REG - Celsius Resources Ld - MCB Project Engages Technical Consultants

Celsius ResourcesAnnouncement

18/06/2025 07:00

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RNS Number : 2404N  Celsius Resources Limited  18 June 2025

 

ASX/AIM RELEASE

18 JUNE 2025

 

MCB Project Engages Technical Consultants
HIGHLIGHTS

·    Makilala Mining has engaged DMT to update and optimise the MCB mine
plan and detailed Hydrogeological Study, with RDCL to provide detailed
Geotechnical interpretation analysis to support the planned surface mine
infrastructure development of the MCB Project.

·    The Consultants will collaborate with Ausenco for the Front-End
Engineering Design and updating of the MCB Project's Feasibility Study work
programs.

_______________________________________________________________________________

Celsius Resources Limited ("Celsius" or "CLA") (ASX, AIM: CLA) is pleased to
announce that its Philippine affiliate, Makilala Mining Company, Inc. ("MMCI"
or the "Company"), has engaged DMT Consulting Limited ("DMT") under a contract
valued at USD575,000 and Resource Development Consultants Ltd ("RDCL") under a
contract valued at USD65,000. The respective firms will provide mining and
geotechnical consulting services to support the planned development and mining
operations of the Company's flagship Maalinao-Caigutan-Biyog Copper-Gold
Project ("MCB" or the "Project").

DMT and RDCL were selected following a comprehensive bidding process and a
thorough assessment of technical and commercial aspects of the submitted
proposals. Both consultants will collaborate with Ausenco as these studies
form critical inputs to complete the Front-End Engineering Design (FEED) 1 
(#_ftn1) and updating the MCB Project's Feasibility Study.

 

 

 

Celsius Non-Executive Director and Makilala Mining Director Peter Hume, said:

 

"We are happy to be working with DMT and RDCL for the Front-End Engineering
Design. Their global expertise, coupled with local insights and experience in
working with major mining companies in the Philippines, demonstrates their
capability to deliver robust and technically sound methodologies that align
with international standards and meet MMCI's timeline requirements."

Scope of Services

Underground Mining, Geotechnical and Hydrogeology Study

 

DMT is responsible for the optimisation and updating of mine plans and design
to inform key engineering decisions and documentation and support the timely
release of tender documents for the underground mining contractor procurement
and detailed Hydrogeological and underground geotechnical work program,
including:

 

1.   Coordinating closely with the geotechnical engineering consultant who
will be conducting the detailed Geotechnical and Hydrogeological Study to
support the underground mine engineering and the overall FEED Study of the MCB
project.

 

2.   Developing an optimised mine design by:

§ Updating mine layout, stope dimensions, and infrastructure to improve
operational efficiency, recovery, and cost. This optimisation should lead to
improved financial projections compared to the baseline economic data.

§ Evaluating and implementing advanced mining methods or technologies to
optimise operations.

§ Assessing the materials handling system in the underground mining
operations, such as vertical conveyance for ore haulage as an alternative to
the traditional truck, with the aim to reduce the environmental and social
impacts, along with the operational costs of the project.

§ Optimising ventilation and dewatering systems.

 

3.   Developing updated mine production schedules and operational sequences
that will improve the cash flow of the Project.

4.   Developing detailed plans with comprehensive engineering descriptions,
procedures, and work requirements, ensuring that the level of detail is
sufficient for implementation or the development of tender documents.

5.   Providing revised cost estimates for mining, ventilation, and other
underground mine development and operations, along with relevant financial
analysis.

6.   Preparing comprehensive reports documenting the mine plan update
process, findings, and recommendations.

A.  Underground Geotechnical and Hydrogeological Scope

 

1.   Developing a Geotechnical and Hydrogeological model to be used on the
underground mine design and mine infrastructure design of the MCB project.

2.   Closely coordinating with Ausenco to support the engineering and
overall FEED Study.

3.   Developing a Geotechnical and Hydrogeological Site Investigation
Program suitable for the MCB project and provide inputs and recommendation to
assist in developing the:

a.   Underground Mine Design, and

b.   Portal Design.

