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Highlights

  • CAML to acquire 100% of NWR shares for AU$0.05 per share, valuing the deal at AU$185 million (US$119 million).

  • Acquisition adds Arizona-based Antler Project with estimated post-tax NPV of US$498 million and IRR of over 30%.

  • Deal to be financed through CAML's existing cash and a new US$120 million credit facility.

Central Asia Metals Plc (LSE:CAML) has entered into a definitive agreement to acquire all shares of New World Resources Limited (ASX:NWC), valuing the Australian company at A$185 million (US$119 million). The transaction will be executed via an Australian Court-approved scheme of arrangement under the Corporations Act 2001.

Under the terms of the agreement, CAML will pay A$0.05 in cash for each New World Resources (NWR) share. The acquisition, subject to shareholder and court approval, will grant CAML full ownership of the Antler Project, a high-grade copper deposit located in Arizona, USA.

The transaction represents a strategic move for CAML, significantly expanding its copper production footprint. The Antler Project’s prefeasibility study (PFS), released by NWR in 2024, outlined robust project economics with a post-tax net present value (NPV) of US$498 million, an internal rate of return (IRR) exceeding 30%, and a three-year payback period. The site is expected to produce approximately 30,000 tonnes of payable copper equivalent annually over a 12-year mine life.

Mineral resources for the Antler Project are estimated at 14.2 million tonnes with a copper equivalent grade of 3.8%. Production costs are forecast at a life-of-mine (LoM) C1 cash cost of US$1.97 per pound and an all-in sustaining cost (AISC) of US$2.18 per pound. Pre-production capital expenditure is estimated at US$298 million, placing the project in the lowest capital intensity quartile globally.

The deal will be financed using CAML’s existing cash reserves along with a newly secured US$120 million credit facility from a syndicate of international lenders.

NWR’s board of directors has unanimously recommended that shareholders vote in favour of the transaction in the absence of a superior proposal and subject to an independent expert confirming the scheme is in their best interest. The shareholder vote is expected to take place in the third quarter of 2025.

According to CAML, the Antler Project’s location in Arizona—a key US copper-producing region—offers strategic advantages including strong infrastructure, skilled labour, and policy support for critical minerals from the current US administration.

The company also noted that the Antler Project remains free of offtake commitments, providing flexibility for future development. A definitive feasibility study (DFS) is currently underway and is expected to be completed under CAML’s ownership.

The acquisition is anticipated to more than double CAML’s current annual copper equivalent production and significantly enhance its near-term cash flow profile. It also provides exploration upside, both at the Antler site and in surrounding areas.