The Next Copper Giant? - Kodiak Copper Corp.

This article was originally published on Golden Opportunities on October 8, 2024. You can view the original article [here.]( A Major Copper Project Hiding In Plain Sight With the electrification trend creating copper deficits as far as the eye can see, major mining companies are on the hunt for big copper deposits in safe jurisdictions. One junior explorer, Kodiak Copper (KDK.V; KDKCF.OTC), has found just that — a large copper district in mining-friendly British Columbia. The best part: Thanks to a junior mining market that is only now beginning to take off, Kodiak is still trading at pre-discovery price levels even as its drills are discovering much more copper. Dear Fellow Investor, Between electric vehicles, the upcoming flood of AI data centers and the rebuilding of electric grids to make it all work, copper demand is forecast to explode in the months and years just ahead. In fact, mining major BHP just predicted that the industry will need to open a new world-class copper mine every year to keep up with demand. This irreversible trend has the majors in this industry on constant lookout for new copper deposits in areas where permitting won’t take forever and governments won’t try to nationalize their assets. One company with a project that fills that bill perfectly is Kodiak Copper (KDK.V; KDKCF.OTC). But here’s the thing — the market is currently completely ignoring its discovery of precisely the kind of copper project it desperately needs. Despite making a major new copper find in 2020, the still-restrained junior mining market means that Kodiak is currently trading at pre-discovery levels. And that’s despite the fact that it’s uncovered much more copper since then...and is finding more at this very moment. Read on to learn how this market oversight came to be and why some analysts are forecasting a share price that’s multiples of its current trading levels. Significant Copper Already Outlined At The Gate Zone After having consolidated an area of copper exploration in south-central British Columbia called MPD in 2019, Kodiak Copper went on to test the area at depth. That was a new strategy for this area, which is surrounded by active copper mines, as previous explorers had not adequately tested for copper below 200 meters from surface. The bet paid off in 2020, when Kodiak discovered the Gate zone with a massive drill hole intersection. That hole yielded an amazing 535 meters of 0.49% copper and 0.29 g/t gold, including 282 meters of 0.70% copper and 0.49 g/t gold and further including 45.7 meters of 1.41% copper and 1.46 g/t gold. Kodiak made its discovery at MPD’s Gate zone in 2020 with this drill hole cutting over a half of a kilometer of copper and gold mineralization. That intersection catapulted Kodiak’s share price and quickly attracted the investment of Teck Resources, which took a 9.9% stake in the company for C$8 million. Kodiak would use the money to drill off the Gate zone to a full kilometer in strike, 350 meters in width and over 900 meters in depth. That’s another world-class copper discovery in British Columbia, a land of large, profitable copper mines. But fast-forward to today, and the market seems to have completely forgotten the Gate discovery: At this moment, Kodiak trades at its pre-discovery price levels...yet it’s arguably a better company today, with much more copper uncovered at MPD. West And Adit Zones Are Rapidly Growing MPD Kodiak has continued to find more high-grade copper in the West and Adit targets in the southern part of the MPD property. West has already been traced for 650 meters along strike and down to almost 1,000 meters depth — a major achievement in its own right — and it’s still wide open in several directions. Kodiak has only drilled nine holes so far, but the results have been exciting: The higher-grade mineralization begins at surface, with about twice the grade in drill intercepts as is being profitably mined now at the nearby Copper Mountain mine. The West and Adit targets are now yielding shallow, higher-grade copper mineralization...and are among 30 identified targets on the MPD property. And then there’s the Adit zone, which was drilled in 2024. Like the West zone, it has drill-proven high-grade mineralization right from surface. But it’s also part of what appears to be a much larger system spanning three kilometers in length and encompassing four identified zones — the South, Mid and 1516 zones, in addition to Adit. Kodiak’s first drill hole at Adit was designed to confirm and extend historically drilled high-grade results. And it did just that, hitting an intersection of 156 meters at 0.76% copper-equivalent beginning close to surface. Importantly, much of the mineralization drilled at Adit so far begins less than 200 meters from surface and, because the zone sits on a hill, it should be readily accessible in a mining scenario. Due to the extensive infrastructure in British Columbia, large, low-grade porphyry copper deposits are being mined very profitably. The fact that Kodiak has outlined several higher grade zones at MPD is an important step to unlock the future economic potential of the project. A Big District Gets Even Bigger... And while Kodiak’s drilling is continuing to grow the MPD project with multiple, kilometer-scale mineralized zones across the property, it has also expanded quite considerably via an important acquisition. The company recently acquired Aspen Grove, an adjacent, 112-square-kilometer property with near-surface, high-grade copper mineralization similar to MPD. In fact, Aspen Grove boasts no less than 18 known mineral occurrences identified so far, including the Ketchan prospect — a large alkalic porphyry system spanning at least 1,800 x 500 meters. Note that a remarkable 86 holes have been drilled on the property so far, but a third of these were shallow percussion holes and relatively little of the drilling went deeper than 200 meters. Very likely, there’s plenty more copper and gold to be found on the Aspen Grove property, and this new acquisition adds considerably to the already-massive potential at MPD. The Next Copper Giant In The Making Yes, the Gate zone is a major copper-gold discovery...but it may just scratch the surface of what Kodiak aims to prove up at MPD. Thanks to many years of geological mapping and sampling and over 150,000 meters of drilling by Kodiak and previous operators — plus a recent Artificial Intelligence analysis of the mountains of geologic data — MPD now boasts fully 30 target areas. Of those, only ten have so far been drilled by Kodiak...and the results have already yielded multiple kilometer-scale mineralized zones. Those include three high-grade zones — Gate, West and Adit — with drill intercepts showing assay results two to three times the grades currently being mined in the region. And there’s much more to come: Kodiak drilled about 10,000 meters on six targets this year and has only reported on 2,000 meters so far. Results are going to flow into the market through the rest of this year and into 2025. This is all building toward Kodiak’s goal of defining the kind of world-class copper deposit that could have the majors rushing into a bidding war. Obviously, they’re well on their way but here’s one fascinating aspect: The company won’t begin a resource estimate until they’re confident they have the potential for that kind of a big deposit... ...So the simple announcement that they’re starting to work on a resource could alone be enough to prompt a big market re-rating. Positioning For A Major Takeout, With Drill Results On The Way Bottom line: Kodiak Copper is trading like an exploration play — despite having three drill-proven large high-grade copper-gold zones already...plus several more kilometer-scale areas or mineralization...and dozens of targets remaining. Consider also that the company has so far put around C$40 million into the ground with almost 85,000 meters of drilling, yet it still has only 76 million shares outstanding and continues to be tightly held. In short, this is the kind of situation that simply cannot last for long. Again, drill results will fuel interest in Kodiak Copper through the rest of this year and into the next...and always with the potential for more big discoveries. Add it all up, and the time to do your due diligence on Kodiak Copper is now. [CLICK HERE]( To Learn More about Kodiak Copper Corp. This article was originally published by the Gold Newsletter’s Golden Opportunities on October 8th, 2024, on behalf of Kodiak Copper. The information provided in this article is for informational purposes only and does not constitute financial advice or a recommendation to invest in any securities. [Click here]( to read the full disclaimer. This message was intended for {EMAIL} , as a subscriber and/or customer of Kitco. 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