4.   Providing technical support for MCB personnel to conduct site
investigations for the project.

5.   Deliver a detailed Geotechnical and Hydrogeological study report which
will directly inform the FEED and overall Feasibility Study.

 

Surface Infrastructure Geotechnical Study

 

RDCL is responsible for developing a comprehensive surface geotechnical study
to support the detailed design and engineering of surface infrastructure,
ensuring stability, safety, and long-term reliability which forms a
foundational component for the successful construction and operation of the
MCB Project. This includes, but is not limited to:

 

1.   Developing a Geotechnical Investigation Program suitable for the MCB
Project and provide input and recommendation to assist in developing the:

a.   Process Plant Pad,

b.   Ventilation Pad,

c.   Pastefill Pad,

d.   Early Works,

e.   Contact Water Dam,

f.    Fresh Water Dam,

g.   Bridge and Abutments and Foundations,

h.   Establishment of retaining wall for back filling of a previous tailings
dam, and

i.    Slope Stabilisation Area (Southeast of proposed process plant area).

 

2.   Providing technical support for MCB personnel to conduct site
investigations.

3.   Developing an Engineering Geological and Geohazard Assessment Report
(EGGAR) for the development area of the MCB Project.

4.   Delivering a Final Geotechnical Report for the infrastructures which
will feed into the overall FEED and overall Feasibility Study.

Work Program Timing

With drill rigs currently being mobilised and Ausenco's work already well
underway, these work packages will commence immediately to support ground
development activities. The results will feed directly into the updated
Feasibility Study and FEED.

 
Contracting Company Information

DMT 2  (#_ftn2) is a globally recognised engineering services and consultancy
firm with over 250 years of experience in delivering comprehensive solutions
for the mining industry. Operating through 13 engineering and consulting
companies across 30 locations worldwide, DMT supports clients at every stage
of the mining lifecycle-from exploration and resource estimation to mine
design, operational optimisation, and sustainable closure planning. Their
diverse service portfolio includes geology, geophysics, surveying, and
geoinformation, all designed to maximise efficiency and promote
environmentally responsible mining practices. With specialised expertise in
underground mine planning, DMT develops well-structured designs across diverse
geological settings that prioritise operational efficiency, safety, and
long-term sustainability, ensuring the seamless execution of underground
mining projects.

RDCL 3  (#_ftn3) is an international geotechnical consulting company based in
New Zealand, with a well-structured local team in the Philippines. RDCL has
extensive geotechnical and geophysical expertise and experience working in the
mining industry in the Philippines, Indonesia, and New Zealand for the past 17
years, including OceanaGold's Didipio Project, FCF's Runruno Project,
Greenstone's Siana Gold Project, and B2Gold's Masbate Gold Project. They
specialise in geotechnical engineering, offering innovative solutions for
ground investigations, stability assessment, and infrastructure development.

 

MCB COPPER-GOLD PROJECT

 

The MCB Copper-Gold Project (MCB) is located in the Cordillera Administrative
Region in the Philippines, approximately 320km north of Manila (Figure 1). It
is the flagship project within the Makilala portfolio which also contains
other key prospects in the pipeline for permit renewal/extension.

 

An updated JORC compliant Mineral Resource Estimate was announced for the MCB
Project on 12 December 2022, comprising 338 million tonnes @ 0.47% copper and
0.12 g/t gold, for a total of 1.6 million tonnes of contained copper and 1.3
million ounces of gold, of which 249 million tonnes @ 0.44% copper and 0.11
g/t gold is classified as Indicated, 42 million tonnes @ 0.52% copper and 0.11
g/t gold is classified as Inferred, and 47 million tonnes @ 0.59% copper and
0.19 g/t gold is classified as Measured.

 

A Study for the MCB Project was announced by CLA on 1 December 2021, which
identified the potential for the development of a copper-gold operation with a
25-year mine life. The Study was based on an underground mining operation and
processing facility to produce a saleable copper-gold concentrate.

