Interra Copper Corp. (IMIMF) has kicked off its Phase One drilling program at its promising RIP Copper Project, located in the Stikine region of British Columbia. This project holds the potential to be a major copper producer, situated just 33 kilometers northeast of Imperial Metals Corp.’s (IPMLF) past-producing Huckleberry copper-molybdenum (Cu-Mo) mine and Surge Copper Corp.’s (SRGXF) advanced-stage Ox, Seal, and Berg projects.
Interra CEO Brian Thurston expressed excitement about drilling the two classic porphyry copper-moly deposit targets at RIP. He highlighted the unique opportunity these targets present, with one entirely unexplored by diamond drilling and the other only having a single drill hole that missed the center. Despite this, that initial hole encountered encouraging signs of mineralization.
This first phase of drilling will encompass approximately 2,000 meters and will be conducted from the Huckleberry mine site camp, about 88 kilometers from Houston, British Columbia. The initial drill hole will target the northernmost center of two induced polarization (IP) anomalies, identified through recent geophysical surveys, airborne magnetics, and 3D IP. Interra’s geophysical surveys suggest the presence of two potential porphyry Cu-Mo mineralized centers.
The northernmost center, coinciding with outcropping porphyry Cu-Mo mineralization, exhibits a magnetic/resistivity high surrounded by a large, ‘doughnut’ shaped chargeability high (>35 mV/V) spanning approximately 1 kilometer in diameter. The second potential porphyry Cu-Mo center, located about 1.1 kilometers to the south, presents a similar magnetic high surrounded by a ‘doughnut’ shaped chargeability high (>35 mV/V), but this one is entirely covered by overburden and measures approximately 850 meters in diameter.
Adding to the excitement around Interra Copper is a bullish outlook from Technical Analyst Clive Maund. He believes the company’s stock is significantly undervalued, both fundamentally and technically, and rates it an ‘Immediate Strong Buy.’ Maund points to the ‘huge upside potential’ for the stock, particularly in percentage terms. He emphasizes the favorable risk/reward ratio, skewed strongly in favor of buyers, driven by the positive outlook for copper and gold prices, and the company’s recent successful financing rounds.
Interra’s potential is further bolstered by the increasing global demand for copper. This demand is fueled by the energy transition, with copper playing a crucial role in the expansion of renewable energy infrastructure. Electric vehicles are particularly reliant on copper, requiring as much as 175 pounds per vehicle. The increasing use of AI will also contribute to a surge in copper demand as it requires substantial electricity. As Vince Beiser wrote in WIRED, the ‘battle cry of the energy transition is ‘Electrify everything,” leading to a significant need for copper to expand and upgrade power grids worldwide. The United States alone will need to triple its electric grid capacity to meet future demand.
The market is reflecting this growing demand. Copper prices have surged, trading at US$4.72 per pound on Monday, an 8.93% increase from the previous week and a 21.08% increase since the beginning of the year. It reached a 52-week high of $5.18 on May 20, 2024. Analysts predict that copper demand could double by 2035, further highlighting the importance of increased copper production and exploration investment.
Interra Copper Corp. boasts 42.6 million shares outstanding, with approximately 25% held by management, directors, insiders, and other closely affiliated parties, leaving 75% for retail investors. Notable shareholders include Raymond Christopher Buncic (1.86%), Richard Mark Gittleman (1.69%), Director Jason A. Nickel (1.48%), Director Mike Ciricillo (1.27%), and Director Mark Daniel Cruse (0.59%). The company has a market cap of CA$4.48 million and trades within a 52-week range of CA$0.32 and CA$0.08.
