Cobre secures majority stake in Sierra Atacama Project

• Cobre acquired a majority interest in the Sierra Atacama Copper Project through its Chilean subsidiary.
• The transaction involves a US$12 million capital raise and option exercise.
• The move aims to expand Cobre’s copper portfolio in Chile.

Cobre (ASX:CBE) increased its holding to a controlling majority in the Sierra Atacama Copper Project through its wholly owned subsidiary Sierra Cobre.

The acquisition builds on a previous agreement from July 7 to execute a US$12 million capital raise via Sierra Atacama SpA.

"With Sierra Atacama ramping up our annual production of copper cathode into 2027, majority ownership provides Cobre with greater exposure to the significant operating and cash-flow upside from this growth," said Cobre Executive Chairman Martin Holland.

Under the terms, Sierra Cobre holds a control option expiring on Dec. 31 to purchase additional shares from Minera Salara Blanco and Bergbau Wagen for US$12 million to achieve a 62.86% controlling interest.

Cobre stated that the transaction establishes a path towards consolidating 100% ownership of the project companies.

Following the announcement, the Cobre share price was unchanged at $0.40.

The company recently completed a separate $90 million institutional capital raise to fund its ongoing exploration pipeline.

Cobre continues to expand its copper assets across key mining jurisdictions in South America and Africa.