FireFly Metals Reports Strong Preliminary Economic Assessment for Green Bay Project
FireFly Metals has released the results of a Preliminary Economic Assessment (PEA) for its Green Bay Ming Mine Copper-Gold Project, outlining robust economics for two production scenarios. The announcement also included a major upgrade to the project's mineral resource estimate.
According to the company, the PEA assessed a 1.8 million tonnes per annum (Mtpa) base case and a larger 4.6Mtpa alternative. The base case showed an after-tax net present value (NPV) of approximately A$2.2 billion, with an internal rate of return (IRR) reported by the company as 41% over an initial 32-year mine life. The alternative scenario generated an NPV of roughly A$3.0 billion and an IRR of 39% over an initial 22-year period.
The base case is expected to produce an average of 50,000 tonnes of copper equivalent (CuEq) annually over a 14-year steady-state period, peaking at 60,000 tonnes. The larger 4.6Mtpa option would produce approximately 90,000 tonnes CuEq per year over 11 years, with peak production reaching about 106,000 tonnes. The company also reported lower-quartile C1 cash costs of US$2.05 per pound for the base case and US$1.84 per pound for the alternative.
Initial capital costs for the base case are estimated at A$513 million, net of refundable Canadian tax credits, while expansion capital for the larger scenario is projected at A$476 million. Both scenarios show rapid payback periods, with the base case recovering its investment in 1.9 years and the alternative in approximately 3.7 years.
Resource Upgrade and Exploration Progress
The Green Bay project now has an updated Mineral Resource Estimate of 60.2 million tonnes at 2.4% CuEq in the Measured and Indicated (M&I) category, plus an additional 23.5 million tonnes at 2.5% CuEq in the Inferred category. The high-grade core zone has been delineated at 18.1 million tonnes at 4.3% CuEq M&I, with a further 7.0 million tonnes at 4.4% CuEq Inferred.
The Ming Mine itself holds a resource of 57.3 million tonnes at 2.4% CuEq in M&I, with 77% of the total resource in that higher-confidence category. The company noted that six underground drill rigs are currently active at the mine, targeting immediate high-grade extensions, while three surface rigs are exploring regional targets. A recent drill hole intersected 49 metres at 6.1% CuEq, and a large conductive geophysical anomaly has been identified beyond that intersection.
Drilling has also commenced on several historical volcanogenic massive sulfide (VMS) copper and gold targets within five kilometres of the mine. The company anticipates establishing a maiden Ore Reserve estimate for the first target in the coming quarter, with a full Feasibility Study and maiden Ore Reserve planned for the first quarter of 2027.
Financing and Government Support
FireFly Metals reports a strong financial position, with existing cash and liquid investments of approximately A$183 million. The company intends to raise up to A$190 million through an equity raise and a Share Purchase Plan to fund an additional A$10 million. Initial advice indicates the project has an indicative debt carrying capacity exceeding US$350 million (about A$500 million).
The project's economics were calculated using conservative commodity prices of US$5.00 per pound copper, US$3,500 per ounce gold, and US$44 per ounce silver—all below spot prices as of 18 August 2026. The company has also received approximately C$1 million in grants from federal and provincial governments. Additionally, it expects to benefit from the Clean Technology Manufacturing Investment Tax Credit (CTM-ITC), which could provide a refundable credit of about A$58 million for the base case.
Management Commentary
FireFly Metals' Managing Director, Steve Parsons, described the findings as proof that Green Bay is "one of the best undeveloped copper projects in the world." He emphasized the project's high-grade resource, long life, growth potential, and superior financial returns.
The company targets first concentrate production for mid-2029. FireFly Metals' share price has risen 64% over the past 12 months, compared to a 1% gain for the All Ordinaries index.