Copper 360’s board has approved a restructuring at the Northern Cape copper mining company to accelerate the development of higher-grade in-situ ore at the Rietberg Mine and temporarily suspend the processing of lower-grade broken stock and waste material.
Copper 360 resumed active mining operations in the Northern Cape in July 2026, when underground development began at the Rietberg Mine near Nababeep in Namaqualand. Copper mining has become strategically important — both globally and locally in the Northern Cape — because it sits at the intersection of energy transition, industrial recovery, and regional development. Copper 360 represents one of several copper mining projects in the country that collectively mark South Africa’s return to primary copper production after decades of dormancy since the 1980s.
The JSE-listed company released its audited annual results on Friday, in which the executive directors Gordon Thompson and Seten Naidoo said that over the next four to five months, capital and operational effort will be prioritised towards underground development at Rietberg, with the objective of accessing higher-grade ore bodies, improving operating economics, and creating a stronger platform for growth in the 2027 financial year.
The group has also begun “labour consultation processes and broader operational optimisation initiatives to align the workforce structure and cost base with the revised operating model,” the directors said.
They said the restructuring came after the reporting date of the financial year to February 28, 2026, and its financial impact has not yet been fully determined.
They said the 2026 financial year, however, was a year of balance-sheet strengthening and operational simplification.
A recapitalisation reduced group liabilities, strengthened equity, and established a more resilient platform from which to implement the revised operating strategy and position the group for growth in the 2027 financial year, they said.
“Management’s near-term priority is to improve feed quality through the Rietberg development programme, supported by the panning capability commissioned during the year. Successful execution of this programme, together with continued balance sheet discipline and operational optimisation, is intended to improve operating performance and establish a stronger foundation for growth in the 2027 year,” they said.
In the 2026 year, the group maintained total copper-metal equivalent production at 1,067 tonnes (2025: 1,054 tonnes), while concentrating its operating activity on the MFP2 (modular flotation plant 2) concentrate plant.
A combined claw-back and rights offer was completed in December 2025 as part of the group’s recapitalisation programme.
The statement of changes in equity reflects R30.2m of shares issued to extinguish liabilities, R915.8m of shares issued in terms of the debt restructure, and R400m of shares issued for cash, less R17m of capital-raising costs.
“The transaction materially strengthened the group’s capital base, reduced future obligations, and positioned the group to focus on operational execution and growth.”
In the 2026 financial year, copper concentrate production increased 44% to 1,067 tonnes from 742 tonnes in the prior year. The year-on-year comparison reflects an operational focus on concentrate production following the transition of the SX-EW cathode plant to care and maintenance during the second half of the 2025 year. Feed processed increased by 12%, while recovery improved by 19.3 percentage points to 67.2%.
Second-half production strengthened, with 608 tonnes of copper produced compared with 459 tonnes in the first half. Recovery increased to 71.8% in the second half from 61.8% in the first half, despite a lower average feed grade. A panning unit was commissioned in February 2026 to support gravity-based ore upgrading.
The group recorded a gross loss of R156.6m (R158.3m), a marginal improvement of 1.1%. The operating loss reduced by 40.5% to R220.4m, supported by lower operating expenses. The comparative operating loss included impairment losses of R113.2m relating to property, plant, and equipment and right-of-use assets.
Group equity increased substantially to R1.3 billion at February 28, 2026 (R337.5m), while share capital increased to R2.073bn (R744.4m). Total borrowings declined by 58.6% to R304.2m. Cash ended the year at R84.4m, compared with a R1.5m bank overdraft at the previous year-end.
edward.west@nationalmg.co.za
THE NATIONAL