The majors are just crazy about copper in Arizona – but these juniors offer cheap exposure

The return of US President Donald Trump has ASX miners and explorers hopeful it could stoke the development of Arizona’s copper mines.

ASX explorers and miners are hoping the Trump Administration could accelerate Arizona's copper industry. Pic: Getty Images

• Donald Trump's return as US President promises a change in fortune for stalled US mine developments

• Key among them is Rio and BHP's Resolution copper JV in Arizona

• Which other ASX explorers in the copper rich state could be in line to benefit?

Donald Trump’s return to the White House could result in better US business conditions for miners.

Rio Tinto (ASX:RIO) and BHP (ASX:BHP) jointly hold the massive, but long-stalled, Resolution copper project in Arizona.

The project, which will take 10 years to build but could supply 25% of America’s copper, has been subject to legal challenges from local Native American groups over many years.

Days after the US election in November, Reuters quoted Rio chief commercial officer Bold Baatar as urging the new administration to speed up permitting for new mining projects.

Last month, Trump pledged to expedite permits and approvals for any person or company investing at least US$1 billion in the US.

In early December, Rio ‘s copper chief Katie Jackson told the company’s investor seminar it remained “very positive” on Resolution.

“We hope for clarity on the legal front, which will allow us to move forward more rapidly,” she said.

“However, of course, it remains a deep, very attractive orebody.

“But I think it is something that is going to take some work, both in terms of receiving all of the necessary permits, but also having the appropriate mine plan and engineering, so it will be a big development when it comes, but we remain very positive.”

Majors active in exploration

While Resolution isn’t a near-term prospect, regardless of expedited permits, both BHP and Rio are active elsewhere in Arizona.

In April 2023, BHP reported a new copper porphyry system called Ocelot, 140km east of Phoenix in the Miami-Globe copper district.

Ten of the 12 holes drilled by the company hit copper porphyry mineralisation, with results including 102m at 0.92% copper from 714m, 234m at 0.73% copper from 992m, and 502m at 0.8% copper from 787m.

In May 2024, BHP signed an exploration alliance agreement with Robert Friedland’s Ivanhoe Electric.

Under the agreement, the pair will explore mutually agreed areas of interest in the US, initially in Arizona, New Mexico and Utah, to identify projects that could become 50:50 joint ventures.

BHP is funding an initial US$15 million of expenditure in the three-year alliance, while Ivanhoe will provide access to its Typhoon geophysical survey system and machine learning algorithmic software and data inversion.

On January 7, Ivanhoe reported the first Typhoon survey was underway in Arizona, the results of which will be used to define drill targets.

Meanwhile, a week later, Toronto-listed Intrepid Metals Corp announced that both Rio and Ivanhoe had separately acquired mineral rights immediately adjacent to its Corral copper project in Arizona.

Intrepid CEO Ken Engquist said it had signed confidentiality agreements with “four major strategics” which were active in the company’s data room and were in talks with others.

The interest bodes well for ASX-listed copper explorers in Arizona.

New World Resources (ASX:NWC)

The most advanced of the Aussie copper plays in Arizona is New World with its Antler project, 350km northwest of Phoenix.

Antler is a brownfields site, a former producer which closed in the 1970s due to low copper prices.

The July 2024 pre-feasibility study outlined a US$298 million operation to produce 30,100 tonnes per annum of copper equivalent at C1 costs of just US12c per pound after co-product credits over 12.2 years.

The study generated a post-tax net present value of US$498 million and an internal rate of return of 30.3%.

Permitting is progressing and New World is targeting completion of a definitive feasibility study by mid-2025.

IGO (ASX:IGO) and Buxton Resources (ASX:BUX)

Buxton picked up the Copper Wolf project in 2019 and in 2022 signed an earn-out agreement with mid-tier lithium and nickel producer IGO.

Copper porphyry mineralisation at Copper Wolf was discovered in the 1960s and has since been confirmed by the partner’s drilling.

Buxton has compared the project to Filo del Sol in Argentina, half of which was recently acquired by BHP.

In October, IGO notified Buxton that it had spent the stage one earn-in amount of $350,000 and earned a 51% stake in the project.

IGO will manage the joint venture and will have to notify Buxton in the coming months if it intends to earn an additional 19% by spending $5 million on exploration.

Eagle Mountain Mining (ASX:EM2)

Arizona-focused Eagle Mountain has rejigged its holdings and focus in recent months.

Following negotiations with landowners at the Oracle Ridge project, Eagle Mountain relinquished the tenements hosting the project’s resource, saving the company US$4.5 million which would have been due next month.

The company retained the areas surrounding Oracle Ridge, including a tailings dam, which it has renamed the Wedgetail project.

Wedgetail features outcropping high-grade copper over 3.5km.

Work completed at the separate Silver Mountain project, north of Buxton and IGO’s Copper Wolf, has indicated the potential for a buried copper porphyry deposit.

The company has received permits and is preparing to drill large targets within the Scarlett area.

Golden Mile Resources (ASX:G88)

A newer entrant into Arizona, Golden Mile secured access to the Pearl project, immediately north of BHP’s San Manuel-Kalamazoo mine, in June via an earn-in with Outcrop Silver & Gold Corporation.

Last month, Golden Mile reported rock chips grading up to 312 grams per tonne silver, 15.2% copper, 24.8% zinc and 12.65% lead at Pearl’s Odyssey prospect.

The company is looking to kick off its first drilling program, focused on the Odyssey and Ford prospects, once permits are received. It will be the first recorded drilling at the prospects.

Golden Mile can earn up to 100% of Pearl by spending up to $12 million in stages over eight years.

At Stockhead, we tell it like it is. While New World Resources and Golden Mile Resources are Stockhead advertisers, they did not sponsor this article.

Originally published as The majors are just crazy about copper in Arizona – but these juniors offer cheap exposure