It is immediately launching a definitive study for delivery next year with the aim of being in production by mid-2027.

The PFS has been in the works for two years and comes just four years into its ownership of the legacy asset in Arizona. The study suggests the underground mine can support a 1.2 million tonne per annum operation for 12 years, recovering 30,100tpa of copper equivalent.

It could produce some 341,100t CuEq over its mine life from an inventory of 13.6Mt at 3% CuEq that includes today’s maiden probable reserves of 11Mt grading 1.6% copper, 3.7% zinc, 0.6% lead, 25.9 grams per tonne silver and 0.3gpt copper.

Pre-production capital costs are estimated at US$298 million, with payback in around three years.

The base case used “conservative” commodity price assumptions, including US$4.20/lb copper and $2055 per ounce gold, estimated revenue at A$4.6 billion over the mine life, post-tax free cash flow of $1.43 billion and annual free cash of $168 million during steady-state operations, assuming C1 cash costs for copper after co-product credits of just US12c per pound.

That delivers a post-tax net present value of A$726 million with an internal rate of return of 30%. 

Plugging in spot prices increases the economics substantially with NPV up 34% to $1.25 billion, IRR to 37%, lifetime revenue of $5.14 billion and free cash at $1.8 billion, or $204 million each year.

Impressively, C1 cash costs after credits fall to negative US29c/lb, with all-in sustaining costs of just 10c/lb.

Managing director Mike Haynes said both cases established New World as being on track to become the next significant copper producer on the ASX, “and a very low-cost producer of copper at that”.

Haynes said given the low technical risk from an established mine, access to grid power, water and infrastructure and markets, some of the lowest costs in the world, and “exceptional” copper forecasts, the company expected to secure debt on attractive terms.

Up to 65% of capex will be sought as debt. 

Antler is envisaged as the first in a cluster of mines. It is open at depth and along strike, and three rigs in the field testing more than 17 high-priority VMS targets within haulage distance.

Haynes said any discovery could support an expanded mine life or a larger production profile at Antler. 

Approvals are expected to be in place in time for a final investment decision in late 2025. 

Cannaccord Genuity analyst Paul Howard, who has a ‘speculative buy’ recommendation on New World with a 12c price target, said overall the PFS was “a slight beat” on expectations, albeit first copper being nine months later than modelled.