Gunnison Copper Updates Stage 2 Mine Plan with 3 Million Tons Addition
News related to:Gunnison Copper Corp · 2 min read
Gunnison Copper Corp. has announced a significant update to its Stage 2 mine plan at the Johnson Camp Mine in southeast Arizona. The revised plan includes the addition of approximately 3 million tons of mineralized material, enhancing the value of the project.
The optimization of the mine plan was achieved through a collaboration with Nuton LLC, a Rio Tinto venture. Under the agreement, Nuton has committed to making an $8 million payment to Gunnison, which is expected to be received in the fourth quarter of 2026. This payment reflects the value created through the optimized mine plan and the shared commitment to advancing the Johnson Camp demonstration project.
The revised mine plan is set to be implemented between 2027 and 2029, aligning with the existing schedule. This addition is expected to support continued operations, preserve critical workforce and technical capabilities, and strengthen the long-term outlook for the project. Craig Hallworth, President and CEO of Gunnison Copper, stated, "The optimized mine plan adds approximately 3 million tons of mineralized material, further enhancing the value of Johnson Camp. This additional material supports continued operations, preserves critical workforce and technical capabilities, and advances our mission to reliably supply pure American copper from Southern Arizona."
In a related development, Gunnison Copper has decided not to pursue claiming the Department of Energy 48C Tax Credits that were conditionally awarded to the company in January 2025. The company will continue to evaluate U.S. Federal tax incentive opportunities to maximize value and support its long-term interests.
The Gunnison Copper Project, located in the Cochise Mining District, contains a main pit Measured and Indicated Mineral Resource of over 846 million tons with a total copper grade of 0.33%, containing 5.19 billion pounds of copper. The project is being developed as a conventional operation with open pit mining, heap leach, and SX/EW refinery to produce finished copper cathode on-site with a direct rail link.
The company's flagship asset, the Gunnison Copper Project, is fully funded by Nuton LLC, with a production capacity of up to 25 million pounds of finished copper cathode annually. Other significant deposits controlled by Gunnison in the district, including the Strong & Harris satellite deposit, are also included in the mine plan. The Strong & Harris deposit hosts an Inferred Mineral Resource of 76 million tons grading 0.49% total copper, 0.56% zinc, and 0.12 oz/ton silver.
A preliminary economic assessment completed in March 2026 for the Gunnison Project yielded robust economics, including an NPV8% of $2 billion, an IRR of 23%, and a payback period of 3.9 years. The project is being developed as a conventional operation with open pit mining, heap leach, and SX/EW refinery to produce finished copper cathode on-site with a direct rail link.
The company's decision not to pursue the 48C Tax Credits is part of its ongoing evaluation of tax incentive opportunities to maximize value and support its long-term interests. Gunnison Copper remains committed to reliably supplying pure American copper from Southern Arizona and continues to explore opportunities to enhance the value of its projects.