Cobre Limited Joins Forces with BHP for Major Copper-Silver Exploration in Botswana

Key Highlights:

• Cobre Limited signs a letter of intent with BHP to explore Tier 1 copper-silver deposits in Botswana’s Kalahari Copper Belt.
• The Proposed Transaction covers Cobre's Kitlanya West and East Copper Projects, while maintaining full control of Ngami and Okavango Projects.
• Partnership with BHP brings world-class expertise and scale to Cobre’s exploration efforts.

In a strategic move that could reshape its future, Cobre Limited (ASX: CBE) has entered into a letter of intent with a subsidiary of global mining giant BHP Group Ltd (BHP) to explore for Tier 1 copper-silver deposits in Botswana. The partnership focuses on Cobre’s highly prospective Kitlanya West and East Copper Projects, located on the basin margins of the Kalahari Copper Belt.

The agreement follows Cobre’s participation in the BHP Xplor program, which provided funding for a seismic survey on Kitlanya West, boosting confidence in the area’s potential. Under the Proposed Transaction, BHP will bring its extensive exploration expertise and scale to help uncover large copper-silver deposits. This collaboration could significantly enhance Cobre’s ability to make new discoveries in Botswana.

Cobre’s CEO, Adam Wooldridge, emphasized the transformative nature of the deal, calling it a “major moment in time” for the company. The partnership will allow Cobre to fully fund future exploration at Kitlanya while retaining 100% ownership of its Ngami and Okavango Copper Projects, which are excluded from the transaction.

The transaction, which is subject to BHP’s due diligence and the signing of Definitive Agreements, represents a significant step forward for Cobre in unlocking the potential of the Kalahari Copper Belt, a region known for its vast mineral resources. The Proposed Transaction also offers Cobre the financial backing needed to continue its independent developments at Ngami and Okavango.

Cobre is set to update its shareholders as the deal progresses, particularly as the company continues to explore potential Tier 1 discoveries across its projects. The proposed joint venture with BHP could provide a crucial boost to Cobre's ambitions, ensuring that it remains at the forefront of exploration in one of Africa’s most promising copper belts.