Sandfire Resources has confirmed further high-grade copper intercepts at its Black Butte project in Montana, paving the way for a potential resource upgrade and bringing the project closer to development. The ASX-listed company announced the results from a 41-hole, 13,800-metre drilling campaign that demonstrated strong extensions to the Lower Copper Zone at the Johnny Lee deposit. Sandfire Resources is an Australian mining and exploration company, focused on developing resources. Its flagship operations include projects in Australia and overseas.
Numerous intercepts revealed copper grades exceeding 7 per cent, with mineralisation confirmed at greater depths and along the edges of the existing resource. The Lower Copper Zone currently holds 1.2 million tonnes at 6.8 per cent copper in the measured and indicated category, in addition to a further 0.5 million tonnes inferred. These drilling results are expected to positively influence the upcoming resource estimate.
Sandfire holds an 87 per cent interest in TSX-listed Sandfire America, which owns 100 per cent of the Black Butte project. The project benefits from being fully permitted, providing it with a distinct advantage among undeveloped copper assets in North America, particularly during a period of constrained global supply. Sandfire chief executive Brendan Harris stated that the drilling outcomes will be incorporated into a revised mineral resource and ore reserve estimate, anticipated in the December quarter, alongside an updated pre-feasibility study.
Harris noted that the drilling program effectively expanded the known extent of high-grade copper mineralisation. This positions the company to evaluate the optimal strategy for unlocking the project’s value.