Kincora Copper: Mongolian Drilling Commences, Boosting Copper-Gold Prospects

Kincora Copper (ASX:KCC) has finalized its earn-in and joint venture agreement with Woomera Mining (ASX:WML), paving the way for initial drilling at the Bronze Fox Copper-Gold Project in Mongolia. This strategic partnership, which grants Woomera the right to earn an 80% stake in the project, is set to unlock significant value for both companies and the broader copper market.

Woomera will invest up to US$4 million ($5.8 million) over five years to earn its stake in the Bronze Fox Project. This investment breaks down as follows:


| Year | Investment (USD) |
|------|-----------------|
| 1 | 500,000 |
| 2 | 750,000 |
| 3 | 1,000,000 |
| 4 | 1,250,000 |
| 5 | 1,500,000 |
| Total| 4,000,000 |

As part of the agreement, Kincora has received $100,000 in cash, 180 million Woomera shares worth $450,000, and the same amount of attaching options exercisable at $0.005 before the end of July 2026. This issuance makes Kincora the largest shareholder in Woomera, with an 8.2% interest. While this dilution impacts Woomera's capital structure, it also brings strategic value to Kincora, aligning both companies' interests in the project's success.

The initial drilling program, set to commence in October, aims to test the potential for a shallower higher-grade structural zone, expand the project's resource base, and support an application for a second mining license for the entire Bronze Fox Project. The project already hosts a maiden inferred resource of 426,000 tonnes of copper and 437,000 ounces of gold down to a depth of 325m, with an updated exploration target of 100-300 million tonnes @ 0.25-0.35% copper equivalent.


The commencement of drilling at the Bronze Fox Project aligns with broader copper market trends and growth projections in Mongolia. Copper production in Mongolia is forecast to rise to 800,000 tonnes by 2028, up from 300,000 tonnes last year, marking a substantial 167% increase over five years. The country currently exports about 1.4 million tonnes of copper concentrate each year, with the potential to ramp up to 2-2.5 million tonnes annually in the future. This high-impact drilling program is expected to be a transformational period for Kincora, highlighting the Bronze Fox Project's strategic value as the fourth major porphyry district in the world-class Southern Gobi copper belt.

In conclusion, the finalization of the earn-in and joint venture agreement between Kincora Copper and Woomera Mining has set the stage for a high-impact drilling program at the Bronze Fox Copper-Gold Project in Mongolia. This strategic partnership, coupled with the project's significant resource potential and the broader copper market trends, positions both companies for potential success in the growing Mongolian copper market.