Major Exploration Underway at Prospect Resources’ Mumbezhi Copper Project

Ambitious 18,000-Meter Drilling Campaign Targets Major Resource Growth

Prospect Resources (ASX: PSC) has commenced its highly anticipated Phase 2 drilling program at the Mumbezhi Copper Project in Zambia's prolific Copperbelt region. This extensive campaign—comprising approximately 50 diamond drill holes and 140 exploratory aircore holes—aims to significantly expand the company's maiden mineral resource of 107.2 Mt @ 0.5% Cu for 514.6 kt of contained copper announced just two months ago.

The company is executing a multi-faceted exploration strategy designed to rapidly grow copper resources across multiple target areas while leveraging its recent strategic partnership with copper mining giant First Quantum Minerals.

"We are delighted to be drilling again at Mumbezhi. The Phase 2 programme has been designed to validate the significant potential for a material, large-scale resource at Mumbezhi," said Sam Hosack, Managing Director and CEO of Prospect Resources.

Strategic Exploration Approach Bolstered by First Quantum Partnership

The Phase 2 program has been strategically designed with four key objectives:

1. Extend and upgrade existing resources at Nyungu Central and Kabikupa
2. Generate maiden resources at Nyungu North, West Mwombezhi, and Nyungu South
3. Complete first-pass exploratory drilling across numerous regional copper anomalies
4. Test depth extensions of copper mineralisation identified in aircore work

This drilling campaign will be complemented by airborne electromagnetic (AEM) surveys and widespread soil geochemical sampling, including previously unevaluated areas. The technical expertise of First Quantum Minerals—which recently made a strategic A$15.2 million investment in Prospect—will significantly enhance the exploration effort.

"It is exciting to be commencing Phase 2 exploration at Mumbezhi with our new strategic partner, and cornerstone Prospect shareholder, First Quantum Minerals, alongside us," noted Hosack. "Gaining access to First Quantum's breadth of regional exploration and development expertise…means that we are well placed to…add potential new copper tonnages to the existing Mumbezhi Mineral Resource estimate at a far greater rate."

Understanding Exploration Targets: What They Mean for Investors

An exploration target represents a geologist's professional assessment of the potential size and grade of a mineral deposit based on preliminary exploration results, geological models, and limited drilling data.

In Prospect's case, their recently updated exploration target for Mumbezhi ranges between 420 to 1,050 million tonnes at 0.4% to 0.6% Cu—significantly larger than the current 107.2 Mt resource. This suggests the company's geologists see substantial upside potential based on their geological understanding and exploration results to date.

For investors, exploration targets provide insight into a project's growth potential but should be viewed as preliminary estimates that require verification through additional drilling. The current Phase 2 program is precisely designed to test and potentially convert portions of this exploration target into defined mineral resources.

The Significance of Exploration Targets

Exploration targets represent an important step in the resource development process. They are formulated based on geological interpretation, limited sampling, and early-stage drilling results. Typically, they indicate the potential scale of mineralisation before sufficient drilling has been completed to establish a formal mineral resource.

Key points about exploration targets:

• They are conceptual in nature and indicate potential areas for resource growth
• They represent a range of tonnage and grade rather than precise figures
• They require additional exploration to verify their validity
• They are based on professional geological assessment rather than comprehensive drilling

For the Mumbezhi project, the substantial gap between the current 107.2 Mt resource and the exploration target of 420-1,050 Mt highlights the significant growth potential that Prospect is pursuing through its Phase 2 drilling program.

Timeline and Next Steps

Prospect has engaged Ox Drilling and Leos Investments Limited to conduct the diamond drilling program, which is already underway. The aircore drilling component is expected to begin in August 2025.

Importantly, a portion of the diamond drilling will provide materials for comprehensive metallurgical studies, supporting both comminution and flotation test work. These studies will directly inform a Scoping Study planned for completion by the end of 2025, representing the first formal economic assessment of the Mumbezhi Project.

Investment Thesis: Why Mumbezhi Matters in the Global Copper Landscape

The Mumbezhi Copper Project represents a compelling opportunity in the copper sector for several key reasons:

1. Strategic Location: Situated in the world-class Central African Copperbelt region of northwestern Zambia, Mumbezhi benefits from proximity to established mining operations and infrastructure.

2. Significant Scale Potential: The exploration target of 420-1,050 Mt suggests Mumbezhi could develop into a major copper deposit. The current resource of 107.2 Mt @ 0.5% Cu already represents a meaningful discovery.

3. First Quantum Validation: The strategic investment by First Quantum Minerals—one of the world's premier copper producers—provides strong technical validation of the project's potential.

4. Green Energy Exposure: Copper is essential for the global energy transition, with electric vehicles requiring up to 80kg of copper—four times the amount used in conventional vehicles.

5. Strong Financial Position: With a proforma cash position of approximately $24 million, Prospect is well-funded to advance exploration and development activities.

The Copper Market: A Critical Metal for Electrification

Copper has been utilised by humans for thousands of years, with evidence of its use dating back at least 10,000 years. Today, it serves as a fundamental component in electrical systems due to its exceptional conductivity properties.

The metal's importance has grown significantly with the global shift toward electrification and renewable energy. Some key aspects of copper's role in modern economies include:

• Electrical Infrastructure: Copper is the primary material used in electrical wiring and cables due to its superior conductivity.

• Renewable Energy Systems: Solar panels, wind turbines, and energy storage systems all require substantial amounts of copper.

• Electric Vehicles: An electric vehicle contains approximately 80kg of copper, compared to about 20kg in a conventional internal combustion engine vehicle.

• Building Construction: Copper is extensively used in plumbing, heating systems, and architectural applications.

As countries worldwide accelerate their transition to cleaner energy sources and electrification of transportation, demand for copper is expected to increase substantially over the coming decades. This trend positions quality copper projects as potentially valuable assets in the global resource portfolio.

Why Investors Should Follow Prospect Resources

Prospect Resources represents an opportunity to gain exposure to copper exploration with several compelling advantages over peers:

1. Resource Growth Trajectory: With only a fraction of the exploration target already converted to resources and multiple untested prospects, Mumbezhi offers significant resource upside potential.

2. Technical Partnership: The collaboration with First Quantum Minerals provides access to technical expertise and regional knowledge that could accelerate discoveries.

3. Advancing Toward Development: The planned Scoping Study by year-end will provide the first economic framework for potential development.

4. Electrification Metals Focus: Prospect's strategic focus on battery and electrification metals positions it within a high-growth segment of the mining sector.

5. Strong Cash Position: With approximately $24 million in cash, the company is well-funded for its current exploration programs without immediate financing needs.

As the global push toward electrification drives increasing copper demand, Prospect's aggressive exploration at Mumbezhi Copper Project positions the company to potentially develop a significant new copper source in one of the world's premier copper regions.

Ready to Capitalise on the Copper Opportunity in Zambia?

Prospect Resources has commenced an ambitious drilling campaign targeting substantial copper resource growth at its Mumbezhi Project. With its strategic First Quantum partnership and a clear pathway to development, this ASX-listed company offers investors compelling exposure to the booming electrification metals sector. To learn more about this emerging copper opportunity and stay updated with Prospect's latest developments, visit their ASX announcements page now.