Freeport doubles down on Amarc’s JOY project

Freeport-McMoRan (NYSE: FCX) is injecting another C£75 million (£54m)[1] into Amarc Resources' (TSX-V: AHR) JOY copper project in Canada's British Columbia province, moving into stage two of an earn-in agreement signed in 2021. The investment requires the Arizona-based miner to spend at least C£10 million (£7m) annually over five years, giving it an additional 10% interest in JOY. Freeport is now the project operator, while Amarc has been appointed under a services agreement to manage exploration programs.

The 2025 JOY exploration program, budgeted at over C£12 million (£8.7m), is fully funded by Freeport. Drilling is already underway, with three rigs focused on expanding the high-grade, near-surface AuRORA deposit-- a copper-gold-silver find discovered in 2024 at the previously untested Northwest Gossan target[2].  Amarc chief executive Diane Nicolson said the deal sets the stage for significant growth.

"The groundwork is laid to significantly advance the exciting new, high grade, near surface, gold-rich porphyry copper-gold-silver AuRORA Deposit which remains open to expansion (...) Additional drilling and survey work across the JOY District aims to deliver more major copper-gold discoveries," she said. Nicolson added that the AuRORA discovery could be a cornerstone for both the JOY claims and the broader Toodoggone region, where exploration is accelerating. Alongside JOY, Amarc is advancing the DUKE and IKE porphyry copper-gold districts in central and southern B.C.

Amarc shares rose 3.6% to C£0.86 on Thursday in Toronto, valuing the company at about C£196 million (£141m).

References

1. ^ injecting another C£75 million (£54m) (amarcresources.com)
2. ^ Northwest Gossan target (www.mining.com)