 

Highlights from the Study include a Post tax NPV (8%) of US$464m and IRR of
31%, assuming a copper price of US$4.00/lb and gold price of US$1,695/oz,
which are both currently significantly below currently prevailing market
prices. Initial capital expenditure is estimated to be US$253m with a payback
period of approximately 2.7 years. The designed mine production is matched to
a 2.28Mtpa processing plant which will treat ore with an estimated average
grade of 1.14% copper and 0.54g/t gold for the first 10 years of planned
production with a C1 4  (#_ftn4) cash costs at just US$0.73/lb copper, net of
gold credits.

 

Figure 1. Location of the MCB Project in the province of Kalinga, Northern
Luzon, Philippines.

 

This announcement has been authorised by the Board of Directors of Celsius
Resources Limited.

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the
European Union (Withdrawal) Act 2018.

 

Listing Rule 5.23 Disclosure

 

The Company confirms that it is not aware of any new information or data that
relates to Exploration Results and Mineral Resources at the MCB Project and
that all material assumptions and technical parameters underpinning the
Mineral Resource continue to apply.

 

Forward Looking Statements

 

Some of the statements appearing in this announcement may be in the nature of
forward-looking statements. You should be aware that such statements are only
predictions and are subject to inherent risks and uncertainties. Those risks
and uncertainties include factors and risks specific to the industries in
which the Company operates and proposes to operate as well as general economic
conditions, prevailing exchange rates and interest rates and conditions in the
financial markets, among other things. Actual events or results may differ
materially from the events or results expressed or implied in any
forward-looking statement.

 

No forward-looking statement is a guarantee or representation as to future
performance or any other future matters, which will be influenced by a number
of factors and subject to various uncertainties and contingencies, many of
which will be outside the Company's control.

 

The Company does not undertake any obligation to update publicly or release
any revisions to these forward-looking statements to reflect events or
circumstances after today's date or to reflect the occurrence of unanticipated
events. No representation or warranty, express or implied, is made as to the
fairness, accuracy, completeness or correctness of the information, opinions
or conclusions contained in this announcement. To the maximum extent permitted
by law, none of the Company's Directors, employees, advisors, or agents, nor
any other person, accepts any liability for any loss arising from the use of
the information contained in this announcement. You are cautioned not to place
undue reliance on any forward-looking statement. The forward-looking
statements in this announcement reflect views held only as at the date of this
announcement.

 

Celsius Resources Contact Information

Level 5, 191 St. Georges Terrace

Perth WA 6000

 

PO Box 7059

Cloisters Square PO

Perth WA 6850

 

P: +61 2 8072 1400

E: info@celsiusresources.com.au (mailto:info@celsiusresources.com.au)

W: www.celsiusresources.com (http://www.celsiusresources.com)

 

 Celsius Resources Limited
 Neil Grimes                                                         P:+61 419 922 478

                                                                     E: info@celsiusresources.com.au (mailto:info@celsiusresources.com.au)

                                                                     W: www.celsiusresources.com (http://www.celsiusresources.com)
 Multiplier Media

 (Australia Media Contact)                                           M: +61 402 075 707

 Jon Cuthbert                                                        E: jon.cuthbert@multiplier.com.au (mailto:jon.cuthbert@multiplier.com.au)

 Zeus Capital Limited

 (Nominated Adviser & Broker)                                        P: +44 (0) 20 3 829 5000

 Harry Ansell/James Joyce/James Bavister

Zeus Capital Limited ("Zeus") is the Company's Nominated Adviser and is
authorised and regulated by FCA. Zeus's responsibilities as the Company's
Nominated Adviser, including a responsibility to advise and guide the Company
on its responsibilities under the AIM Rules for Companies and AIM Rules for
Nominated Advisers, are owed solely to the London Stock Exchange. Zeus is not
acting for and will not be responsible to any persons for providing
protections afforded to customers of Zeus nor for advising them in relation to
the proposed arrangements described in this announcement or any matter
referred to in it.

 1  (#_ftnref1) ASX announcement 19 May 2025

 2  (#_ftnref2) https://www.dmt-group.com/services/consulting/mining.html

 3  (#_ftnref3) https://www.rdcl.co.nz/

 4  (#_ftnref4) C1 costs include all direct costs in mining, processing,
general and administration, and selling (including freight).

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