sulphide (VMS) deposit with a 14.2 Mt resource grading 3.8% copper equivalent.
  • Projected annual steady-state production of 30,000 t of copper equivalent.
  • Competitive cost profile with life-of-mine (LoM) C1 cash costs of USD$1.97/lb and an all-in sustaining cost (AISC) of USD$2.18/lb.
  • Moderate upfront capital expenditure of USD$298 million, equating to a capital intensity of USD$8,563 per tonne of average annual copper equivalent production—placing Antler among the lowest cost quartile globally.

Strategic Location and Market Timing

Located in Arizona—widely regarded as the “Copper Capital” of the United States—the Antler Project benefits from excellent infrastructure, skilled labor, and strong federal support for domestic critical mineral development. This acquisition aligns with CAML’s strategy to expand its copper exposure in tier-one jurisdictions and tap into increasing demand for critical minerals.

Leadership Commentary

Nick Clarke, Non-Executive Chairman of CAML, commented:

“This transaction represents an exceptional opportunity for CAML to acquire a high-grade, advanced copper project that complements our existing operations. Antler has the potential to more than double our production and cash flow, offering near-term growth and strong economic returns.

“Based on the PFS NPV, the transaction is expected to be accretive to our net asset value per share and aligns perfectly with our strategy of pursuing value-driven acquisitions in the base metals sector.”

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