Noronex deepens South32 alliance with earn in on Botswana copper

Noronex has deepened its partnership with South32, signing a fresh earn-in agreement that will see the global major fund up to A$5 million of exploration at the Cgae Cgae copper project in Botswana over the next five years.

The deal gives South32 the right to earn 60 per cent of the project by sole-funding staged exploration, including a 3,000 metre reverse-circulation (RC) program due to begin before the end of the month. Intriguingly, the campaign will mark the first drill holes ever sunk at Cgae Cgae, targeting coincident geophysical anomalies and shallow copper-in-soil signatures identified by recent airborne surveys across this world-class copper belt.

Managing Director Victor Rajasooriar said the new agreement underlines confidence in the company’s copper portfolio and strengthens the strategic relationship between Noronex and South32 across the wider Kalahari belt.

Securing this second earn-in with South32 is further validation of our geological model and of the potential scale across our ground in Botswana and Namibia. With drilling to start this month, we’re confident this partnership will unlock the full potential of the Kalahari Copper Belt,

The Cgae Cgae project sits within the north-western extension of the belt in a region that also hosts Sandfire’s Motheo mine which boasts a 59.9Mt copper resource and several new discoveries along strike. South32 will manage the initial phase of exploration, with Noronex retaining technical oversight and a 40 per cent residual interest once earn-in milestones are met.

The latest deal complements an existing earn-in across Noronex’s Namibian portfolio, where South32 has committed about A$1 million per quarter through FY26 to fund fieldwork over multiple targets. Together, the agreements give Noronex exposure to one of the most extensive and fully funded copper exploration programs now running across southern Africa.

Field activity has already begun to ramp up in Namibia, where a 7,000 metre RC campaign is in motion at the Powerline project. That program follows recent diamond drilling at the Fiesta prospect that confirmed copper-silver mineralisation across multiple zones, including 11 metres at 0.5 per cent copper and 18 grams per tonne silver from 113 metres and deeper intercepts hinting at feeder systems that may lurk below 200 metres depth.

At the Humpback project, a contract has been signed for an additional 7,000 metres of RC work to chase near-surface mineralisation adjacent to previously mapped conductive horizons. The company says new airborne electromagnetics, gravity and magnetic data have refined target corridors stretching for more than 30 kilometres.

Noronex’s exploration bench was strengthened recently by the appointment of veteran geologist James Hodgson, who brings more than 25 years of African copper experience including senior roles with First Quantum Minerals – the Canadian based diversified mining house with operations across five continents employing more than 14,000 people. Hodgson’s arrival rounds out a technical line up at Noronex now anchored by both local and international expertise with programs accelerating across multiple jurisdictions.

Importantly, the company’s exposure is not limited to copper. In Namibia, reconnaissance work at its Etango North licences has already outlined several uranium anomalies coinciding with radiometric highs and favourable granite contacts. Shallow testing of these targets is scheduled for later this year, providing an additional commodity leg to the company’s portfolio.

Noronex completed a modest A$750,000 strategic placement earlier this month to support corporate and uranium activities outside the South32 joint programs. However more importantly, the company continues to enjoy the benefits of South32’s funding across its copper assets for up to five years, effectively insulating shareholders from dilution while maintaining leverage to discovery.

With the majors now shouldering the exploration spend and copper sentiment improving on the back of global electrification demand, Noronex is unusually well positioned being technically active, externally funded and carrying optionality across two critical-minerals themes.

If the upcoming Cgae Cgae drilling can replicate the mineral systems already defined across the border in Namibia, this alliance between junior and major may yet strike the sort of Kalahari discovery both have been hunting.

Is your ASX-listed company doing something interesting? Contact: matt.birney@wanews.com.au