Ivanhoe Mines: 30% More Copper
Precisely because of the situation in the copper market, the latest data on Ivanhoe Mines’ Western Forelands exploration project in the Democratic Republic of the Congo is drawing attention. Specifically, this concerns the Makoko District, for which the company has reported an increase in copper resources of about 30% to approximately 12 million metric tonnes.
According to the new estimates, the indicated resources amount to 42 million metric tonnes of rock with an average copper grade of 2.66%. The inferred resources total 612 million metric tonnes at a grade of 1.80%. This makes the project one of the largest and most copper-rich discoveries of the past decade.
These results stem from an extensive exploration program. Between the previous estimate in May 2025 and March 2026, the company carried out approximately 64,000 m of diamond drilling. For the entire year of 2026, Ivanhoe Mines plans a drilling program totaling 94,500 m—the company’s largest to date in this region.
To develop the area, Ivanhoe Mines is relying on the further expansion of its existing infrastructure. The company benefits from its proximity to its already operational Kamoa-Kakula copper complex.
An initial concept study for the Makoko District is scheduled to begin in the first quarter of 2027. The current strategy calls for mining the copper ore there primarily in several near-surface open-pit mines. This method is intended to keep initial investment costs low and accelerate the start of production. To support this project, Ivanhoe Mines plans to expand the drilling program once again in the fourth quarter of 2026. The goal is to define the shallow mineralizations, which are suitable for open-pit mining, even more precisely through infill drilling.
Power Metallic Mines: The Resource Is Now Here
At Power Metallic Mines, the exploration story to date has now resulted in a quantifiable resource for the first time. The first published estimate for the Lion Zone comprises 4.145 million metric tonnes of indicated resources at 3.86% copper equivalent (CuEq), as well as an additional 601,000 metric tonnes of inferred resources at 4.01% CuEq. In total, Lion thus contains approximately 406 million pounds of copper equivalent. More than 85% of the resource is already classified in the higher “indicated” category.
The combination of grade and location is particularly interesting. The mineralization begins at surface, and approximately 59% of the tonnage lies within the open-pit resource. Metallurgical tests conducted by SGS Canada also yielded copper recoveries of more than 98% and concentrate grades exceeding 25% copper.
However, Lion is not a classic copper deposit. In addition to copper, the polymetallic system contains palladium, platinum, gold, silver, and nickel. The indicated resource alone averages 1.68% copper, 2.61 g/t palladium, 0.85 g/t platinum, and 0.49 g/t gold.
Size could now be the deciding factor. The resource includes drilling data only through April 19. Five drill rigs remain active, but there are no deeper drill holes from after the cutoff date. New results are expected in September.
The next step is for a PEA to evaluate an initial open-pit operation followed by underground mining. At the same time, Power Metallic is moving forward with its Nasdaq application. This initial resource estimate quantifies the quality of the Lion Zone for the first time. Now the company must demonstrate just how large the system can actually become.
Rio Tinto: Cautious Outlook Despite Strategic Moves
Strategic partnerships are no longer a rarity in the commodities sector. Rio Tinto has once again demonstrated this with its USD 15 million financial investment in Mogotes Metals. With this capital, the company initially secures approximately 5% of the company’s shares. The move is driven by a technical collaboration focused on the South American Filo Sur project in Argentina and Chile.
The goal there is to develop copper, gold, and silver deposits. As part of the agreement, Rio Tinto also receives exclusive rights for a period of 15 months, as well as a contractual option to expand its stake to just under 10% in the future. The group’s technological capabilities are expected to help discover new mineral resources in the region more quickly.
In addition, Rio Tinto is acquiring the Aurukun bauxite project in the Australian state of Queensland. The relevant rights are being acquired from the previous owners, Glencore and Mitsubishi Development. The site is geographically close to the group’s existing mining operations. With this acquisition, Rio Tinto is responding to the medium-term decline in capacity at its other Australian mining sites. For example, operations at the Gove Mine are set to be phased out by the end of this decade, while production at the East Weipa site already ended in 2024. A development license is currently in place for the Aurukun project. However, the formal mining permit and regulatory approval for the acquisition are still pending.
Despite the positive news, Erste Group has downgraded Rio Tinto shares from “Buy” to “Hold”. The primary reason cited is the decline in global iron ore prices, as this commodity represents the company’s largest source of revenue. Experts therefore expect only modest revenue and profit growth in 2026. Given these low expectations, the stock is currently considered overvalued, making price increases unlikely. However, the analysis also notes the company’s ongoing copper production in Mongolia and its reliable dividend payments, which have continued for 35 years.
Record prices and rising demand for raw materials are making new deposits increasingly valuable strategically. With Western Forelands, Ivanhoe Mines is expanding one of the most significant copper discoveries of recent years, while Rio Tinto is broadening its long-term raw material base through acquisitions. Power Metallic Mines is now providing decisive evidence to support its exploration story. Lion holds a high-grade resource of approximately 406 million pounds of copper equivalent. If the mineralization continues at depth, the current estimate could be just the beginning.
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