AIC Mines buys Mt Cuthbert Project for $120M

• AIC Mines entered binding agreements to acquire the Mt Cuthbert Copper Project for $120 million.
• The deal comprises $100 million in ordinary shares and $20 million in cash, supported by a $70 million placement to existing shareholder Hawke's Point.
• The acquisition aims to establish a second standalone operating hub and expand the company's regional copper footprint in Queensland.

AIC Mines (ASX:A1M) has executed an agreement to acquire a 100% interest in Materra Metals, owner of the Mt Cuthbert Copper Project, for $120 million.

The transaction combines $100 million in new AIC Mines shares and $20 million in cash, alongside a concurrent $70 million placement at $0.795 per share to fund the cash component and accelerate exploration.

"The acquisition of Mt Cuthbert is a significant step forward in fulfilling our ambition to be a multi-mine mid-tier Australian copper and gold miner," said AIC Mines Managing Director Aaron Colleran.

The Mt Cuthbert asset brings an established resource base of 18.7 million tonnes grading 1.3% copper for 246,000 tonnes of contained copper across five deposits on granted mining leases.

The company stated that the transaction is expected to transform its production scale by supporting a second standalone mining operation alongside its existing Eloise mine.

Following the announcement, the AIC Mines share price was unchanged at $0.90.

AIC Mines operates as an Australian resource explorer and producer, with its core operational focus centred on the underground Eloise copper mine near Cloncurry.

The business expanded its regional footprint in January 2023 through the acquisition of the Jericho Copper Project, where it subsequently delivered first copper sales in April.