Cobre secures majority control in Sierra Atacama Project

• Cobre exercised its control call option under an investment agreement to take majority control of the Sierra Atacama Copper Project.
• Cobre paid the required funding to Minera Salar Blanco SpA to secure board and operational control.
• The increased stake allows the business to direct plant expansion pace, satellite open pit development, and exploration scale.

Cobre (ASX:CBE) has increased its ownership in the Sierra Atacama Copper Project to 62.86% for approximately US$12 million in cash consideration paid to Minera Salar Blanco SpA.

The transaction converts the business into the majority and controlling shareholder, expanding its governance presence from two to three directors on the project's five-member board.

“We now hold a controlling economic interest and governance position in a Tier-1 copper asset at a time of strong copper market fundamentals. Consolidating control positions us to advance the planned mine expansion, broaden our exploration programme and pursue operational improvements to unlock the project's full potential,” said Cobre Executive Chairman Martin Holland.

The company stated that the increased stake gives it operational control over decisions regarding plant expansion pacing, satellite open pit development, and exploration scale.

The company expects that every incremental tonne of production will flow to its shareholders at a majority share, while the Cobre share price was unchanged at $0.34 following the announcement.

The Chilean asset sits in a copper-producing district where Cobre operates alongside its secondary landholding in Botswana.

The project consolidation follows previous funding agreements and capital raises designed to advance its copper growth platform.