LKY expands landholding at NSW copper project

Our Investment Locksley Resources (ASX: LKY) just added more ground to its NSW copper project.

LKY's copper projects already host a combined ~11.2Mt of resources at ~0.7-1% copper split across two projects:

• A JORC 2012 resource of 9.86 Mt @ 0.73% copper and 0.22 g/t gold at its Tottenham project, AND,
• A JORC 2004 resource of 1.3 Mt @ 1.0% copper and 0.6 g/t gold at the newly acquired Iron Duke project.

A couple of weeks ago LKY confirmed that the resource estimates across both projects were now in the “final reporting stage”. (source)

So we could see LKY get both projects up to the point where all of the information is up to date and current.

(source)

Today, LKY added to its landholding in the region with ~139km² of exploration ground surrounding the resource (all of which are currently in the application stage).

Once granted, LKY’s land package will cover ~1,000km^2 and the new blocks will cover ~10km of untested prospective areas:

(source)

Across its broader project area LKY actually has ~50km of strike to test, so this new ground looks like its helping fill in the gaps to cover all the prospective areas:

The image below is showing the integration of all the existing data (geophysics, geochemistry, 3D models etc) over the project:

(source)

Over the coming weeks we want to see:

1. LKY’s updated resources,
2. A ranked set of drill targets, and
3. Drilling starting (subject to approvals and access).

There are some big names in the region also:

(source)

We like the copper setup right now

AI, data centres, electrification are all causing a physical supply shortfall:

(source)

And the copper price has gone on a bit of a run over the last few years:

(source)

The past performance is not and should not be taken as an indication of future performance. Caution should be exercised in assessing past performance. This product, like all other financial products, is subject to market forces and unpredictable events that may adversely affect future performance.

We think that with copper prices where they are, as long as LKY can grow its resource, the market should start to attribute value toward LKY’s project.

What we want to see next from LKY

🔄 A new resource estimate across Tottenham and Iron Duke

Both of LKY’s current resources are based on old JORC standards.

We want to see LKY update those to modern JORC standards and hopefully the numbers grow from where they are now at ~11.2Mt of resources at ~0.7-1% copper

🔲 Drilling to progress the projects

We also want to see LKY drill the projects and grow the resources with more exploration.

Here are the milestones we are tracking on the exploration front:

1. 🔄 Target generation (sampling/geophysics)
2. 🔲 Drilling schedule, which LKY says is coming “in the coming weeks” (source)
3. 🔲 Drilling in and around the current known resources.
4. 🔲 Drilling regional targets going for new discoveries