SYDNEY: Loyal Metals Ltd. (ASX: LLM) announced Wednesday it has secured a binding option to acquire the Highway Reward Copper Gold Mine in Queensland, Australia — historically ranked among the highest-grade copper producers globally.
Under the agreement, Loyal Metals plans to explore and potentially revive the mine, which ceased operations in 2005. Previously, the mine produced 3.65 million tonnes at 5.7% copper and 260,000 tonnes at 4.5 grams per tonne of gold. No exploration has occurred on the site since its closure, despite copper and gold prices soaring approximately 680% and 1,256% respectively since the mine’s 1997 feasibility study.
Managing Director Adam Ritchie called the acquisition “an incredibly rare opportunity,” noting that favorable market conditions, modern exploration technology, and Loyal’s $4.4 million in available funds position the company to unlock the site’s untapped potential.
The Highway Reward mine, located within the Mount Windsor Volcanic Belt near Charters Towers, is accessible year-round by highway and situated near key processing and export infrastructure. Loyal aims to deploy advanced geophysical tools — including drone-based MobileMTd and LiDAR surveys — to identify potential remnant and undiscovered high-grade copper-gold zones.
The acquisition forms a key step in the company’s 2025 “Ground to Grid” strategy, which shifts focus from lithium to broader critical minerals like copper. The move comes amid surging global demand for copper driven by efforts in the U.S. and China to modernize electrical grids. Notably, copper has been exempt from recent U.S. import tariffs, boosting prospects for Australian producers.
Terms of the agreement include performance-based share milestones and royalty arrangements. Loyal Metals expects to digitize and analyze decades of historical exploration data to support a potential restart of commercial operations.
“The combination of legacy high-grade production, modern technology, and a bullish outlook for copper creates a compelling case,” Ritchie said. “We’re excited to reignite interest in what was once a forgotten mine.”