Orion Minerals Limited (ASX/JSE: ORN), a base metals company focused on developing two complementary base metal production hubs in South Africa’s Northern Cape Province, has released its June 2025 Quarterly Activities Report, highlighting progress on project execution and funding for its key assets. The company is targeting first production from its key development projects late 2026 / early 2027, with the aspirational goal of ramping up copper production to more than 30ktpa and zinc production of 65ktpa when both projects are in steady state production.
The report emphasises the company’s focus on the Prieska Copper Zinc Mine (PCZM) and the Okiep Copper Project (OCP). A definitive feasibility study (DFS) for PCZM covers both the Uppers and Deeps mining with a post-tax NPV of A$568 million and IRR of 26.2% over a 13.2-year Life of Mine (LoM). Orion is engaged with multiple offtake parties to finalise an offtake agreement for bulk concentrate from the Uppers, linked to offtake related financing, and discussions with the Industrial Development Corporation of South Africa (IDC) are progressing.
Orion is also optimising the Flat Mines Project at OCP to potentially enhance financial outcomes, focusing on bringing forward production and reducing capital expenditure. A review of near-term and medium-term exploration upside for both PCZM and OCP has commenced, including planning for the conversion of Inferred category Resources to Indicated category. No new drilling was conducted in Q2 2025.
Subsequent to the quarter’s end, Orion announced a capital raising of approximately A$5.8 million through a placement and loan conversions, along with a Share Purchase Plan (SPP) aiming to raise up to A$4 million. Funds raised will support the development of the Uppers section of PCZM, optimisation studies at OCP, and general working capital. Managing Director and CEO Tony Lennox stated that the immediate priority is to finalise project financing and a concentrate offtake agreement for the Uppers.
