- 11-Nov-2024 1:15 PM
- Journalist: Motoki Sasaki
Aldebaran Resources, the ambitious Canadian exploration company, has officially entered into an option agreement aimed at creating a joint venture with Nuton Holdings, a subsidiary of mining giant Rio Tinto, concerning the promising Altar copper/gold project located in the mineral-rich region of Argentina. Currently, the Altar project is under the ownership of Peregrine Metals, with Aldebaran controlling a significant 60% interest and Sibanye-Stillwater holding the remaining 40%. In a strategically planned move, Aldebaran is in the advanced stages of acquiring an additional 20% interest, which will bolster its total ownership to 80% and subsequently reduce Sibanye-Stillwater’s stake to 20%.
As a pivotal element of this agreement, Aldebaran has granted Nuton an exclusive option to acquire 20% of Peregrine, with a potential investment of up to $250 million. This financial commitment will be executed in multiple stages, reaching its culmination by 2026 upon the successful completion of a prefeasibility study (PFS). By then, the ownership structure of the Altar project is projected to be divided as follows: Aldebaran (60%), Sibanye-Stillwater (20%), and Nuton (20%).
John Black, CEO of Aldebaran, highlighted that this strategic agreement ensures non-dilutive capital injections that will be vital for advancing future works on the Altar project until the completion of the crucial PFS. He stated that Nuton’s proprietary sulphide leaching technologies possess the potential to significantly lower both costs and capital needs for the project’s development. Aldebaran is determined to present both Nuton-enabled and standard scenarios in its upcoming preliminary economic assessment as well as the PFS.
Adam Burley, the CEO of Nuton, underscored the immense value of this option, noting that it bestows Nuton with a potential stake in the large-scale Altar copper project. He also emphasized that the successful integration of Nuton Technologies at the Altar site could dramatically enhance both its economic viability and environmental sustainability, paving the way for a more responsible mining initiative.
Nuton’s portfolio showcases cutting-edge copper leaching technologies specifically designed to amplify copper recovery rates and improve environmental outcomes, promising substantial advantages for the Altar project. Situated in the San Juan region of Argentina, the Altar project boasts a 2021 pit-constrained resource estimate that reveals a staggering 11.4 billion pounds of copper and an impressive 3.4 million ounces of gold categorized within the measured and indicated resources, alongside 1.7 billion pounds of copper and 0.4 million ounces of gold in inferred resources.
Since the publication of the most recent resource update, Aldebaran has conducted over 63,000 meters of drilling, leading to the identification of a new porphyry center, aptly named Altar United. The company is in the process of updating its resource estimate, with eagerly anticipated results expected to be unveiled in November. This collaborative move with Nuton signifies a pivotal advancement in the trajectory of the Altar project, significantly enhancing its development prospects.
Aldebaran, a dynamic mineral exploration company that emerged in 2018 following its split from Regulus Resources Inc., continues to benefit from the experience and expertise of the same core management team. The company holds a substantial 60% interest in the Altar copper-gold project situated within San Juan Province, Argentina. Aldebaran has the exciting opportunity to increase its stake by an additional 20% through an investment of $25 million into the project over the next three years. The Altar project features numerous porphyry copper-gold deposits, thus presenting considerable potential for new discoveries and further development.
### Interview with John Black, CEO of Aldebaran Resources
**Journalist: Motoki Sasaki**
**Date: November 11, 2024**
**Location: Aldebaran Resources Office**
**Motoki Sasaki:** John, thank you for joining me today to discuss the recent developments at the Altar project and your partnership with Nuton. Can you start by updating us on the latest drill results?
**John Black:** Absolutely, Motoki. We recently reported some exciting drilling results where we encountered 0.81% copper equivalent over 649.60 meters. This achievement is a clear indication of the mineralization potential we have at Altar and bodes well for our future exploration efforts.
**Motoki Sasaki:** That’s impressive. Can you explain how the option agreement with Nuton Holdings will affect the project moving forward?
**John Black:** Certainly. This agreement is pivotal for us, as it allows us to effectively partner with Nuton while securing significant funding of up to $250 million. This capital will be critical for advancing our development work without diluting our current shareholders. With Nuton’s innovative sulphide leaching technologies, we can potentially reduce both costs and the necessary capital for the project.
**Motoki Sasaki:** Can you elaborate on how these technologies might improve the project’s feasibility?
**John Black:** Sure! Nuton’s technologies can enhance the extraction process, which can lead to more efficient resource recovery. This could significantly improve the project’s economic viability and operational efficiency. We’re committed to presenting both traditional and Nuton-enabled scenarios in our upcoming Preliminary Economic Assessment and Prefeasibility Study.
**Motoki Sasaki:** Adam Burley from Nuton mentioned that this partnership could also enhance environmental sustainability. How so?
**John Black:** That’s a key aspect of our collaboration. By utilizing Nuton’s advanced technologies, we aim to minimize the environmental footprint of our mining operations. More efficient resource recovery means less waste and potentially lower emissions, which is increasingly important in today’s mining industry.
**Motoki Sasaki:** As you work toward completing the Prefeasibility Study by 2026, what are the next steps for Aldebaran and the Altar project?
**John Black:** Our immediate focus is on continuing our drilling program and advancing our understanding of the Altar resource. We’ll also be working closely with Nuton to integrate their technologies while preparing for the Prefeasibility Study. We’re excited about the direction this partnership is taking us, and we believe it positions Aldebaran strongly within the market.
**Motoki Sasaki:** Thank you for your insights, John. It’s clear that Aldebaran is making significant strides in the Altar project and the partnership with Nuton has a lot of potential. We look forward to following your progress.
**John Black:** Thank you, Motoki. I appreciate the opportunity to share our journey, and we look forward to updating everyone on our advancements.